Unemployment in Centeral Ethiopia: Exploring the Root Causes of Urban Youth Gurage Zone, Central Ethiopia

Youth unemployment is a major socio-economic challenge in the Gurage Zone, Ethiopia. This study investigated its determinants, root causes, and solutions using a mixed-methods approach. Researchers gathered data from 400 youths through multi-stage sampling and analyzed it using descriptive, inferential, and qualitative methods. The findings revealed that youth unemployment is significantly associated with sex, age, migration status, educational attainment, maternal education, access to credit, and training. Key structural causes include inflation, declining investment, political instability, skill mismatches, inadequate education, limited financial resources, and an underdeveloped agricultural sector. The study recommends improving education and skills development, expanding access to credit, promoting self-employment, increasing investment in agriculture, and strengthening political and economic stability. Priority employment sectors include poultry, livestock, dairy production, irrigation, modern farming, and cobblestone production. Coordinated government and stakeholder support is essential to reduce youth unemployment and promote sustainable regional development.