The Middle East and North Africa is home to a rising number of well-educated individuals. By 2030, it is set to expand its tertiary-educated talent pool by 50 per cent. However, currently, two in five graduates are out of a job.

Education and work will determine the livelihoods of over 300 million people and drive growth and development for generations to come. As one of the youngest populations in the world, it is imperative the region makes adequate investments in learning that hold value in the labour market.

In addition, as the global transformation of work unfolds in the region, policymakers, business leaders and workers must be prepared to proactively manage this period of transition.

LinkedIn in conjunction with the World Economic Forum recently conducted research to provide a concise overview of the region’s education, skills and jobs. The report had five key findings about the future of jobs and skills.

* The population is young, growing, increasingly well-educated, but unemployed

Currently, people under the age of 25 constitute nearly half of the region’s population. By 2030, that is projected to increase by more than a quarter. Across the Middle East and North Africa, many countries have improved the educational achievement of their younger generations at notable rates and, by 2030, is set to expand its tertiary educated talent pool by 50 per cent.

However, youth unemployment stands at 31 per cent and university graduates are making up nearly 30 per cent of the total unemployed pool. Gender gaps in workforce participation remain wide across the region, ranging from just over 40 per cent in Kuwait and Qatar to nearly 80 per cent in Algeria and Jordan, reflecting an inefficient use of education investments.

* The next resource boom should be people

The World Economic Forum’s Human Capital Index — which measures the extent to which countries and economies optimise their human capital potential through education and skills development and its deployment throughout the life-course — finds the region currently only captures 62 per cent of its full human capital potential compared to a global average of 65 per cent.

* Provide opportunities for women to drive growth

One of the common themes characterising the labour market is the low but increasing level of workforce participation by women. They are highly educated, but their talents are often under-employed in the formal economy. The region is using 30 per cent less of its female capacity that the global average.

* The abundance of high-skilled jobs

Across the region, high-skilled employment stands at 21 per cent on average, while middle-skilled roles account for 66 per cent of all formal sector jobs. The UAE, Egypt, Jordan and Saudi Arabia lead the way in the local availability of high-skilled jobs. Some of the most common types of high-skilled employment in the region include bankers, corporate finance specialists and accountants, schoolteachers and academics, engineers, quality assurance professionals and IT consultants, according to our latest data.

* Today’s skills and tomorrow’s jobs

The current wave of technological change will have a profound impact on labour markets, although the pace of that change will vary. It has been estimated that 41 per cent of all work activities in Kuwait are susceptible to automation, as are 46 per cent in Bahrain and Saudi Arabia, 47 per cent in the UAE, 49 per cent in Egypt, 50 per cent in Morocco and Turkey, and 52 per cent in Qatar.

In addition, whether jobs are declining, stable or growing, they are going through major changes to their skills profile. The World Economic Forum’s Future of Jobs analysis found that, by 2020, 21 per cent of core skills in the countries of the Gulf and 41 per cent of those in Turkey will be different compared to skills that were needed in 2015.

These countries’ capacity to meet the requirements of future jobs leaves little space for complacency. While others are better-positioned for now, they must not waste this window of opportunity — substantial potential exists for creating high value-adding formal sector jobs in several sectors, skills levels and work formats.

To tap into the expanding capacity of the region’s population, governments, in collaboration with the private sector, need to ensure there are opportunities for people to apply their skills to drive growth and prosperity.

— The writer is Head of LinkedIn Talent Solutions, Emerging Markets, Middle East & North Africa.