Skills Development Assessment
This report provides assessment on skills development. It uses data from document reviews and other reports. The findings show that the private sector in Tanzania sees many opportunities yet faces many constraints. The shortage of skilled labor, at all levels, is one of the most serious of those constraints. When compared to neighboring Kenya, or other developing economies like China and India, labor productivity in the Tanzanian manufacturing sector is significantly lower. Value added per employee is 43% lower than in Kenya, 54% lower than in China, and 37% lower than in India. Tanzania also falls behind China, India and Kenya in agriculture value addition and agribusiness processing, which suggests that despite Tanzania’s heavy reliance on the sector for GDP growth, Tanzania’s workforce lags behind in adopting technology and investing in innovations that improve production output and competitiveness.