VP outlines strategies to create seven million jobs

DAR ES SALAAM: THE government has reiterated its commitment of attaining a target of creating seven million job opportunities by 2025, in an effort to tackle unemployment in the country.

Speaking on Wednesday during the launching of the 7th African Social Partners’ Summit held in Dar es Salaam, Vice-President Dr Philip Mpango said that the labour market in Tanzania just like many other countries in Africa is characterised by existence of a large informal sector.

In the case of Tanzania, Dr Mpango said the informal sector is estimated at 47 per cent of the GDP, saying agriculture’s share of GDP is 26 per cent dominated by smallholder farmers, who depend on God-given rains.

According to him, farm-input use is low, notably fertilisers and high yield seeds. Moreover, he said the unemployment rate in Tanzania stands at around 9 per cent and it is estimated that in 800,000 youths graduating each year only 40,000 are absorbed in the formal sector.

Dr Mpango said employment challenges in Tanzania and Africa in general have been exacerbated by the global climate crisis, devastating impacts of raging conflicts in the region, spillover effects of geopolitical tensions in several parts of the world, as well as debilitating effects of the Covid-19 pandemic.

He said employment creation and strategies that promote inclusive growth and development have become key priorities of all African governments.

The VP insisted that the government is fully committed to addressing the challenge, including setting a target of creating seven million job opportunities by next year. He said that several strategies to realise the target have been taken including ensuring micro-economy stability as the bedrock for employment creation and building resilient and economic buffers to support the private sector.

“Unemployment is still a global challenge, the government is committed to address the challenge through various initiatives that have so far been taken to reach the set target of creating more job opportunities by next year,” said Dr Mpango.

He mentioned the strategies as regulatory reforms to improve the business environment in order to spur and create more jobs, establishment of special economic zones in all district councils in the country with requisite infrastructure for women, youth and people with special needs to engage in productive activities and training and linking the youth with institutions that provide affordable loans.

“An example includes a programme called Building a Better Tomorrow: Youth Initiative for Agribusiness (BBT-YIA) and the Livestock Sector Building Better Tomorrow – Live (BBTLive) for beef production and aquaculture,” he said.

Dr Mpango mentioned other initiatives as establishment of designated centres where the youth will be able to learn and acquire practical skills that will enable them to engage in production, setting aside 10 percent of the own source revenue of each district councils for women, youths and people with special needs.

The VP said in the light of the foregoing employment creation challenges facing the continent, the African Social Partners Summit has been an important platform for stakeholders to discuss priorities, best practices and effective strategies for job creation.

“Consequently, the summits have provided insights and guidelines to foster employment opportunities across Africa. It is my conviction that this summit will pursue this noble course, to take stock of the employment creation in Africa, highlight the priorities and showcase exemplary models and strategies of employment creation,” he said. “

It is my conviction that this summit will pursue this noble course, to take stock of the employment creation in Africa, highlight the priorities and showcase exemplary models and strategies of employment creation,” he noted.

The summit which is organised by the International Organisation of Employers (IOE) in collaboration with the Association of Tanzania Employers (ATE) will be concluded today.

Minister of State, Prime Minister’s Office (Labour, Youth, Employment & Persons with Disability) Prof Joyce Ndalichako said the summit underscores the importance of the collective efforts to address the challenge and harnessing opportunities in job creation across Africa.