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UNDP Report: 75% of Ghana’s Workforce in Informal Sector, 65% of Youth Jobless

Angela Lusigi, stressed the importance of building human capital through education, infrastructure development, and technology to create sustainable jobs, especially for the youth.

The latest Ghana Human Development Report 2023 (GNHDR) reveals that 75% of Ghana’s workforce operates in the informal sector which offers unstable and low-paying jobs.

The United Nations Development Programme (UNDP) launched the report in Accra on June 26, 2024, in collaboration with the Ghana Statistical Service and the National Development Planning Commission (NDPC).

The report shows that 65% of young people between 15 and 24 years old are unemployed, posing a threat to the country’s future development.

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At the report’s launch, the UNDP Resident Representative in Ghana, Angela Lusigi, stressed the importance of building human capital through education, infrastructure development, and technology to create sustainable jobs, especially for the youth.

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“Strategic investment in both human capital and infrastructure is crucial for Ghana to create a conducive environment for sustainable jobs for all,” Lusigi said.

On the part of the Government Statistician, Prof. Samuel Kobina Annim underscores the need for stakeholders to prioritize inclusive growth and sustainable job creation.

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“The report provides crucial insights, I urge stakeholders to adopt policies that foster inclusive growth and sustainable job creation,” Prof. Annim said.

According to the Director-General of the NDPC, Kodjo Esseim Mensah-Abrampa, streamlining regulations and formalizing the informal sector is another key suggestion to consider.

“By investing in infrastructure and promoting entrepreneurship, Ghana can harness the potential of its youth and informal sector,” Mensah-Abrampa said.

As part of the recommendation, there must be a link between work and human development, by incorporating  Science, Technology, Engineering, Arts and Mathematics (STEM/STEAM) subjects and entrepreneurial training to empower youth with the skills and knowledge required to succeed in the future employment landscape.

The report also stressed the need for a national long-term plan by prioritizing job creation, infrastructure development, and education reform to ensure that all Ghanaians have access to decent work and improved living standards by 2030 and beyond.

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