As Papua New Guinea (PNG) celebrates 50 years of independence, the nation finds itself facing a demographic paradox. With more than 60% of its population under the age of 25, PNG is uniquely positioned to harness the power of its youth for national development. Yet this youth bulge—an enviable asset in theory—has become one of the country’s most urgent policy dilemmas. Youth unemployment, underemployment, and economic marginalisation are now emerging as critical fault lines in the national landscape. Left unaddressed, these dynamics threaten to become a ticking time bomb with wide-ranging social, economic, and political consequences.
The scale of youth unemployment in PNG is difficult to measure with precision due to the country’s largely informal economy and limited labour market data. But the contours of the crisis are increasingly visible. Only a small fraction of young people find employment in the formal sector. Most are absorbed into the informal economy, where they operate as market vendors, betel nut sellers, PMV drivers, or casual labourers in construction and agriculture. These activities offer some means of survival, but little in the way of security, stability, or advancement. Even those who complete secondary school or university face the bleak reality of a saturated and underdeveloped job market. Young graduates queue for months, sometimes years, without finding stable work.
The economic system that exists today in PNG is structurally incapable of absorbing the sheer number of young people entering the labour force each year. Formal job creation has lagged far behind population growth, and there has been little strategic alignment between the education system and the evolving demands of the economy. Vocational training remains under-resourced and disconnected from industries that might otherwise offer scalable employment—such as agriculture, construction, tourism, and ICT. While high-level mining and LNG projects attract investment, they often require skills PNG’s young workforce does not yet possess and rarely produce long-term local employment at scale.
The impact of this economic exclusion is most starkly felt in PNG’s growing urban settlements. Cities like Port Moresby, Lae, Mt Hagen, and Goroka are expanding rapidly, fed by rural-urban migration and natural population increase. These settlements are crowded, underserved, and precarious. In such environments, the lack of opportunity can quickly morph into desperation. Many unemployed youth turn to the informal economy, while others find themselves recruited into gangs or involved in petty crime. The rise of raskol culture in urban areas is not merely a law-and-order issue—it is a symptom of deeper structural failings.
A growing number of youth are losing faith in the idea that the system can deliver for them. This disillusionment is especially acute among those who have invested in education, only to find themselves shut out of formal opportunities. The education system itself is under strain. While PNG has made impressive gains in access to education since independence—especially through policies such as tuition-free schooling—quality has suffered. Many young people leave school without basic literacy and numeracy skills. At the tertiary level, universities and vocational colleges are overstretched, outdated in curriculum, and disconnected from labour market realities. Graduates often lack the practical skills and professional networks needed to succeed.
Compounding these challenges is the absence of a coherent national youth employment strategy. Policy responses have tended to be reactive rather than systemic. Short-term job creation schemes, donor-supported training programs, or one-off entrepreneurship workshops are common, but they often lack sustainability or national coordination. Government departments responsible for youth development operate in silos, and inter-ministerial collaboration is limited. Efforts to stimulate private sector job creation, particularly in small and medium enterprises (SMEs), are constrained by a lack of access to finance, infrastructure deficits, and bureaucratic red tape.
The political ramifications of rising youth unemployment should not be underestimated. PNG’s young population is increasingly connected to the outside world through mobile phones and social media platforms. This has led to the rise of a more politically conscious and digitally literate generation—one that is aware of inequality, corruption, and global opportunity gaps. Platforms such as Facebook, TikTok, and YouTube have become outlets for political expression, satire, and civic mobilisation. But they have also become echo chambers of frustration. Many young Papua New Guineans feel that the political class is out of touch, self-serving, and indifferent to their realities.
Elections have become moments of heightened political expectation, yet the cycle of disillusionment persists. Youth voter turnout is high, but enthusiasm quickly dissipates when newly elected leaders fail to deliver. For many young people, politics appears to be a game for the elite, inaccessible to ordinary citizens without money, connections, or tribal backing. This growing sense of marginalisation could, in the long run, undermine democratic engagement and increase the risk of civil unrest. As history in other developing democracies has shown, a large, unemployed, and disillusioned youth population can become a source of instability if not constructively engaged.
Despite the bleak picture, PNG is not without options. The youth unemployment crisis is not an inevitability—it is a policy failure that can be addressed. But it requires political will, long-term thinking, and a fundamental reordering of national priorities. The vocational and technical education system must be modernised, expanded, and aligned with the needs of the economy. Rather than viewing TVET as a second-rate option for those who fail academically, it should be recognised as a central pillar of workforce development. Public-private partnerships can help equip young people with relevant skills in construction, hospitality, electrical trades, renewable energy, and digital services.
Agriculture, still the backbone of the rural economy, remains under-leveraged as a youth employment sector. While many young people are moving away from traditional farming, innovations in agribusiness, value chains, and digital marketplaces offer opportunities to make agriculture more attractive, productive, and profitable. Government support in the form of extension services, market access, and agro-finance could empower youth to become job creators in their own communities rather than job seekers in cities.
Urban economic development also requires a rethinking of infrastructure, transport, and regulatory barriers to enterprise. Many young people are already entrepreneurs—selling food, crafts, clothes, or phone credits. But they need a supportive ecosystem, including access to microfinance, secure markets, digital tools, and basic legal protections. Youth enterprise hubs, business incubators, and training centres can provide a launchpad for innovation if adequately supported by both government and the private sector.
Large-scale extractive projects, while not a panacea, should be made more accountable for youth training and employment. Local content policies must go beyond tokenism to require real investment in upskilling, mentoring, and apprenticeship programs for young people from affected communities. Similarly, new infrastructure projects under initiatives like Connect PNG should include built-in targets for youth labour force participation.
But addressing the youth crisis cannot be confined to economic measures alone. Young people must be given a greater voice in shaping the policies that affect their futures. Civic education, youth councils, and platforms for political participation need to be strengthened to ensure that PNG’s democracy does not remain the domain of the older generation. A democratic system that fails to engage its largest demographic is a system at risk.
The role of international partners, while important, should also be reconsidered. Donor agencies, NGOs, and multilateral institutions can help support skills development, innovation, and job creation. But their efforts must be aligned with national strategies and guided by local leadership. Youth employment in PNG cannot be outsourced. It must be owned, prioritised, and led from within.
Papua New Guinea today is not short of talent, energy, or ambition. Across the country, young people are finding creative ways to survive, express themselves, and contribute to their communities. What they lack is opportunity. A generation that feels excluded from the country’s economic and political life will not wait forever. Whether youth become a force for transformation or instability will depend on the choices made today.
As the country marks 50 years of independence, the focus should not only be on the legacies of the past, but on the futures being denied. Youth unemployment is not just an economic issue—it is a test of national vision, leadership, and courage. The clock is ticking, and the next generation is watching.