11:30 – 12:45 - Session Two

New Ways of Working Together – The Jobs Agenda

Chair:Joachim von Amsberg, Vice President, CFP, WB

Presenter: Nena Stoiljkovic, Vice President, Business Advisory Services, IFC

Panel:Jennifer Keller, Senior Economist, Economic Policy and Debt Department, WBKaushik Shah, Director, Safal Group, Eastern AfricaRoland Michelitsch, Chief Results Measurement SpecialistDevelopment Impact Department, IFC

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New Ways of Working Together:The Jobs Agenda

Nena StoiljkovicVice President, IFC

Session 2May 21, 2013

The World Bank Group

Jobs take people out of poverty…

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Research shows that a job is, by a wide margin, the most important pathway out of poverty

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The jobs challenge

To increase the Quantity of jobs and their productivity.

To increase the Quality of jobs (especially for women and youth)

Challenge for most countries- industrialized, emerging markets and low income - as global markets are highly inter-connected.

JOB FACTS

200 million unemployed

Over 620 million idle young people, neither working nor studying

About 600 million jobs will need to be added by 2020 to keep up with population growth

How to create more and better jobs is the most critical issue facing policy makers today

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Private sector provides 90% of all jobs in developing countries

The only sustainable & long term solution – private sector

But governments and development organizations play a critical role in getting the basics right

The private sector is the engine of job creation, but governments and

development partners have a major role

3 distinct layers of policies are needed

7Source: 2013 World Development Report on Jobs

8* Size: Small = 5-20 employees, medium= 21-99 employees, and large >= 100 employees.Source: IFC Jobs Study based on World Bank Group Enterprise Surveys covering 46,566 enterprises in 106 countries.

Key Constraints for the Private Sector

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Good jobs for development

Agrarian Helping urban jobs: WBG-supported investment climate reforms in 4 countries in Africa helps create about 50,000 jobs in 2 years

Conflict-affected

Jobs to establish social cohesion: 22,675 ex-combatants in Rwanda received stipends to start a small business or agricultural project

Urbanizing Infrastructure for employment: 75,000 jobs created in 6 years as result of reliable power in India

Resource-rich Promoting productive extractive jobs: IFC-supported supply-chain linkage program in Ghana (mining) led to large employment multiplier

Small island Connecting people to markets and jobs: IFC-backed mobile banking in PNG brings reliable mobile phones to millions, and direct jobs for 30,000

Youth un-employment

Promoting more employability of youth: WBG-supported training programs in Tunisia link youth to private sector employment opportunities.

Formalizing Promoting formalization by streamlining business registration processes in Peru and Colombia

Aging Reducing healthcare costs for older workers : World Bank supported loans extended medical insurance coverage to 900,000 people by 2011.

How the WBG is helping in different contexts

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Policy Analysis WDR 2013 on Jobs and IFC Jobs Study World Bank multi-donor trust fund on jobs,

growth and employment IFC’s E4E for Arab Youth

Donor funds have played an important role

Other Examples Bosnia & Herzegovina- microfinance project creates 200,000 jobs, 50% of

borrowers women Mongolia Sustainable Livelihoods Program improves pastoral management

skills of 36,000 families Jordan Skill development for employability program Investment climate reforms through FIAS … 46 reforms in FY12 – IDA-focus GAFSP seeks to increase food security working with public and private sector -

will create job opportunities in agrarian economies. SME/gender baseline study in 25 countries will allow IFC to establish baseline

for jobs provided by MSMEs (100M jobs) and extent of female ownership.

How can the World Bank Group help?

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The WBG well positioned to help the development community, working with partners, to address the global jobs challenge.

WBG working closely with other international institutions (ILO, OECD, WBCSD, WEF), private-sector oriented IFIs (e.g. joint communiqué of 28 IFIs on creating more and better jobs), and bilateral donors

Next steps: to focus on• developing more context specific approaches at the

country, sector and company level, improving diagnostic tools , availability of adequate & timely data, and broader knowledge sharing.

Special Focus on inclusive jobs - jobs for women, youth, jobs in FCS