Youth unemployment rises as India sees surge in graduate population

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A 2026 Azim Premji University 'State of Working India' report says the number of graduates aged 20-29 in India grew about 13-fold over four decades, from around 50 lakh in 1983 to 6.3 crore, while unemployed graduates rose 16-fold, from 7 lakh to 1.1 crore.
Unemployment rates among young graduates remain high, with graduates aged 25-29 seeing the rate rise from 12.2% in 1983 to 20% in 2023, and joblessness varying sharply across states.
Of roughly 50 lakh new graduates added each year between 2004 and 2023, only about 17 lakh got salaried jobs, though graduates still earn about twice as much as non-graduates at the start of work.
The report highlights that while India has succeeded in producing large numbers of graduates, creating enough well-paying jobs for them remains a major challenge for the government.

Whether salaried job creation improves for the roughly 33 lakh graduates added each year
State-level gaps in graduate unemployment, especially for women in states like Jammu & Kashmir, Telangana and Andhra Pradesh
Rising household spending on private coaching, reported at 37-38% of students at secondary and higher secondary levels

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Named India · Delhi · Odisha · Azim Premji University · Narendra Modi

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