27 June 200827 June 2008

Sibry TapsobaManager, Higher Education, Science and Technology,

African Development Bank

Kenneth RuffingCoordinator, African Economic Outlook

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AEOAEO Technical and Vocational Skills Development (TVSD)

Which role for TVSD in Africa today?

Key questions

Which role for TVSD in Africa today?

What is the status of skills development? Which pproviders and what access?

A kill b i d l dd d? h Are skills gaps being adequately addressed? What are the lessons learned from recent reforms ?

Which financing policies and incentives can improve the training environment?

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DefinitionDefinition Technical and vocational skills development

Acquisition of knowledge,q gpractical competences & knowhow

Public or private TVET 

h l

Workplace training in enterprises

Informal Apprenticeship

Dual schools  enterprises  Training

Degree of formalizationof labour market

Formal Informal

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TVSDTVSD Key Facts

Sustained economic growth …but:

• World’s lowest productivity (25% of world average, 1/12th of the average of industrialized countries, slow progress) partly due to limited technical skills

• Decreasing role of Africa in world trade (less than 2%)

• Increasing youth unemployment (20% on average)

• Large informal sector (on average more than 80% of total • Large informal sector (on average, more than 80% of total employment)

Notable impro ement in primar education but:Notable improvement in primary education, …but:• High drop out rates

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MDGsMDGs The role of TVSD in achieving the MDGs

MDG 1: Eradicate Extreme 

Poverty and 

MDG 2: Expand Primary Education MDG 3: 

Improve Gender Equality in Educ.GINI↓Hungerq yGINI ↓

SMEs development

Elimination of child labour

Better jobs for parents

Empowering Rural Women

Technical and Vocational Skills 

l

Technical and Vocational Skills 

l

MDG 4: Lower Mortality Rates

MDG 8: Develop Decent Work strategies for youth

DevelopmentDevelopment

Water & soil mgt For community 

health workersInfo & counselling

MDG 5: Enhance 

Reproductive Health

MDG 6: Combat HIV/AIDS, Malaria, 

etc.

MDG 7: Environmental Sustainability

health workers

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Health

TVSDTVSD Who provides training?

Mode Strengths Weaknesses

Public Training Centres

• Follow‐up national pol.• Address priority skills needs (AGR, 

• Quality depends on budget •little relevance

IND) • Outdated curriculumNGOs • Important providers

• Training for vulnerable groups• Large variation of quality• Training: Low capital invest.

Private Training Providers

• Fastest growing segment (train more than 65%students in Mali, Benin, more than 80% in Uganda)

• Range of pgm. & quality vary• high tuition fee

• Flexible absorption of demand

Traditional Apprenticeships

• largest training provider in urban Africa (accounts for 60‐80 % of 

h l l)

• Training of poor quality• Very long training period

bl f d dtraining in Ghana, Mali , Senegal), target informal sector°• On‐the‐job & high relevance• Self‐financed & self‐regulated

• Unsuitable for modern industry•Skills usually not recognised by TVSD

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g

Enterprise Based Training

• Self‐financed & self‐regulated• Based on actual tasks performed• Linked to existing prod. techn.

• Training is selective (large firms)• Small firms less likely to train

Enrolment in Secondary Technical and Vocational Training International Comparison

Percent average 2002‐2006

Training – International Comparison

16%18%20%

Percent, average 2002‐2006 

8%10%12%14%16%

0%2%4%6%8%

0%

South Eastern Asia

Latin America & Caribbean

Eastern Asia OECD Sub‐Saharan Africa

North Africa

Source: OECD Development Centre / UNESCO‐UIS (2006), 2008

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ACCESSACCESS Formal Training, Only 5 % of Students

The percentage of total secondary students enrolled in technical and vocational programmes in 2005

African countries can be grouped in three

AlgeriaLibya Egypt

Tunisia

Morocco

grouped in three categories:

Group I: Proportion of Mauritania

Mali

Niger

Chad Sudan

Central AfricanRepublic

Guinea-BissauGuinea

Sierra Leone Côted'Ivoire

BurkinaFaso

Ghana

NigeriaTogo

Ethiopia

Djibouti

EritreaSenegalGambia

TVET enrolment > 10%. 

Group II: Proportion of TVET enrolment between

Dem.Rep. Congo

Republic

Equatorial Guinea

GabonCongo

CameroonLiberiaGhana

Somalia

Kenya

Tanzania

Uganda

Burundi

Rwanda

Group I: Group II:

TVET enrolment between 5 % and 9%.

Group III: Proportion of TVET l t 5%

Angola

Mozambique

Botswana

Zimbabwe

Namibia

ZambiaMalawi

Madagascar

Group II:Group III:Others:

TVET enrolment <5%.

Others: Data not available

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SouthAfrica

Swaziland

Lesotho

Source: OECD Developemnt Centre / UNESCO, Global Education Digest, 2007

Financing – National Education Budget Allocation

• Mostly financed by government’s budgetary allocations

• On average, only about 2 to 6% of educational budgets gare devoted to (mainly formal) TVSD.

S O l f i l

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Source: OECD Development Centre, African Development Bank / ILO world Employment Report (98‐99), 2008

Financing Financing  ODA for vocational training in Africa back on track?

The donor development agenda(commitments in USD millions, 2005)

WCEFA, Dakar Several reports on TVSD in Africa

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Source: OECD Development Centre / DAC Creditor Reporting System, 2008

Financing Financing  Bilateral ODA for TVSD and primary education

Bil t l ODA h f t t l d ti dit

60%1995-1998

60%2003‐2006

Bilateral ODA  as share of total education expenditureper cent total (avg.)

52%

29%30%

40%

50%

60%

24%29%

40%

30%

40%

50%

60%

2% 4%

13%

0%

10%

20%

30%

3% 4%

‐10%

0%

10%

20%

Other Primary education

Secondary education

Vocational training

Higher educationOther Primary

educationSecondary education

Vocational training

Higher education

education education training education

Source: OECD Development Centre / DAC Creditor Reporting System, 2008

Total Bilateral ODA for TVSD still dwarfed by ODA to Primary Education

• The share of Bilateral donor ODA commitments to primary education stayed unchanged whereas that of higher

• The share of vocational training in bilateral ODA commitment to education has remained unaltered at 4% throughout the entire period.

Total Bilateral ODA for TVSD still dwarfed by ODA to Primary Education

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unchanged whereas that of higher education has increased significantly.

unaltered at 4% throughout the entire period.

Financing TVSDFinancing TVSD Challenges

Challenges

• The training system in Africa is largely underfinanced

Needs• Greater

diversification of underfinanced.

• Many enterprises undertrain their staff.

funding sources for TVSD,

• Development of • Donors’ support to training has been erratic &

insufficient to upgrade the quality and access to training.

pprivate training markets,

• Increased competition

• Countries must make better use of existing funds

pbetween public and private TVSD providers,

• State retains the crucial role of designing financial support mechanisms to facilitate access by the poor and vulnerable.

• Encourage more and higher quality enterprise training.

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Lessons LearntLessons Learnt Financing

1. Financing pre‐employment training

• Mozambique: Improvement of schools’ capacity to carry out annual budgeting.

• Botswana: Community owned TVET centres generate external income by mixing• Botswana: Community‐owned TVET centres generate external income by mixing training with productive work.

• South Africa: Implementation of Cost‐sharing schemes. 

• Uganda: Uganda Association of Private Vocational Institutions works to foster collaboration between private training institutions.

2. Financing continuing training:

• Most African countries have set up national training funds to generate funds to support skills training and motivate firms

• Morocco: Encourages in‐service training as part of integrated company strategy.

• South Africa: Continuing training is financed through a skills development levy grant• South Africa: Continuing training is financed through a skills development levy‐grant scheme.

• Côte d’Ivoire: The payroll levy financed Vocational Development Training Fund (FDFP) extends its training support to include training for small firms and the informal sector.

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Lessons LearntLessons Learnt Constraints on TVSD’s impact & expansion

TVSD

I d t kill d Post secondary Fi b d

Missing links Weak links

National development 

policy 

Industry skills needs Post‐secondary and tertiary institutions

Firm‐based and informal training

Lack of a coherent strategic approach

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Lessons LearntLessons Learnt Vision and Planning

1. Adopting an integrated vision and clear lines of authorities :

• Senegal: Launched a TVSD reform making the TVSD a tool for competitiveness• Zambia: clear legal and regulatory framework: Technical, Vocational and

Entrepreneurship Training Authority, 2005

• Yet in many cases it remains difficult to identify the leading institution.

• Training authorities need to be given clear mandate and authority over resources.

2 Improving Forecasting and Planning for Skills Needs2. Improving Forecasting and Planning for Skills Needs

• Successful TVSD reforms include – Long-term planning + skill audits (Rwanda)

Monitoring and Evaluation mechanisms– Monitoring and Evaluation mechanisms

• Benin: Labour Market Observatory (tracking graduates, Labour Market survey)

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Lessons LearntLessons Learnt Quality Improvement & Informal Sector

3. Improving the quality of TVSD

• Switch to demand-driven training model.

• TVET National Qualification Framework (NQF):– Ethiopia: New Quality Management System (2006)– South Africa: A new statement for the NQF was developed to enhance the

efficacy and efficiency (2007)- involving users and providersefficacy and efficiency (2007)- involving users and providers

4. Addressing the informal sector’s skill needs (and those of vulnerable )groups)

• In view of its large size, Training in the informal sector should be recognised.– Benin: Test, certification of skills acquired through traditional apprenticeship

(Vocational Skill Certificate)(Vocational Skill Certificate).– Senegal: Pilot scheme to transform traditional apprenticeship into a dual

system.

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Lessons LearntLessons Learnt Innovation & Partnership

5. Setting up accompanying measures

• Design of integrated programs that couple training with access to finance, Business development services Marketing support networkBusiness development services, Marketing support, network

• AfDB & ILO: Support to growth oriented women entrepreneurs (GOWE).• Angola First Job Law: Active labour mkt policies to facilitate transition to

work (internships, 60 per cent contribution to salary, support SMEs creation)

6. Foster Partnership with All stakeholders

• Policy design and actual delivery of education and training can best be achieved through a partnership between government social partners andachieved through a partnership between government, social partners and various stakeholder groups in the formal and informal sectors of the economy.

• Mauritius & Tunisia: strong partnership with private sector • Egypt: The most successful example of PPP between training institutions &Egypt: The most successful example of PPP between training institutions &

businesses is the Mubarak-Kohl Initiative (MKI).

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7 I l i L l C iti d St th i L l M t f

Lessons LearntLessons Learnt Local Communities & Management

7. Involving Local Communities and Strengthening Local Management of TVSD

• Delegation of responsibilities to regional authorities.• Ethiopia: Consider establishing autonomous TVET Authorities at

federal and state levels, governed by TVET Council.• Tunisia: The decentralization process is based on the devolution of

responsibilities to the training centresresponsibilities to the training centres.But...• in many countries local authorises and school mgt have Insufficient

pedagogical managerial and administrative capacity to discharge newpedagogical, managerial, and administrative capacity to discharge new responsibilities

• Mozambique: School Advisors

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1 Coherent vision and governance to TVSD: One stop

Lessons Learned Lessons Learned  To sum up... 

1. Coherent vision and governance to TVSD: One stop shop

2. Make TVSD bankable: Strategies, action plan and identification of objectives & resources needed

3. Increase awareness about benefits of TVSD among firms and parentsand parents

4. Foster evaluation and monitoring mechanismsg

To be fully effective, TVSD strategies must be integrated into comprehensive employment policies and focus on sectors experiencing

employment growth and skill shortages

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employment growth and skill shortages

Challenges Challenges  TVSD in specific contexts

1. Youth unemployment:• 133 million young people (>50% of youth population) in Africa are illiterate.• Many young people have little or no skills with no prospects for decent work• Many young people have little or no skills with no prospects for decent work.• Incidence of youth unemployment in SSA >20%.

2. Fragile states:• Many risk becoming trapped in a cycle of violence often because of lack of educational• Many risk becoming trapped in a cycle of violence, often because of lack of educational

and employment opportunities.• TVSD is a vital part of reintegration and reconstruction in post-conflict situations

3 Migration:3. Migration:• Brain drain: High rates of emigration among highly skilled workers.• Emigration can benefit home countries through remittances, investments, diaspora

networks, circular migration.

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Th k !Thank you!

どうも有難う。どうも有難う。

For more information:

www.oecd.org/dev/aeowww.oecd.org/dev/aeo

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