ABOUT 29 per cent of Ghanaians who are into wage employment are better off than 69 per cent of Ghanaians who are into self-employment, the World Bank has said.
According to the Bretton Woods institution, the government must pay attention to the dynamics being played out in order to effectively address unemployment in the country.
This was revealed at the 6th Ghana Economic Update.
Social Protection Specialist at the World Bank, Christabel Dadzie, said Ghana’s economy provides insufficient opportunities for workers who are low skilled.
“69% of those working in Ghana are self-employed. So if you are policy maker and you looking to support unemployment, you need to know that there are a chunk of young people who are in self-employment,” she said.
Ms Dadzie said people in wage employment are more productive while those employed in the most part are vulnerable, adding, “And within this area, majority are women, the poor and people living in rural areas.”
She said the country’s strong growth performance over the years has not paid off in terms of good jobs for the youth who are less likely to be in the labour force.
Statistics show that while about 50.9% of the youth in the urban areas are employed, that of the rural area is 62.1%.
In 2021, based on the country’s national population and housing census, the youth unemployment rate stood at 19.7%. By 2035, the youth will overtake all other age groups in Ghana’s population; a situation that presents both opportunities and challenges, she added.