Policy highlights:

  • This report points to some inequalities that are particularly harmful for economic growth in Africa: 1) all inequalities in terms of income distribution between the middle and the bottom and between the bottom and top income-segments; 2) the advantages that males have over females in labour market participation; 3) inequality in human capital distribution – or the proportion of people with primary education and less, to those with secondary education and above.
  • Based on these findings recommendations can be made for immediate as well as long-term policy action: 1) reduce man-made barriers to trade, followed by creating cross-border and inter-regional infrastructure linkages to reduce spatial inequality; 2) reduce skills imbalance by well-targeted educational spending beyond primary education; 3) address root causes of gender inequality by fast-tracking laws on equal opportunity in the labour market – without such action other efforts will not be sustainable; 4) Encourage policies for attracting investment in industries that complement rather than compete with small businesses; and 5) Develop policy to attract FDI into more low-skill labour-absorbing sectors to address the problem of human capital distribution.

Related items

AERC Regional Policy Forum summary

The AERC hosted a virtual Regional Policy Forum on 28 March 2022. The forum brought together key stakeholders who play important roles in shaping new research findings, paving new policy directions, and initiating innovative practices in the areas of youth and employment.

Getting up to speed with inclusive development

The INCLUDE team’s reading list: March 2022 Every month we share with our readers a…

cairo-workers
Identifying Economic Sectors to Create Employment for Youth in Africa: key findings from selected country cases

Growth Sectors for Youth Employment (GSYE) is an African Economic Research Consortium (AERC) collaborative research…

John_maara_Photo_
Getting up to speed with inclusive development

The INCLUDE team’s reading list: February 2022

Getting up to speed with inclusive development

Every month we share with our readers a curated reading list on inclusive development. Here you can find the list for January 2022