22 May 2025

Addressing youth unemployment requires a multifaceted approach that tackles economic factors, skills gap, education and training as well as systematic issues.

This was said by Vice President, Mr Ndaba Gaolathe at the launch of the United Nations Development Programme (UNDP)’s 4^th Botswana National Human Development Report in Gaborone on Wednesday, who declared that youth unemployment was no longer just a youth issue, but a national emergency.

According to the report, 38.2 per cent of young people in Botswana remain unemployed despite ongoing efforts to diversify the economy through sectors such as agriculture, tourism and renewable energy.

Therefore, Mr Gaolathe called on the nation to treat the alarming figures in the report as a collective call to action.

 “It is not just a development issue, it is the root cause of inequality, disillusionment, and division that we seek to defeat as a nation,” he said.

Furthermore, the reports states that 63 per cent of young women lack marketable skills, compared to 50 per cent of young men whilst young people with only a secondary school education faces the highest unemployment rates.

“It is clear that youth unemployment is not just a symptom of economic hardship as we note that youth unemployment still persists even during periods of economic growth, indicating that other factors are at play,” he said.

Reflecting on the broader economic outlook, Mr Gaolathe, who is also Minister of Finance, said the country stood at a significant crossroad, stating that in the past year, the economy had contracted by 3 per cent and it was still expected to contract again by 0.4 per cent in 2025.

“When we say the economy has contracted, we know it means something very real, it means no job call-backs, unpaid internships and young people delaying their futures,” he said.

He further highlighted that the country’s heavy reliance on diamond exports had become a strategic liability rather than strength.

“In the midst of this crisis, we cannot afford to retreat as this is not a time for austerity without purpose, but for investment with intention,” he said.

To that end, the Vice President said government was actively pursuing partnerships and alternative financing strategies to stimulate inclusive growth. “We are knocking on doors, forging new alliances, and positioning Botswana as a destination for long-term, strategic investment,” he said.

He cited early signs of progress, including newly secured investments, emerging partnerships and successful negotiations on concessional funding.

Mr Gaolathe also said key infrastructure projects, mainly outlined in the 2025 Budget Speech, were being structured to be financed off the government’s balance sheet.

“With current fiscal constraints, it would be irresponsible to rely solely on traditional public expenditure,” he said.

Instead, he said the government was turning to innovative funding models, including Public-Private Partnerships (PPPs), Build-Operate-Transfer (BOT) schemes and blended finance approaches.

These mechanisms, he said, would enable critical development without deepening debt or compromising public services.

“We are here to ignite a movement to shift Botswana from dependence to diversification, from aspiration to implementation, and from youth unemployment to youth empowerment,” Mr Gaolathe said.

For his part, UNDP Economic Advisor, Mr Etienne de Souza said the report findings had shown that the country’s economy was not generating enough jobs leading to high youth unemployment.

“Unemployment rates among youth are alarmingly high; 55.6 per cent for ages 18-24 with women disproportionately affected whilst those with secondary education at 52 per cent face the highest unemployment,” he said.

He further stated that only a balanced combination of bold measures could place enough youth in productive jobs at a rate, which matched the rapid entry into the labour market of large youth cohorts.

“Creating room for a thriving private sector and rebalancing wage expectations with actual productivity levels are some of the ways that can curb youth unemployment in this country,” he said. ENDS