DOI: 10.11648/j.iecon.20260103.12 ISSN: 3071-4931

Determinants of Urban Youth Unemployment in Bonga Town, Southwest Ethiopia: Evidence from Binary Logistic Regression

Mathiwos Wonit
Youth unemployment remains a major social and economic challenge in urban Ethiopia, where young people face limited job opportunities, skill mismatch, and weak labor-market support systems. This study examines the determinants of urban youth unemployment in Bonga Town, Kaffa Zone, Ethiopia, using cross-sectional data collected from 211 youth respondents and key informant interviews. Descriptive statistics and binary logistic regression were employed to identify the factors influencing employment status. Descriptive statistics show that majority of the youths in the town are male, unmarried, with in the age group 0f 24-26 years, and graduates of college and above. Further, the results from logistic regression show that gender, migration status, average monthly family income, education level, number of skill-improvement training attempts, social networks, skill mismatch, and job information access significantly affect youth employment status. The findings suggest that urban youth unemployment is shaped by both individual characteristics and structural labor-market constraints. Based on these results, the study recommends gender-responsive employment interventions, expanded skills training, improved access to job information, stronger social support mechanisms, and policies that reduce rural-urban migration pressure through balanced local development. These measures are essential for reducing youth unemployment and promoting inclusive urban growth in Bonga Town and similar urban settings in Ethiopia.