Conference 2013 'Economic Development in Africa' Education and - PowerPoint PPT Presentation

Conference 2013 'Economic Development in Africa'

Education and Inclusive Growth

The outline of the paper SUMMARY

This paper argues that… • that education is crucial for the distribution of growth and inclusiveness in Africa • but, despite the fact that (a) a relatively large share of the budgets of African countries is spent on education, and (b) that there is a rapid increase of youth with education in Africa, the levels of educational attainment in Africa lag far behind other World regions.

Significantly, that the quality of education… …impacts on individual outcomes, on the quality of economic growth and on human behaviour in ways that facilitate the achievement of a wide range of human development goals

but is found… • to differ widely between countries where children who live in African countries not only receive fewer years of education but also reach lower achievement levels • and within countries, between boys and girls and between the poorest and wealthiest households

Also, that transition to and completion of… … lower secondary and secondary education in Africa , …compares unfavourably to other world regions …notably in gender parity …and socio economic status

And in tertiary and higher education… • …which is also essential for growth • …the pattern is similar • …but worryingly, there are questions about the relevance of education to the demands of the new economy or the mismatch between skills and jobs

It argues that political and policy oversight… • In financial management • Service delivery • And long term trends in educational achievement….

Are by far… • The most important and pressing challenges to education and inclusive growth in Africa

Presentation EDUCATION AND INCLUSIVE GROWTH

The link between education and economic growth INTRODUCTION

The links between education and growth • There is strong evidence that economic growth has been accompanied by growth in both spending and participation in schooling. • Economists have examined this association quite carefully and come to the conclusion that, through a variety of different avenues and in a number of different ways, investment in school systems does have a strong economic pay-off. • This is an important conclusion that is highly relevant to individual, corporate and government decisions regarding investment. For all spheres of decision making there is good evidence that the rate of return is high, even relative to other investment opportunities.

The impact of education on income Predicted probability* of being wage employed • Human capital has a positive impact on 60 economic growth. Although there are Male exceptions, empirical evidence generally 50 shows that human capital has a positive 40 and statistically significant impact on the Female growth rate of per capita income. 30 20 • the likelihood of being wage employed increases strongly with a secondary school 10 education (based on Gallup World Poll data, see also Annex 2). Household surveys 0 No Education 1 to 8 years 9 years of education 1+ years of show the same for the likelihood of primary schooling up to secondary tertiary education earning a higher wage (AfDB, 2012). completed • There is a better change of being wage employed for those who have completed primary education, as opposed to those with no education, and an even higher probability for those who have completed secondary education.

The link between education and economic growth CHALLENGES TO INCLUSIVE GROWTH IN AFRICA

Despite relatively large investments in education… • . Public spending on education (% of government expenditure) Sub-Saharan Africa Middle East & North Africa East Asia & Pacific Latin America & Caribbean North America South Asia Europe & Central Asia - 5.0 10.0 15.0 20.0

…and a rapid increase of youth with education in Africa • By the end of this decade 20-24 year-old cohorts by education, 2000-2030 60% of boys across sub- Saharan Africa will have 250 Tertiary education completed primary school Secondary education only compared to 56% of girls. 200 Primary Over the last 30 years education only primary school completion No education 150 Million rates for boys have risen quite slowly (from about 100 48% in the early 1970s) compared to a sharper rise 50 in primary completion rates for girls (starting at 30% in the 1970s) to almost double 0 2000 2005 2010 2015 2020 2025 2030 that today.

… the levels of education in Africa compare poorly with other regions 12 Mean years of schooling of adults 10 Arab States Europe and Central Asia 8 East Asia and the Pacific Latin America and the Caribbean Years 6 South Asia Sub-Saharan Africa 4 2 0 1980 1985 1990 1995 2000 2005 2010

Educational growth in Africa, in which everyone participates lags behind other world regions… EDUCATION ATTAINMENT

…as measured by primary school completion Trends in completion of primary school, 33 African countries (population weighted) 100 80 60 59 58 57 60 54 53 Percent 48 Male 56 52 Female 40 47 43 38 36 30 20 early 1990s late 1990s early 2000s early 1980s late 1970s late 1980s early 1970s 0 40-44 35-39 30-34 25-29 20-24 15-19 10-14 Age Range

…or for those enrolling in secondary education in relation to the growth of the school-age population Sub-Saharan Africa East Asia and the Pacific 120 120 School-age population and total enrolment (in millions) 240 120 School-age population and total enrolment (in millions) 100 100 200 100 80 80 160 80 GER (%) GER (%) 60 60 120 60 80 40 40 40 40 20 20 20 0 0 1970 1975 1980 1985 1990 1995 2000 2005 2009 0 0 1970 1975 1980 1985 1990 1995 2000 2005 2009 School-age population Enrolment GER School-age population Enrolment GER

…and for those who complete lower secondary education Sub Saharan Africa East Asia and the Pacific What proportion of students What proportion of students complete lower secondary? complete lower secondary ? 100 100 Gross graduation ration (%) Gross graduation ration (%) 80 80 60 60 Total Total 40 40 Male Male 20 Female Female 20 0 0 Cambodia Laos Myanmar Samoa Timor-Leste Philippines Thiland Indonesia Macao Malaysia China Hong Kong Brunei

…and secondary education Sub Saharan Africa East Asia and the Pacific Which countries have most adults Which countries have most adults completed secondary education? completed secondary education? Japan2002 South… Samoa 2001 Seychelles… New… Zimbabwe… Australia… Kenya 2010 Korea 2005 Mauritius… Singapore… Tertiary Tertiary Namibia… Hong Kong… Post-secondary Post-secondary Uganda 2008 Tonga 2006 Lesotho 2008 Upper secondary Upper secondary Phillipines… Benin 2002 Macao 2006 Lower secondary Lower secondary Mali 2006 Fiji 2007 Primary Primary Malawi 1998 China 2000 Senegal 2006 Malaysia… Tanzania… Indonasia… Chad 2004 Thailand… Burkina… Cambodia… (%) 0 10 20 30 40 50 60 (%) 0 20 40 60

…or for men and women across all levels of education 1.6 1.6 1.4 1.4 1.2 1.2 Population Population with at with at 1 least 1 least primary Gender parity (GPI 0.97-1.03) primary Gender parity (GPI0.97-1.03) education 0.8 0.8 education (ISCE1) (ISCE1) 0.6 0.6 Population Population with at with at 0.4 least lower 0.4 least lower secondary secondary 0.2 education 0.2 education (ISCED 2) (ISCED 2) 0 0 Population Population Cambodia2007 China 2000 Indonesia 2008 Thailand 2006 Korea 2005 Malaysia 2005 Hong Kong 2008 Macao 2006 Singapore 2008 Tonga 2006 Fuji 2007 Australia 2009 Philipines 2004 Japan 2002 New Zealand 2006 Samoa 2001 Chad 2004 Burkina Faso 2007 Malawi 1998 Benin 2002 Senegal 2006 Kenya 2010 Tanzania 2002 Zimbabwe 2002 Mauritius 2000 Namibia 2001 South Africa 2009 Uganda 2008 Seychelles 2002 Lesotho 2008 Mali 2006 with at with at least upper least upper secondary secondary education education (ISCED 3) (ISCED 3)

Africa has made rapid progress… • In providing access to tertiary and higher 250 education 200 Tertiary education 150 Secondary education Million only Primary education only 100 No education 50 0 2000 2005 2010 2015 2020 2025 2030 Source: World Bank EdStats, authors' calculations

…but it is not fast enough when compared to other countries • In spite of the enormous amount of resources devoted to the provision of higher education in African countries, Africa continues to be endowed with relatively low stocks of higher education human capital partly because of the small base from which it started, partly because of inefficiencies in the production of higher education human capital, and partly because of emigration by educated Africans.