ILO: Productive Jobs Crucial for Africa's Growth

Africa's growing youth population can become a powerful driver of economic transformation if countries place productive and decent job creation at the centre of their economic strategies, the International Labour Organization (ILO) told participants at the African Development Bank (AfDB) Annual Meetings in Brazzaville from 25 to 29 May 2026.

The message was delivered during a high-level panel discussion on 28 May on "Harnessing Africa's Demographic Dividend for Accelerated Economic Transformation in Africa" and reinforced through a series of meetings with African Development Bank leaders, government representatives, regional organizations and social partners throughout the week.

Panelists discuss Africa's demographic dividend at the African Development Bank Annual Meetings in Brazzaville, Republic of the Congo.

© AfDB Group

© AfDB Group
ILO Chief Economist Sangheon Lee (right) speaks during a panel discussion on harnessing Africa's demographic dividend at the African Development Bank Annual Meetings in Brazzaville, Republic of the Congo, on 28 May 2026.

Speaking at the panel, ILO Chief Economist Sangheon Lee argued that Africa's employment challenge should not be viewed as a youth problem, but as a broader challenge of economic transformation.

"We keep calling it a youth problem, but it's not really a youth problem," Lee said. "The problem is the lack of productive employment."

Lee noted that the relationship between economic growth and job creation has weakened significantly in many countries, meaning that growth alone is no longer sufficient to generate enough employment opportunities.

"One of the key challenges for Africa is that the fundamental linkages between economic growth on the one hand and job creation on the other have been weakened very significantly in recent decades," he said. "Economic growth doesn't automatically create job opportunities."

He warned that many young people who find work remain trapped in low-productivity, informal and insecure jobs, limiting opportunities for workers and holding back productivity growth.

To address these challenges, Lee called for employment objectives to be placed at the centre of economic and investment strategies. He stressed the need to better connect skills development initiatives with industrial policies, digitalization strategies and broader structural transformation efforts. He also emphasized the importance of strong labour market institutions, social protection systems and wage policies that reward skills and encourage young people to invest in education and training.

"Young people need to see that skills are rewarded," Lee said. "If you have skills but are not compensated properly, young people may lose interest in pursuing skills and education."

Panelists pose for a group photo during a discussion on Africa's demographic dividend at the African Development Bank Annual Meetings in Brazzaville, Republic of the Congo.

© AfDB Group

© AfDB Group
Panelists, including ILO Chief Economist Sangheon Lee (right), during a discussion on harnessing Africa's demographic dividend at the African Development Bank Annual Meetings in Brazzaville, Republic of the Congo, on 28 May 2026.

Lee also stressed the importance of strengthening labour market data systems to support evidence-based policymaking. He underlined the need to complement traditional labour market statistics with innovative data sources and analytical tools, including high-frequency and administrative data, to help policymakers respond more effectively to changing labour market conditions.

He pointed to ongoing collaboration between the ILO and the African Development Bank on employment impact assessments and efforts to address labour market data gaps, including using innovative approaches to better understand employment outcomes and identify opportunities for policy action.

Throughout the Annual Meetings, the ILO delegation held discussions with senior African Development Bank officials, including the Bank's Chief Economist, Vice-President and directors responsible for partnerships, regional integration and development impact. The meetings reflected growing interest in the ILO's expertise on employment, labour market institutions and job quality. They also explored opportunities for collaboration on employment impact assessments, labour market analysis and future research on jobs and development, including support for the Bank's planned analytical work on employment.

Sangheon Lee and AfDB Chief Economist Kevin Chika Urama during the African Development Bank Annual Meetings in Brazzaville, Republic of the Congo.

© Sangheon Lee / ILO

© Sangheon Lee / ILO
ILO Chief Economist Sangheon Lee (left) meets with African Development Bank Chief Economist and Vice-President Kevin Chika Urama during the African Development Bank Annual Meetings in Brazzaville, Republic of the Congo, in May 2026.

The delegation also met government representatives, regional organizations and social partners to discuss youth employment, skills development, wages and social dialogue. Discussions with the East African Community, ITUC Africa and African Development Bank country teams underscored shared priorities around promoting productive employment, strengthening skills systems and ensuring that economic transformation creates decent work opportunities for young people and women across the continent.

The meetings also provided an opportunity to advance discussions on a stronger institutional partnership between the ILO and the African Development Bank. Both organizations expressed interest in deepening cooperation through knowledge-sharing activities, joint analytical work and closer collaboration on employment-centred development strategies. Discussions also advanced work towards a formal memorandum of understanding, alongside new knowledge-sharing initiatives, that would provide a framework for future cooperation.

As Africa's labour force continues to expand, the ILO and the African Development Bank share a common objective: ensuring that economic growth translates into more and better jobs. The discussions in Brazzaville underscored the growing recognition that productive employment, decent work and job quality must be at the heart of efforts to harness Africa's demographic dividend and translate economic growth into inclusive and sustainable development.

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