10 Problems of Educated Nepali Youth and Solutions

10 Common Problems of Educated Nepali Youth and Their Practical Solutions

Nepal stands at an important turning point in its demographic dividend. According to the National Census 2078, more than 40 percent of Nepal’s total population is young people.

More specifically, as literacy rates have risen, the number of young people graduating with degrees from schools and universities has reached a historic high. Yet, the irony is that even with higher education certificates in hand, Nepali youth are going through intense frustration, uncertainty and insecurity about the future.

Every year, hundreds of thousands of students graduate from Tribhuvan University and other universities, but how many of them find dignified employment within the country? The long queues at the Department of Passport and the tears of young people departing from Tribhuvan International Airport present a stark picture of Nepal’s “educated unemployment”.

Educated youth are not only in search of jobs; they are in a struggle for existence, identity and self-respect.

In this article, we explore in depth ten common problems faced by educated Nepali youth and discuss in detail the causes and practical measures for solving them.

#1. Imbalance Between Educational Certificates and Market Demand (Skill Gap)

Depth of the Problem

Nepal’s most serious problem is the wide gap between “degree” and “skills”. Our education system has made students “knowledgeable” but has not been able to make them “skilled”.

In most colleges in Nepal, teaching is still dominated by 20-year-old curricula and rote learning. A student may complete a master’s degree in management (MBA/MBS), but may not know how to operate software required in the modern corporate world, analyse data or communicate effectively.

Industrialists say, “We need people who can work, but those who have degrees do not have the skills to work.” As a result, on the one hand youth are unemployed, while on the other employers are not finding skilled human resources.

Practical Solutions

• Curriculum revision: Universities must regularly update curricula in line with industry and market demand. It is necessary to give 40 percent weight to theoretical knowledge and 60 percent to practical work.

• Mandatory internships: From the bachelor’s level, at least six months of on-the-job training (OJT) should be made compulsory.

• Short-term skill development: Young people should not rely only on their degree, but should take initiative to learn marketable skills such as digital marketing, coding, graphic design and data analysis.

#2. Unemployment and Underemployment

Unemployment is a visible problem, but “underemployment” is an even more dangerous condition.

Depth of the Problem

It has become common in Nepal for a youth with a master’s degree to be forced to work as a helper, peon or daily wage labourer because they cannot find work matching their qualifications.

The fact that thousands of engineers and master’s degree holders apply for the posts of Kharidar or Nayab Subba in Public Service Commission announcements clearly illustrates this situation.

When young people have to do work that is completely different from what they studied, and at a lower level, it creates severe inferiority complex and mental stress.

Practical Solutions

• Employment creation policy: The government must not remain only at the level of policy, but must actually operate large projects in sectors such as agriculture, tourism and hydropower to create direct employment.

• Encouraging the private sector: The private sector should be encouraged to open industries by providing tax exemptions and facilities so that employment opportunities increase.

• Respect for labour: A culture must be developed that no work is small or big, so that young people feel proud of whatever work they do.

#3. Forced Migration and Brain Drain

“There is nothing in Nepal; there is no future here” has become a common slogan of today’s young generation.

Depth of the Problem

For today’s educated youth, the first choice has become to go to Australia, America, Canada or Europe rather than to struggle in their own country. As soon as they pass grade 12, there is a queue to obtain a No Objection Letter (NOC).

This is not only a desire, but also a compulsion. When friends go abroad, post photos on social media and show their economic progress, it creates intense pressure on the youth who remain here.

The out-migration of doctors, engineers and nurses produced through national investment (brain drain) is a major loss for the country’s development.

Practical Solutions

• Guarantee of opportunities at home: The government must be able to convince young people that, by working hard in their own country, they can achieve a standard of living comparable to that abroad.

• Startup ecosystem: Young people who are ready to invest the 20–25 lakh rupees they would spend on going abroad into starting a business at home should be provided collateral-free concessional loans and business incubation facilities.

• Return and invest: Special packages should be introduced to help young people who return after gaining skills abroad to establish themselves in Nepal.

#4. Nepotism, Favouritism and Political Interference

A major grievance of educated youth is that in Nepal’s job market and distribution of opportunities, “favouritism” dominates over “meritocracy”.

Depth of the Problem

In many public institutions, schools and non-governmental organisations, the narrative has taken root that one needs “power” or “connections” to get a job.

Even when open competition is staged, the practice of secretly ensuring positions for one’s own people discourages competent and capable youth.

When appointments from university vice-chancellors down to ordinary staff are made on the basis of political sharing, institutions collapse and young people lose faith in the system.

Practical Solutions

• Transparent recruitment process: As in the Public Service Commission, a fully transparent, merit-based examination system should be implemented in all other organisations and institutions.

• Penalty and punishment: There should be strict provisions for action against officials who engage in irregularities or display nepotism during recruitment.

• Youth vigilance: Young people themselves should organise and raise their voices against such distortions, and advocate for a merit-based system.

#5. Lack of Financial Literacy

Our young people obtain degrees, but they lack basic knowledge about how to manage money and how to invest.

Depth of the Problem

Many young people in the 20–30 age group remain dependent on their parents’ income. Even when they earn a little, schools and colleges do not teach them how to save it, where to invest it, or how to benefit from compound interest (compounding).

As a result, they spend on short-term pleasures such as gadgets, bikes and fashion, and cannot become financially secure for the future.

There are also many examples of young people losing money by jumping into the share market or entrepreneurship without sufficient study.

Practical Solutions

• Financial education from school level: Practical knowledge about tax, saving, investment and insurance should be included in the school curriculum.

• Earning while learning: As in Western countries, a culture should be developed in Nepal where students work a few hours a week and manage their own pocket expenses.

• Investment awareness: Young people should seek financial literacy from official and reliable sources instead of relying only on YouTube or social media.

#6. Mental Health and Social Comparison

In the current digital age, the problems of anxiety and depression among Nepali youth are increasing at an alarming rate.

Depth of the Problem

Our society compares young people at every step. Questions such as “So-and-so’s son earned this much, what have you done?” or “Her daughter went to Australia, when will you go?” hurt their self-esteem.

Seeing other people’s “filtered” happiness on social media creates a sense of being left behind (FOMO – Fear of Missing Out) among youth.

Because of unemployment, family debt burdens and an uncertain future, many educated young people end up choosing paths such as substance abuse or suicide.

Practical Solutions

• Open dialogue: An environment should be created in families and society where mental health can be discussed openly. Instead of hiding problems, people should develop the habit of seeking counselling.

• Stop comparisons: Parents should stop comparing their children with others and respect their individual abilities and interests.

• Digital detox: Young people should limit their use of social media and focus more on real life and relationships.

#7. Unfavourable Environment for Entrepreneurship

Many young people, when they do not find jobs, want to “do something” and move towards entrepreneurship, but the environment (ecosystem) here is extremely challenging.

Depth of the Problem

In Nepal, there is excessive procedural hassle (red tape) in starting a business. Processes from company registration to paying taxes are very complicated for small entrepreneurs.

Bank interest rates are unstable and high. Policies to provide collateral-free loans to startups remain largely on paper.

If someone fails once, society labels them as having “destroyed” everything and discourages them, even though failure is a part of entrepreneurship.

Practical Solutions

• One-door system: All processes for business registration and operation should be made quick and efficient through digital and one-window systems.

• Concessional loans: The government should provide loans at low interest rates to startups with realistic plans and potential, using the project itself as collateral.

• Accepting failure: Society should encourage those who try to become entrepreneurs and provide an environment where they can try again even after failure.

#8. Political Instability and Policy Uncertainty

Educated youth have deep feelings of frustration towards the country’s politics.

Depth of the Problem

When governments change frequently, policies do not remain stable. Youth-oriented programmes introduced by one government are cancelled when another comes to power.

Many commitments are made for youth in budget speeches, but they are not implemented.

Seeing that the country is not developing because of corruption and misgovernance, a negative narrative of “this country will never improve” is becoming stronger among youth. This is killing their creativity and enthusiasm.

Practical Solutions

• Youth participation: Instead of only criticising, young people now need to participate actively in policymaking and politics. The wave of youth involvement seen in local elections should be carried to the national level.

• Accountability: Through social media and civil society, young people should continuously hold leaders accountable for their commitments.

#9. Lack of Career Counseling

In Nepal, many students choose their subjects not according to their interests and abilities (aptitude), but under parental pressure or by following friends.

Depth of the Problem

The decision about what to study after grade 10 (SEE) is not made on a scientific basis. The mistaken belief still exists that “if you score high marks you take science, a bit lower marks mean management, and low marks mean arts/education”.

As a result, a student may pass engineering even though they might actually be interested in literature or music.

Wrong subject choices lead to problems such as poor academic performance, dropping out and later dissatisfaction at work.

Practical Solutions

• Career counselling centres: Every school and college should be required to have trained career counsellors.

• Aptitude testing: A system should be developed so that psychological and technical aptitude tests are conducted before choosing subjects, and suggestions are given accordingly.

#10. Digital Divide in Access to Technology and Digital Literacy

Even though they are considered educated, many young people have not been able to connect with the global digital economy.

Depth of the Problem

Although young people in Kathmandu and urban areas make full use of the internet and modern technology, educated youth in rural regions are deprived of it.

Today, through freelancing, remote work and the gig economy, it is possible to earn in dollars from home. However, many young people do not know about platforms such as Upwork and Fiverr.

They know how to use Facebook and TikTok, but do not know how to turn them into sources of income.

Practical Solutions

• Digital skill training: Local governments should run high-level IT training programmes (AI, coding, content creation) for youth free of cost or at concessional rates.

• Internet access: In line with the concept of “Digital Nepal”, the government should provide high-speed internet services to remote areas at affordable rates.

Conclusion and Future Roadmap

It is not entirely true to say that educated Nepali youth are caught only in a whirlpool of problems; they are also reservoirs of immense potential.

The ten problems mentioned above are interconnected. Educational reforms reduce unemployment, employment reduces mental stress, and political stability promotes entrepreneurship.

Integrated Efforts for Solutions

Responsibility of the State

The government should stop viewing youth merely as a “vote bank” or “machines for sending remittance”. The state needs to focus on concrete youth policies, research-based education and building an employment-friendly economy.

Role of the Private Sector

The private sector should not look only to the government, but should invest in human resource development and provide platforms for young people’s new ideas (innovation).

Role of the Youth Themselves

Most importantly, young people themselves must become agents of change. Instead of only complaining that “the government has done nothing”, they should ask, “What can I do for myself and for society?”

Youth need the courage to continuously learn new skills (upskilling), stay updated with technology and choose the path of entrepreneurship, even if on a small scale.

In the end, Nepal’s prosperity lies in the hands of its youth. Only if an environment is created where the wave of out-migration is reduced and young people can work hard in their own country will the slogan “Prosperous Nepal, Happy Nepali” become meaningful.

There are problems, but their solutions are not impossible. What is needed are willpower, sound policies and honest efforts.