AFRICA is renowned for its youthful population, but is the continent fully harnessing this demographic advantage? This question took centre stage at a forum hosted by the Kenyan government on May 27 during the African Development Bank Group’s 2024 Annual Meetings in Nairobi. The panel discussion, titled, Harnessing Human Capital for Sustainable Growth and Development in Africa: Demographic Dividend and Circular Movement of Skilled Labour, brought together experts to explore this critical issue.
Prof. Njuguna Ndung’u, Kenya’s Cabinet Secretary for the National Treasury, stressed the need to align skills development with emerging market opportunities to leverage human capital effectively. ‘If you don’t have human capital expertise, you are going to lag behind,’ he warned.
William Asiko, Vice President for Africa at the Rockefeller Foundation, highlighted Kenyan President William Ruto’s recent announcement that carbon credits would become Kenya’s next significant export by 2030. He noted the potential for job creation but emphasised the importance of developing the necessary skills to capitalise on this opportunity. ‘Artificial Intelligence carbon
markets are the big issues now. Can we develop these skills for the future?’ Asiko asked.
Martha Phiri, Director of the Human Capital, Youth and Skills Development Division at the African Development Bank, discussed the Bank’s new 10-year strategy for 2024-2033. She underscored the need for a healthy, productive, and innovative workforce for Africa’s transformation. ‘A workforce that can ensure food security, drive power plants, enhance transport connectivity, and foster industrialization is crucial,’ Phiri stated.
Phiri also highlighted the importance of derisking youth participation in investments across value chains. ‘We need to ensure we not only build the necessary skills for young people but invest in their businesses and enhance derisking instruments to ensure youth are seen as bankable,’ she said.
The panel identified the private sector as vital for mobilising resources for human capital development. The discussion emphasised the need for instruments that encourage private sector participation to optimise growth. There was a call for the right policies and initiatives to bridge the resource gap and address the m
ismatch between classroom-taught skills and labour market demands.
Dr. Rose Ngugi, Chief Executive Officer of the Kenya Institute for Public Policy Research and Analysis, moderated the event, guiding the conversation on how best to harness Africa’s demographic dividend for sustainable growth.
As Africa continues to grow and develop, the insights and strategies discussed at this forum highlight the critical steps needed to transform the continent’s youthful population into a driving force for economic and social progress.
