Youth Unemployment Rate Reaches 17.37 Per Cent, with Access to Work and Education Remaining Key Challenges
According to data from the Indonesian Central Statistics Agency (BPS) for May 2026, the open unemployment rate for young people (aged 15–24) was recorded at 17.37 per cent, significantly higher than the national unemployment rate of 4.65 per cent. Furthermore, approximately 19.44 per cent of Indonesian youth are classified as NEET (Not in Employment, Education, and Training).
In Jakarta, although the official poverty rate is relatively low at 4.03 per cent, the Gini ratio—representing expenditure inequality—stands at 0.435. This is one of the highest figures nationally, reflecting a significant gap in economic access between different social groups.
Additionally, underprivileged youth from vulnerable communities face various limitations, ranging from access to education and employment opportunities to the ability to develop their personal potential. These conditions impact not only individual well-being but also exacerbate various social issues within their living environments.
In response to these challenges, the Bulir Padi Foundation has launched the YBP Social Entrepreneurship Programme in partnership with the Faculty of Business and Social Innovation at Atma Jaya Catholic University of Indonesia (FBIS Atma Jaya). This programme was conceived as an effort to address youth employment challenges in Indonesia, particularly for those from underprivileged communities.
The programme emphasises the application of Green Economy and Circular Economy principles in the design of participants’ businesses. This involves utilising local resources responsibly, reducing waste, extending material lifecycles, and creating added value through environmentally friendly innovation. This approach is designed to produce business models that are not only economically viable but also sustainable for the environment and society.
“Social entrepreneurship is one of the most effective strategies to open economic opportunities while creating sustainable social change for our mentored youth. Through a social entrepreneurship approach, our mentees and alumni are equipped with the skills to build businesses that are not solely oriented towards financial profit, but also provide real benefits to the community and the surrounding environment,” said the Chairperson of the Bulir Padi Foundation, Tia Sutresna, on Tuesday, 22 September 2026.
The programme employs a Community-Based Social Entrepreneurship approach, where each group is formed based on the participants’ original communities. This ensures that business ideas are developed from community needs, local potential, regional resources, economic opportunities, and environmental issues. Furthermore, as a Foundation that upholds character development values, this programme serves as a manifestation of civic duty and awareness, aiming to produce young individuals who are empathetic and beneficial to society.