The World Bank has warned that developing countries could face a shortfall of 800 million jobs over the next 10 to 15 years, raising concerns over the ability of governments to provide employment for their growing youth populations.
The President of the World Bank Group, Ajay Banga, gave the warning at the 2026 IMF/World Bank Annual Meetings in Bangkok, Thailand, where he disclosed that about 1.2 billion young people in developing countries are expected to reach working age, while only 400 million jobs are projected to be created.
Banga described the widening gap between the number of young people entering the workforce and available employment opportunities as a major economic challenge, calling on governments to work with private investors and development partners to accelerate job creation.
He stressed that creating more jobs would require reliable electricity, efficient transport systems, digital connectivity, quality education and relevant skills. He also called for predictable regulations and stronger institutions to encourage businesses to invest and expand.
The World Bank chief further highlighted the importance of small businesses and the practical application of artificial intelligence in improving productivity across agriculture, healthcare, education and other sectors.
He disclosed that the World Bank Group mobilised $112 billion in private capital in the last fiscal year, compared with approximately $35 billion in fiscal year 2022, as part of efforts to expand development financing and support investments that generate employment.
For Nigeria and other African countries with rapidly growing youth populations, the warning highlights the pressure on governments to create productive jobs, strengthen businesses and improve living standards as more young people enter the labour market.
