Africa risks squandering its demographic advantage as inadequate technical and vocational training systems leave millions of young people unprepared for the job market, according to research spanning six countries.
A study from the African Center for Economic Transformation (ACET), conducted in partnership with the Mastercard Foundation, reveals that persistent underfunding, limited private sector engagement, and weak alignment between training and labor market needs are undermining Technical and Vocational Education and Training (TVET) across the continent.
The research, which examined systems in Côte d'Ivoire, Ethiopia, Ghana, Niger, Rwanda, and Uganda, found that one in four young Africans is not in employment, education, or training. While 10 to 12 million young people enter the workforce annually, only 3 million formal jobs are created each year a gap that skills development should help bridge but currently doesn't.
"TVET is not just about jobs it's about powering Africa's economic transformation," said Mavis Owusu-Gyamfi, President and CEO at ACET. "Now is the time to move from seeing TVET as a last resort to recognizing it as the winning pathway to equip our young people with critical skills."
The timing is particularly significant given technological shifts reshaping labor markets globally. Skills in coding, cybersecurity, renewable energy installation, climate-smart farming, and technical trades like construction and metal fabrication are increasingly essential yet TVET systems struggle to deliver relevant training in these areas.
Despite policy progress in recent years, five of the six study countries have formal TVET policies implementation remains weak. Coordination problems and limited industry involvement hamper effectiveness, while chronic underfunding restricts what systems can achieve. TVET receives just 2 percent of education budgets in Ghana and less than 10 percent in Ethiopia.
Those resource constraints have direct consequences. In Rwanda, 93 percent of students cited outdated equipment and poor infrastructure as barriers to effective learning. Without adequate funding, countries cannot upgrade facilities, support teacher training, or modernize curricula to reflect current industry needs.
Stigma compounds the challenge. Across all study countries, TVET is perceived as a "last resort," with social and cultural norms favoring academic pathways over vocational training. That perception undermines enrollment even where programs might offer better employment prospects than traditional academic tracks.
Young women face disproportionate exclusion, with their rates of being not in employment, education, or training significantly higher than young men's. Addressing gender disparities in TVET access and completion represents another dimension of the reform challenge.
The report does identify encouraging developments. Uganda and Rwanda are implementing early-stage policy reforms, while Côte d'Ivoire's École de la Deuxième Chance (School of Second Chance) has achieved high post-training employment rates. TVET also shows potential for filling gaps in digital and green skills areas where demand is growing rapidly.
"TVET is Africa's bridge to the future economy," said Mona Iddrisu, Head of Youth Employment and Skills at ACET. "It can equip our young people with the skills they need to lead Africa's harnessing of the benefits of the 4th Industrial revolution, but without bold reforms, millions of young people risk being left behind."
The study offers more than 50 recommendations, emphasizing employer partnerships, digital tools, and innovative financing models to unlock TVET's potential. However, implementation requires sustained commitment from governments, development partners, and private sector actors commitment that has historically proven elusive.
The fundamental tension is between TVET's acknowledged importance and the resources actually allocated to it. Everyone agrees youth need skills for modern economies; few are willing to make the budgetary and policy choices necessary to deliver effective training at scale.
For Africa, the stakes are considerable. The continent's young population should represent competitive advantage, but only if those young people acquire relevant skills. Without functional TVET systems, demographic dividend becomes demographic burden millions of unemployed youth representing unfulfilled potential and possible social instability rather than economic dynamism.
Whether African countries can bridge the gap between TVET aspirations and TVET reality will significantly influence the continent's economic trajectory over coming decades. The research suggests the pathway forward is clear; what remains uncertain is whether political will and financial resources will materialize to follow it.