Creating jobs requires economic transformation and investments in human capital

Creating new and better jobs is critical to ending extreme poverty and to fostering sustainable development. We know that jobs are the most direct pathway out of poverty. And the challenge is immense:  600 million new jobs will be needed over the next 15 years to keep employment rates stable. In many poor countries, too few-high productivity jobs are being created.

The jobs agenda is at the forefront of the Human Capital Project, our ambitious effort to accelerate more and better investments in people through improvements to education, health, and social protection. Preparing for the jobs of tomorrow, while making critical human capital investments today is a priority for achieving economic transformation in the poorest countries.

As part of the Human Capital Project, we are helping to equip the next generation of workers with the skills needed to tackle the types of jobs which the changing world of work will require.  This also requires enabling workers to move from lower to higher productivity activities—led by a vibrant private sector and supported by public policy actions. 

Our institutional twin goals —ending extreme poverty and boosting shared prosperity— will be achieved faster when low-income countries design effective programs that enable quick transformations toward higher-productivity jobs and improved livelihoods.

That message was reinforced in our recent report launch of Pathways to Better Jobs in IDA Countries. As the report highlights, economic growth has not always created the right number and distribution of jobs for the expanding workforce in IDA countries.

Creating productive and meaningful opportunities for a burgeoning workforce requires economic growth and transformation, led by a vibrant private sector and supported by public policies. There remains much to be done as we continue to tackle the huge challenge of job creation and economic transformation.

Related: 

Jobs and Development Conference 2019: Improving Jobs Outcomes in Developing Countries

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