In many countries today there are many highly qualified graduates without employment. What factors may have caused this situation and what, in your opinion, can/should be done about it?

There is a high unemployment

rate

among qualified graduates in many

countries

, especially the developing ones. In

this

essay, I will discuss the reasons behind that, as well as some recommendations to increase the employment

rate

. Many factors contribute to the lack of employment opportunities for qualified and educated individuals in many

countries

. The most important factor in my opinion is the lack of

investments

.

For example

, in Egypt,

investments

, both domestic and foreign, represent a smaller portion of the gross domestic product compared to the developed

countries

. The smaller the

investments

in manufacturing and other sectors, the lower the job opportunities, and the higher the unemployment

rate

. Another reason is the difficulty to start a company.

For instance

, the interest rates in Egypt are very high, which makes it difficult for a project to be economically viable, and

therefore

, people are discouraged to invest and start their own business. In my opinion, several things can be done to overcome

this

issue.

First

, the government in Egypt should take serious steps to encourage both local and foreign

investments

to create jobs.

For example

, new companies should enjoy lower taxes in the

first

ten years of operation.

Moreover

, the central bank should remove restrictions on the money flow inside and outside the country to lure foreign investors to come.

Second

, small investors should be incentivised by the government by giving them low-interest loans and tax breaks.

Third

, there should be an increase in public spending on infrastructure, education, and health to increase the number of jobs. To conclude, I think that the population growth in developing

countries

outpaces economic growth.

However

, if the recommendations mentioned above are taken into consideration, the unemployment

rate

will decrease.