World Bank Launches $972 Million Initiative to Equip 18 Million African Youth with Skills for Employment

Washington D.C. – February 27, 2026 – The World Bank has announced a $972 million regional program, the Skills for Economic Transformation and Jobs Program (SET4Jobs), designed to equip 18 million young people in Eastern and Southern Africa with the education and skills needed to thrive in key economic sectors by 2034. The initiative addresses the critical challenge of youth unemployment in the region.

Addressing a Growing Crisis

Eastern and Southern Africa face a significant employment gap. Approximately 8 million young people enter the labor market each year, yet fewer than one million secure waged jobs. An estimated 6.5 million youth, including 3.6 million women, are currently neither in school nor employed, highlighting the urgent need for targeted interventions. World Bank

Program Focus and Key Sectors

SET4Jobs will support countries over eight years through a multi-phase approach, aligning skills development with sectors poised for job growth. Key industries targeted include agribusiness, energy, healthcare, tourism, and manufacturing. Funds for NGOs The program aims to not only increase the number of jobs available but similarly improve their quality, fostering sustained economic growth.

Participating Countries and Coordination

Investment projects are planned in Comoros, the Democratic Republic of Congo, Madagascar, Mozambique, Sao Tome and Principe, Tanzania, and Zambia. Radarr Africa The Inter-University Council for East Africa (IUCEA) will oversee regional coordination, strengthening collaboration in higher education, technical training, applied research, and industry-aligned training. Radarr Africa

Beyond Skills: A Holistic Approach

The program recognizes that skills development alone is insufficient for creating sustainable employment. SET4Jobs will also support reforms focused on improving infrastructure, productivity, and the overall business climate. A regional knowledge-exchange platform will facilitate the sharing of policy lessons and attract additional financing from development and private sector partners. Funds for NGOs

Financing and Support

The $972 million financing package is provided through the International Development Association (IDA). World Bank Advisory support will also be provided by the International Finance Corporation, with the project designed to attract further public and private investment over time.

Looking Ahead

“SET4Jobs is a transformative investment in Africa’s greatest resource – its youth,” said Ndiamé Diop, World Bank Vice President for Eastern and Southern Africa. World Bank As the region’s youth population continues to grow, initiatives like SET4Jobs are viewed as central to ensuring long-term stability and economic prosperity.