Unemployment rate in Pakistan 2023

In 2023, the unemployment rate in Pakistan was at approximately 5.5 percent, a slight decrease from 5.55 percent the previous year. 

Unemployment as an economic key indicator

The unemployment rate of a country represents the share of people without a job in the country’s labor force, i.e. unemployed persons among those who are able and/or willing to work. Among other factors, it takes population growth into account, and thus increases in the labor force, as well as the age of the population. A high unemployment rate usually indicates economic troubles, with a popular example being Greece, where the unemployment rate skyrocketed from 7.76 percent in 2008 to 27.5 percent as a result of the Great Recession.

From plowshares to keyboards

While Pakistan’s unemployment slumped below the one percent mark in 2010, it is now on the rise again and currently standing at just over four percent. Traditionally, most Pakistanis work in agriculture however, the lion’s share of the country’s GDP is generated by services, like tourism, banking, and IT. While agriculture is still important for Pakistan’s economy, the services sector is gaining ground in the country, and more and more people are moving to urban areas from the countryside to find jobs in the cities.