World Bank approves $200mn for skills development in Rwanda
Wednesday, September 11, 2024
The World Bank has approved new funding to empower and build the skills of more than 200,000 youths in Rwanda. Courtesy

The World Bank has approved new funding to empower and build the skills of more than 200,000 youths in Rwanda through the ‘Priority Skills for Growth and Youth Empowerment (PSGYE)’ programme.

The $200 million scheme, funded by the International Development Association (IDA), aims to improve employability of targeted youths and to strengthen institutional capacity for enhanced service delivery in skills development.

Specifically, the programme will increase opportunities for the acquisition of market-demanded skills for youths, including youths Not in Education, Employment, or Training (NEET), improve quality and market relevance of target technical and vocational education and training (TVET) and degree programmes, and strengthen governance of the overall skills development system in Rwanda.

ALSO READ: World Bank names new Country Director for Rwanda, Kenya, Uganda, Somalia

"The PSGYE programme will directly support short-term, market-driven training opportunities for youths (including NEET youth) to acquire skills for employment/self-employment, and for existing workers, particularly in small and micro enterprises, to be upskilled for better productivity,” said Sahr Kpundeh, World Bank Country Manager for Rwanda.

According to the World Bank, the programme will support targeted youth through various interventions such as market-driven short-term training, assessment, and accreditation.

It will provide student loans and affordable hostels to enhance access to tertiary education, especially for female students, and will improve the quality and delivery of TVET and degree programmes aligned with Rwanda’s priority economic sectors.

"Skills development is crucial for diversifying Rwanda’s economy, improving productivity, creating jobs, and achieving the national Vision 2050 goals of becoming an upper-middle-income economy by 2035 and a high-income economy by 2050,” said Ruth Charo, World Bank Senior Education Specialist.

"The programme draws from important lessons learned in result-based financing to incentivize a focus on quality aspects of training programs, employment outcomes, equity, and structured linkages between skills development and industry.”

ALSO READ: Rwanda needs $3.4bn annual investments for economic transformation – report

The programme’s initiatives are in line with the Government of Rwanda’s broader strategy of human capital development, a crucial component of achieving the Vision 2050 goals.

It is also aligned with the World Bank Group Country Partnership Framework for Rwanda (FY21 – FY26) objective of prioritising human capital development and improving private sector development.