World Bank Outlines Strategies Govt Can Implement to Create Jobs for Kenyans

Undated photo of jobseekers sitting down
A photo of jobseekers waiting for an interview in Nairobi County on June, 18, 2019.
Nairobi County Government

The World Bank in a report published on Monday urged the Kenyan government to create a better business environment to increase the number of jobs generated.

In the report titled Jobs for All: Unlocking Inclusive Growth in Kenya, the government was asked to provide current and future workers with cognitive and non-cognitive and social-emotional skills that will allow budding talent to adapt to a changing world of work.

The Bretton Woods institution further observed that better policies should also be drafted to create a better environment for businesses to thrive and create employment.

"Strong foundational policies, strong fiscal and monetary policies, and regulatory certainty are prerequisites for private sector-led growth. Sound fiscal policy contributes to continued macroeconomic stability, supports public investment in improving infrastructure and provides the space for long term steady investments in improving human capital," read part of the report.

President William Ruto and World Bank President Ajay Banga at State House, Nairobi on March 8, 2023.
President William Ruto and World Bank President Ajay Banga at State House, Nairobi on March 8, 2023.

Another step is easing youth's transition into employment after completing higher education. This can be done through Active Labour Market Programs (AMLPs) to help bridge the skills gap and support those with lower levels of education and access to better jobs.

World Bank further noted that the Kenyan government should invest in the young Kenyans entering the labour force.

Kenya can invest in them through early childhood development, increasing primary health care coverage and increasing the quality of education. World Bank revealed that Kenya still faces challenges of equity and quality in primary, secondary and tertiary education.

Additionally, in order to create more jobs, Kenya was tasked with increasing the productivity of the private sector to support sustained high rates of economic growth.

"Increasing the productivity of the private sector is essential to generate more, better and more suitable jobs in the economy," reads part of the report.

The manufacturing sector in Kenya was listed as among the important sources of jobs for those with fewer skills.

Another step Kenya should take is to enhance job-relevant skills and provide multifaceted support to the workforce. This can include training and support in connecting them to better job opportunities.

"For Kenya to become an upper-middle-income country, there needs to be a decline in the share of employment in primary agriculture production, along with an increase in urbanization and education," reads part of the report.

Kenya should also support productivity increases for Micro, Small and Medium Enterprises (MSMEs) which the institution observed will help grow the entrepreneurial ecosystem in the country.

It was observed MSMEs have the highest potential to create more jobs and grow the economy but only if they thrive.

Traders conducting business in a town in Kenya
Traders conducting business in a town in Kenya