Accra:The world could experience a significant deficit of around 800 million jobs as 1.2 billion young individuals are expected to enter the labor market over the next 10 to 15 years, warned World Bank President Ajay Banga.
According to Ghana Web, Banga emphasized that only about 400 million jobs are projected to be available, highlighting the urgent need for countries to generate employment on a much larger scale. He stressed that decisions made today would impact the future of an entire generation, as discussed during his address at the 2026 World Bank/International Monetary Fund Annual Meetings Plenary.
Banga pointed out that effective utilization of limited development funds is crucial and called for collaboration among governments, private investors, philanthropic organizations, and technology providers to create jobs tailored to each nation's needs. The World Bank's jobs strategy emphasizes enhancing infrastructure and public services, ensuring clear and predictable policies, and encouraging large-scale investment.
Last year, the World Bank committed $40 billion, almost a third of its financing, to these foundational areas. Banga also highlighted reforms aimed at making the institution more efficient, including reducing project preparation time and increasing result-linked financing. He noted that changes to the Bank's balance sheet had significantly expanded its lending capacity, and private capital mobilized by the Bank surged dramatically.
These comprehensive reforms, Banga stated, have strengthened the World Bank's ability to support development, with job creation being a central focus of its efforts.