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Youth employment presents a particular challenge to Ethiopia; 25 million people are between 15 and 29 years-old, a figure that is expected to grow to over 35 million in the next 20 years (CSA, 2016). The economy will need to produce approximately 2 million new jobs per year to keep the pace of this growing young workforce. New job creation is currently well below this. The country faces growing youth landlessness in rural areas and insignificant rural job creation. This leads to an increase in migration to urban areas (World Bank, 2007) and outside of the country, and can trigger social instability. This, combined with practical challenges of moving to urban areas from poorer rural areas, presents particular barriers for youth employment and economic development. Ethiopia is at risk of not being able to harvest a demographic dividend from its youth bulge.  Youth unemployment therefore is a significant socio-economic challenge in Ethiopia that has been recognized and prioritized by the Government of Ethiopia and development partners.

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