Chikwanda bemoans high levels of inequality in urban areas

Chikwanda bemoans high levels of inequality in urban areas
By Chiwoyu Sinyangwe
Tue 10 July 2012, 13:24 CAT

THE levels of inequality in urban areas are extremely high, says finance minister Alexander Chikwanda. And African Development Bank (AfDB) vice-president Mthuli Ncube says Zambia and other countries are facing a unique phenomenon of "educated unemployed" youths resulting from mass higher education.

[What is his solution - less education? - MrK]

Speaking during AfDB's regional high level policy dialogue workshop on youth employment, Chikwanda said the recent growth seen in the country had not done much to improve lives of ordinary people in rural areas and slums.

He said there was need to focus on creating jobs that did not only guarantee wages but also long-term social security.

"Rural poverty is very high at 80 per cent while inequality, especially in peri-urban areas is extremely high," said Chikwanda.

"How can we fashion our economic growth so that they can generate growth and focus on productivity? Economic growth and job creation are synonymous to one another. We must do more to encourage responsibilities and greater social cohesion."

And Ncube who is also AfDB chief economist said high youth unemployment and slow progress in poverty reduction has overshadowed any gains made from impressive economic growth of about five percent per year.

Ncube said the situation of youth unemployment deserved serious attention.

"Not only does it threaten to violate the principle of equality and solidarity between generations, which is important aspect of social justice. This therefore calls for paradigm shift," he said.

"Supply factors constraining youth employment include high prevalence of illiteracy among African youth and disconnect between 20th century education systems and 21st century labour market demands.

Paradoxically and concomitantly, African countries are increasingly experiencing the phenomenon of the 'educated unemployment' resulting from mass higher education."

Ncube said the government should prioritise measures that targeted young people most at risk by strengthening apprenticeship and other vocational training programmes for low-skilled youth.

"For those youth at greatest risk of social exclusion, while back-to-the classroom strategies might prove counterproductive for them, training programmes taught outside traditional schools, combined with regular exposure to work experience and adult mentoring, are often better strategies for these school dropouts," said Ncube.