Unemployment Soars in Madhesh as Youth Migration Rises and Policies Falter
Activists and economists call for urgent reforms as province records Nepal’s highest jobless rate
By Kamlesh Thakur
JANAKPUR, November 9 – Madhesh Province continues to grapple with a severe unemployment crisis, with official data showing it has the highest jobless rate among Nepal's seven provinces. The Nepal Labour Force Survey 2022/23 places Madhesh’s unemployment rate at 18.7 percent, compared to the national average of 11.2 percent.
Social activist UjawalJha, who leads the grassroots organization MadheshYuva Future, attributes the crisis to gaps in policy implementation. “The government’s employment programs exist only on paper. Plans like the initiative to develop industries at the local municipal level haven’t materialized in most areas,” Jha said.
According to the Department of Foreign Employment, more than 100,000 youths from Madhesh sought foreign employment in the past year, mainly in Malaysia and Gulf countries. “This isn’t migration – it’s a forced exodus due to the absence of local opportunities,” Jha added.
Provincial officials, however, maintain that new policies are underway. “The government has prioritized employment generation in the next fiscal year’s budget,” said a spokesperson from the Ministry of Labour, Employment and Transport of Madhesh Province. “Several municipalities are preparing feasibility studies for small-scale industries.”
Analysts say the province’s chronic joblessness is particularly affecting educated youth, with over 70 percent of SLC and higher education graduates unable to find formal employment. Jha has proposed the establishment of youth industrial clusters and a provincial venture capital fund to support young entrepreneurs — ideas that experts say could help retain skilled workers in the region.
