Invest in skills development and green economies in LDCs, says ILO

ADDIS ABABA/COTONOU (ILO News) –With a jobless growth and huge demographic challenges in the Least Developed Countries (LDCs), skills development plays a crucial role for these 48 countries to develop markets for new technologies, to attract investments and to create sustainable, decent and green jobs for a growing labour force, said the International Labour Organisation (ILO).

The ILO message was delivered by Aeneas Chapinga Chuma, the ILO Assistant Director-General and Regional Director for Africa at the Ministerial Conference on New Partnerships for the Development of Productive Capacities in LDCs (28 – 31 July 2014, Cotonou, Benin).

“LDCs have a significant potential to take advantage of a shift to greener economies given their young and growing populations and abundant natural resources. However, they often lack the physical and financial capital and skills to realize that potential”, Chuma stated.

Greener economies could offer vast employment opportunities in the development renewable energies and energy efficiency, sustainable construction, agriculture and forestry, public transportation and infrastructure development.

Yet, more and better skills alone do not create jobs. “Though, in conjunction with other employment and macroeconomic policy measures, they can contribute to job creation in new and potentially greener economic activities; enhance productivity and act as a driver of change and innovation by spurring investment in new green economic opportunities”, he added while speaking on the theme of: The contribution of skills development, innovation and technological acquisition to the promotion of green and blue economy.


Several countries have started to seriously consider greener opportunities for job creation. An ILO review of countries’ green jobs measures from a panel of 42 countries found that 12 countries – mostly LDCs – had provisions promoting employment in environment- and sustainability-related areas, including our host country Benin, as well as Bangladesh, Burkina Faso, Cambodia, the Democratic Republic of Congo, Mali, Nepal, Senegal and Tanzania.

One of the main objectives of the Conference was to identify new and innovative partnerships to support efforts of LDCs to strengthening their productive capacities. Focusing on policy framework, the development of infrastructure and access to energy, the Benin meeting also highlighted appropriate means of implementation including through addressing cross-cutting issues namely gender and women empowerment, employment and sustainable development. The meeting is expected to adopt a Cotonou Action Agenda.

Green economy for job creation in LDCs

In his presentation, the ILO head for Africa addressed the skills and human capacity gaps faced by many LDCs in the greening of their economies before sharing some key policy messages for boosting skills to create jobs.

“LDCs’ economies depend heavily on the use of natural resources through activities such as agriculture, forestry and mining. Improving productive capacities in these sectors, while pursuing structural transformation requires relevant policies which add value to natural assets, develop new markets, and create and sustain more and better jobs. The transition to greener products and services can contribute to much-needed economic diversification and higher value-added activities”, Aeneas Chuma underlined.

A key message echoed by Mukhisa Kituyi, Secretary-General of UNCTAD: “Such capacities are essential for technological catch-up and productivity growth, job creation and the promotion of structural change. In sum, macroeconomic, industrial, agricultural, rural and infrastructure policies should be geared to employment generation and the development of productive capacities”.

Among the key challenges holding back LDCs to transition to greener economy are basic skills shortages, limited environmental policies, and the lack of opportunities for workers in informal and rural economies to upgrade skills.

Policy recommendations

An interactive dialogue allowed participants to discuss key policy interventions proposed by the ILO and aimed at promoting skills development for productive capacities in LDCs:

• Coordinating investments in jobs and skills
• Matching skill supply to labour market demand better through social dialogue, information and core skills
• Boosting the productivity and sustainability of farming with better skills
• Prioritizing training and entrepreneurship opportunities
• Mobilizing contribution from highly skilled nationals in the diaspora

“Development partners should be encouraged to do more by channelling aid to support productive capacity building in the LDCs, leveraging aid to encourage investment flows and facilitating trade and promoting technology transfer in a coherent manner,” M. Gyan Chandra Acharya, UN Under-Secretary-General and High Representative, UN-OHRLLS said earlier.

The recommendations of the four-day Ministerial Conference on New Partnerships for Productive Capacity Building in the Least Developed Countries will add-on the Istanbul Programme of Action which charts out the international community’s vision and strategy for the sustainable development of LDCs for the next decade.

“As the world looks towards the Post-2015 Development Agenda, building partnerships to increase the productive capacities of the LDCs is not only a moral imperative, but also a means to promote a stable and peaceful global order”, concluded Nkosazana Dlamini Zuma, Chairperson of the African Union Commission.