Youth unemployment has emerged as one of the most pressing socioeconomic challenges in sub-Saharan Africa, with its consequences extending far beyond individual economic deprivation to encompass broader social instability, community insecurity, and rising crime rates. In Uganda, where over 78% of the population is below the age of 30, the challenge of youth unemployment has taken on particular urgency, with urban areas bearing a disproportionate share of both unemployed youth and associated crime incidences. In Nansana Municipality, Wakiso District, one of Uganda's fastest-growing peri-urban settlements, high concentrations of unemployed young people coexisted with escalating reports of criminal activity, raising critical questions about the causal and contributory relationship between joblessness and crime among urban youth. This study examined the influence of youth unemployment on crime among urban youth in Nansana Municipality. The study adopted a cross-sectional survey design integrating quantitative and qualitative approaches. A sample of 140 respondents comprising unemployed youth, community leaders, local council officials, and police officers was selected through stratified random sampling. Structured questionnaires and key informant interviews were used for data collection. Pearson correlation and multiple linear regression analyses were applied to examine the relationship between youth unemployment and crime. The findings revealed a strong positive and statistically significant relationship between youth unemployment and crime (r = 0.768, p < 0.05). Economic deprivation (β = 0.461), social exclusion (β = 0.423), and idleness and lack of structured engagement (β = 0.438) were each significant predictors of criminal behavior among urban youth. Youth who experienced prolonged unemployment, social marginalization, and absence of structured daily activity were significantly more likely to be involved in or exposed to criminal activities. Youth unemployment was a significant determinant of crime among urban youth in Nansana Municipality. The longer young people remained unemployed and socially excluded, the higher their vulnerability to criminal engagement, confirming that joblessness was not merely an economic problem but a serious public safety and social cohesion concern. Nansana Municipal Council, the Wakiso District local government, national youth employment agencies, and civil society organizations should urgently invest in targeted youth employment creation, vocational skills development, and social reintegration programs to reduce the criminogenic effects of youth unemployment in the municipality.