Sub-Saharan Africa’s burgeoning population, expected to double to 2 billion by 2050, presents a significant economic opportunity, but it hinges on substantial investment in education. Despite progress in expanding access to schooling, the region lags behind other emerging markets, with a primary school completion rate of just 65%, compared to the global average of 87%. Furthermore, the literacy rate for 15 to 24-year-olds stands at 75%, lower than the nearly 90% in other developing economies.
Government spending on education in Sub-Saharan Africa (SSA) falls short of international benchmarks, with the median education budget at about 3.5% of GDP, below the recommended 4%. To achieve universal primary and secondary school enrollment by 2030, education expenditures may need to double, drawing from both public and private sources. Efficient use of funds is crucial, as only 15% of students in primary and secondary school achieve more than the minimum learning outcome, and teacher training rates have declined over the past two decades.
Investing in education offers clear long-term economic benefits, such as higher productivity and increased foreign direct investment. Governments in the region should prioritize education spending, even amid fiscal constraints, and adopt best practices in public financial management to ensure funds are well-utilized. Better connecting the region’s abundant human resources with capital in advanced economies and major emerging markets through strategic policies, particularly in education, could attract long-term investment, technology, and expertise.
This approach would unlock the potential of the region’s young population, driving economic growth and positioning SSA as a significant source of new demand for consumption and investment.
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