Policy Brief No. 16 of 2023-2024 on Empirical Review of Youth Employment Policies and their Impact in Kenya

Abstract

Although Kenya has had stable economic growth and a positive economic outlook, there is need for a more inclusive growth process that creates ample job opportunities for its youth. Despite the country’s relatively high levels of economic growth for almost two decades, that growth process has not been sufficiently inclusive. This can be traced to high levels of poverty and a growing pool of unemployed people, particularly youth (World Bank, 2008). Greater efforts are needed to enhance growth that is more inclusive and that generates ample and productive jobs for the youth. This matters, given the severity of Kenya’s labour market challenges and a population that is increasingly young. The median age in Kenya is 19 years, compared to a global median age of about 30 years in 2019. Youth are more likely to be unemployed, underemployed or outside the labour force than the rest of those who are of working age. Data from the 2015/2016 Kenya Integrated Household Budget Survey indicate a youth unemployment rate of 17.7%, compared to an overall unemployment rate of 7.4 per cent among those of working age. In addition, time related under-employment was estimated at 35.9 per cent for youth, compared to 20.4 per cent for the overall population (KNSB, 2015).