A forthcoming World Bank report entitled “Building Effective Employment Services for Unemployed Youth in the Middle East and North Africa”, concludes that in order to help unemployed workers in the region obtain the skills required for the available jobs, there is an urgent need to reform existing employment programs.
Private Sector Development
This month marks the midpoint of the transition process in Yemen. As agreed upon in the peace initiative in November 2011, the transition will include a national dialogue that brings together a broad geographic and political cross section of the country, the drafting of a new constitution, and concluding with new parliamentary and presidential elections.
With the limited prospects of a formal job, a growing number of young people, especially the less educated ones, are attracted to the prospects of self-employment. It is seen as a way out of inactivity, low pay, long working hours, and the hazardous work conditions often associated with the informal sector. But their lack of access to business training and finance constitute major barriers towards setting up viable micro-enterprises.
When the Arab Spring broke out and regimes began to fall under the pressure of their own citizens, a revolution on social media also took hold. During this critical period, the use of Facebook and Twitter was ubiquitous, especially in Egypt and Tunisia. Social networks and cell phones played an important role.
In light of recent political and social unrest in the region, foreign investors are taking a “wait-and-see” attitude to projects in the Middle East and North Africa. For the region’s investment promoters, this demands better, more proactive performance than in the past. Fortunately, although much remains to be done, the investment agencies of the 19 MENA governments are, as a group, off to a good start.
The topic of inclusive growth has captivated the minds of economists and politicians in the Middle East and North Africa for some time. The interest was there before the events of the Arab Spring and only intensified with the revolutions of 2011. But inclusive growth has eluded the countries of the MENA region.
Egyptians mark the second anniversary of their 2011 revolution on January 25. The revolution, which was in part fueled by unmet aspirations for economic mobility, highlighted the mass discontent of young people unable to find jobs that matched their expectations. The youth entering the labor force is more educated than in the past, but job opportunities have been shrinking.
From the pyramids showcasing the world’s first great civilization, to the sandy white beaches of the southern Mediterranean, religious sites and pristine eco-reserves, the Middle East and North Africa region is chock full of unique tourist attractions. Tourism in MENA does not only satisfy the hedonistic wishes of vacationers – it is an important sector for economic development and job creation.
As Arab countries mark the two-year anniversaries of their revolutions, economic challenges remain sharp, and the current political and policy uncertainty make it difficult to forecast how growth will evolve over the longer run. One way to reduce some of the guesswork is to look at what has typically happened in other transitions. In a recent paper, we identified and examined 90 attempts at transition from autocracy to democracy that took place over the last half century.
Tune in for the live streaming of a virtual knowledge sharing forum on the topic of jobs on January 16 and January 17 at 8:30 AM EST (3:30 PM Istanbul time). This is a unique opportunity for anyone interested in this issue to connect with experts and top-level practitioners with just a few clicks. Participate in the debate, ask questions and share your views!