World Bank Program Aims to Reach 18 Million African Youth

A $972 million initiative, backed by the World Bank’s International Development Association (IDA), has been launched to address youth unemployment in Eastern and Southern Africa. The Skills for Economic Transformation and Jobs Program (SET4Jobs) aims to equip 18 million young people with improved education and job-ready skills by 2034.

The program seeks to drive job creation by aligning skills training with growing sectors and supporting economic reforms.

Youth Employment Challenges

Eastern and Southern Africa is facing increasing demographic pressure, with approximately 8 million young people entering the labor market annually. Fewer than one million of these individuals secure waged employment. An estimated 6.5 million youth are not enrolled in education or employed, with 3.6 million of that number being women. Informal employment remains prevalent and often characterized by low wages. Without improved job creation and skills development, the gap between labor supply and opportunity is projected to widen.

Focus on Growth Sectors

SET4Jobs will operate over eight years, connecting skills investments to value chains with high job growth potential. The program will prioritize training in agribusiness, energy, healthcare, tourism, and manufacturing sectors. The World Bank Vice President for Eastern and Southern Africa, Ndiamé Diop, stated the initiative is a transformative investment in Africa’s youth, aiming to align training with growing industries and equip millions with skills for good jobs and regional prosperity.

Regional Coordination and Support

The program will support investment projects in seven countries. The Inter-University Council for East Africa (IUCEA) will oversee regional coordination, strengthening collaboration in tertiary education, technical training, applied research, and innovation. Prof. Idris Rai, Acting Executive Secretary of IUCEA, noted that SET4Jobs will transform higher education and skills development into a powerful engine for jobs and shared prosperity.

Economic Reforms and Investment

Beyond skills training, SET4Jobs supports broader structural reforms to create a supportive economic environment. Key areas of focus include investment in physical and human infrastructure, productivity-enhancing reforms, business climate improvements, and the mobilization of private capital. A regional knowledge-exchange platform will be established to facilitate the sharing of lessons learned and the scaling of successful approaches.

Long-Term Investment and Future Prospects

With Africa’s youth population expected to continue growing rapidly, job creation and productivity gains are increasingly viewed as essential for stability and long-term prosperity. By linking skills training to economic opportunities and fostering regional collaboration, SET4Jobs aims to improve employment outcomes for millions of young people and support broader economic transformation across Eastern and Southern Africa. The initiative is expected to leverage advisory services from both IDA and the International Finance Corporation (IFC), and to serve as a platform for additional development and private-sector financing.