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World Bank warns Africa on youth jobs

World Bank warns Africa on youth jobs

5 months ago
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Home Business & Economy

World Bank warns Africa on youth jobs

by Editorial Staff
5 months ago
in Business & Economy
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Keypoints:

  • World Bank warns youth frustration rising amid weak job creation
  • Africa’s working-age population to nearly double by 2050
  • Governments urged to back SMEs and align education with jobs

AFRICA must urgently scale up job creation or risk worsening unrest among its youth, the World Bank has warned in its latest Africa Pulse report.

The report highlights growing frustration among Generation Z as rapid population growth outpaces employment opportunities. While Africa’s economy is recovering, most new jobs remain in low-productivity informal sectors, leaving millions under-employed or excluded from decent work.

Rising discontent among the young

The World Bank said the continent’s working-age population will nearly double by 2050, putting intense pressure on labour markets already struggling to absorb new entrants.

Across major economies, discontent is rising as young people question whether growth is translating into opportunity. ‘Gen Z frustration is a reflection of deep structural challenges in our labour markets,’ the report warned.

Unless governments foster inclusive growth and create secure, formal-sector jobs, the Bank cautioned, political and social tensions could deepen.

Growth not translating to jobs

Although sub-Saharan Africa’s growth is forecast to rise from 3.5 per cent in 2024 to 3.8 per cent in 2025, the World Bank said this expansion remains insufficiently job-intensive.

Only around one in four workers hold wage-paying roles. Most survive in informal or family-run enterprises with little chance of upward mobility.

The report stressed that economic progress must become ‘more inclusive, productive, and job-rich’ if countries are to convert growth into shared prosperity.

Policy shifts needed

The World Bank urged African governments to focus on four key priorities to turn growth into jobs:

  1. Improve the business climate — streamline regulations, cut red tape, and make credit more accessible, especially for small and medium-sized firms.
  2. Align education with market needs — strengthen vocational and digital skills training tied to high-growth sectors.
  3. Invest in infrastructure and energy — ensure reliable power, logistics and connectivity to reduce business costs.
  4. Promote job-rich industries — including agro-processing, manufacturing, tourism, renewable energy and digital services.

‘The scale of Africa’s youth challenge is unprecedented, but so too is the opportunity,’ the report noted.

Warning and opportunity

While youth frustration has sparked protests in several countries, the World Bank said effective reforms could transform the continent’s demographic surge into a powerful growth engine.

‘If Africa acts decisively, its young people can drive innovation, productivity and prosperity. Delay, however, could turn hope into unrest,’ the report concluded.

Tags: jua youthyouth
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Editorial Staff

Editorial Staff

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