Tackling youth unemployment is everyone’s problem

While the infant mortality rate in Uganda has reduced, the fertility rate has remained high resulting in rapid population growth and a youthful population with a high child-dependency ratio. The structure and trend of Uganda’s population can either be an opportunity or a problem. With the right strategy and good execution Uganda can turn its population trend and size into what is referred to as the demographic dividend.

The demographic dividend refers to the economic benefit a society enjoys when fertility and mortality decline rapidly, and the ratio of working-age adults significantly increases relative to young dependents. Countries that have recently earned the demographic dividend did three things.

Investment in human capital
They prioritised investments in human capital to ensure a healthy and well-educated population. While efforts have been made in addressing health concerns of the population, the education aspect begs serious questions about innovativeness and productivity of graduates. Generally, Ugandan schools and colleges still educate students to work like we are still in the 1970s and 1980s.

Accelerated job creation
They accelerated economic growth and job creation to ensure that the “surplus” labour force is gainfully employed and has strong purchasing power. For many years, Uganda has posted very impressive economic growth figures. The growth has not, however, had the desired effect of increasing employment and wealth of the population.

The government has thrown around a lot tokens such as Youth Entrepreneurship Fund and licensing of labour export as a way of addressing youth unemployment. But we all know that tokens cannot be used to pay for goods in a market.

Public sector accountability
They enforced accountability and efficiency in the use of public resources and delivery of social services. On this third aspect, the government of Uganda is woefully weak and lacking.

While in secondary school some 30 years ago, our headmaster often repeated this statement: “A hungry man is more dangerous than a bullet.” The way I see it, if Uganda fails or even delays attaining the demographic dividend, we shall be in a state where youth unemployment becomes the primary national security threat.

James Abola is a business and finance consultant. Email: [email protected]