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East and Southern Africa : a $972 million programme to train 18 million young people and boost employment

Faced with rapid population growth and the challenge of youth unemployment, the World Bank has launched a new regional programme aimed at strengthening skills and promoting job creation in East and Southern Africa. Known as SET4Jobs, the initiative, financed with $972 million, aims to improve training for 18 million young people by 2034 and support the region’s economic transformation.

The issue of youth employment remains one of the major economic and social challenges facing the African continent. In East and Southern Africa, demographic pressure continues to intensify: around 8 million young people enter the labour market each year, yet fewer than one million secure a salaried job, according to World Bank data.

To address this situation, the Bretton Woods institution announced the launch of the “Skills for Economic Transformation and Jobs” (SET4Jobs) programme. This regional initiative, financed through the International Development Association (IDA), will run for eight years and aims to better prepare young people for labour market needs.

The objective is ambitious: 18 million young people are expected to benefit from improved education and stronger training by 2034, increasing their employment prospects in key economic sectors.

A structural challenge for Africa’s youth

Unemployment and underemployment among young people remain a major challenge in several countries across the region. The World Bank estimates that around 6.5 million young people in East and Southern Africa — including 3.6 million women — are neither in education nor in employment, nor engaged in any form of training.

This phenomenon, often referred to by the acronym NEET (Not in Education, Employment or Training), represents a significant obstacle to economic development and social stability.

For economists, the issue goes far beyond education alone: it requires strengthening the entire economic ecosystem in order to generate more quality jobs.

The World Bank therefore stresses that creating more and better jobs requires sustained investment in both physical and human infrastructure, alongside reforms that support entrepreneurship and encourage private investment.

Focusing on high-potential sectors

The SET4Jobs programme aims precisely to align youth training with the needs of growing economic sectors. Priority areas include agribusiness, energy, health, tourism and manufacturing, which are considered key drivers of job creation.

According to Ndiamé Diop, World Bank Vice President for Eastern and Southern Africa, the initiative above all seeks to invest in the continent’s greatest asset: its youth. “The SET4Jobs program is a transformative investment in Africa’s greatest asset: its youth. Working closely with the private sector, we will help ensure that their training aligns with high-growth sectors such as agribusiness, energy, health, tourism, and manufacturing.”

The goal, he added, is to equip millions of young people with the skills needed to “secure quality jobs, thrive and succeed in a modern economy, and contribute to regional prosperity.”

Seven countries involved

The first phase of the programme will cover seven countries in East and Southern Africa:
the Comoros, the Democratic Republic of Congo, Madagascar, Mozambique, São Tomé and Príncipe, Tanzania and Zambia.

Regional coordination will be ensured by the Inter-University Council for East Africa (IUCEA), an organisation responsible for promoting university cooperation and the development of higher education across the region.

According to Idris Rai, Acting Executive Secretary of IUCEA, the aim is to strengthen the link between education, innovation and industry needs. “IUCEA brings strong regional experience in strengthening institutional capacity, promoting industry-responsive training, and advancing applied research and innovation in higher and technical education. With the SET4Jobs program, we are building on this momentum to make higher education and technical training a powerful driver of job creation and shared prosperity across the region.”

Strengthening regional cooperation

Beyond training, the programme will also establish a regional knowledge-sharing platform designed to facilitate the exchange of experience and lessons learned among participating countries.

The initiative will rely not only on IDA financing but also on advisory support from the International Finance Corporation (IFC) and contributions from other development partners.

Created in 1960, IDA is one of the main development financing instruments for the world’s poorest countries. Since its creation, it has provided $533 billion in financing to 116 countries, many of them in Africa. Over the past three years, its annual commitments have averaged $34.5 billion, with around 70% allocated to the African continent.

A strategic issue for the continent’s future

With the youngest population in the world, Africa has the potential to turn this demographic challenge into a powerful engine of growth. However, this “demographic dividend” will only materialise if millions of young people gain access to relevant training and productive employment.

The SET4Jobs programme is therefore part of a broader strategy aimed at strengthening skills, supporting innovation and encouraging entrepreneurship, in order to make Africa’s youth a key driver of economic transformation.

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