7.0 The Magnitude of Urban Youth Unemployment in

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Draft – Strictly Not for Quotation
19th ANNUAL RESEARCH WORKSHOP
NATURE OF URBAN YOUTH
UNEMPLOYMENT IN TANZANIA:
CHALLENGES AND CONSEQUENCES
by
Mr. Simon Peter
Draft Working Paper
S1C
Presented at REPOA’s 19th Annual Research Workshop
held at the Ledger Plaza Bahari Beach Hotel, Dar es Salaam, Tanzania;
April 09-10, 2013
This preliminary material / interim, or draft research report is being disseminated to encourage discussion and critical comment
amongst the participants of REPOA’s Annual Research Workshop. It is not for general distribution.
This paper has not undergone REPOA’s formal review and editing process. Any views expressed are of the author(s) and do
not necessarily represent the views of REPOA or any other organisation.
i
TABLE OF CONTENTS
1.0
BACKGROUND TO THE STUDY ................................................................ 1
2.0
STATEMENT OF THE PROBLEM ............................................................... 4
3.0
OBJECTIVES OF THE STUDY .................................................................... 5
4.0
THE NATURE OF YOUTH UNEMPLOYMENT ............................................ 6
5.0
THEORETICAL FRAMEWORK ................................................................... 7
6.0
REVIEW OF RELATED LITERATURE ........................................................ 8
7.0
THE MAGNITUDE OF URBAN YOUTH UNEMPLOYMENT IN TANZANIA
.................................................................................................................... 11
8.0
RESEARCH METHODOLOGY .................................................................. 12
9.0
DISCUSSION OF FINDINGS ..................................................................... 13
9.1
9.2
9.3
9.4
9.5
10.0
SLOW GROWING ECONOMY TO CREATE ADEQUATE JOBS ................................. 13
HIGH YOUTH POPULATION .............................................................................. 13
UNEMPLOYMENT YOUTHS CHARACTERISTICS .................................................. 14
DEEPENING INEQUALITIES .............................................................................. 15
DISCREPANCY BETWEEN EDUCATION AND TRAINING SKILLS AND LABOUR MARKET
REQUIREMENTS ............................................................................................. 15
CONSEQUENCES ..................................................................................... 20
10.1 YOUTHS AS INFLUENCERS .............................................................................. 20
10.2 RELIGIOUS VIOLENCE .................................................................................... 21
10.3 COMMERCIAL SEX W ORKERS, EXCESSIVE ALCOHOLISM AND NARCOTICS DRUG
CARTELS ...................................................................................................... 21
10.4 YOUTHS DELINQUENT GANGS......................................................................... 22
11.0
INTERVENTIONS ....................................................................................... 23
12.0
CONCLUSION ............................................................................................ 25
REFERENCES ......................................................................................................... 26
i
Nature of Urban Youth Unemployment in Tanzania:
Challenges and Consequences
1.0
BACKGROUND TO THE STUDY
Africa’s population is characterized with children and youth aged below 30 years
constituting 70 percent of the continent’s entire population (Economic Commission
for Africa, 2009). By 2050 according to predictions, 29 percent of the total world
youth population will reside in Africa. These young and energetic people of Africa,
however, have the potential, ability, creativity, enthusiasm, and energy for achieving
Africa’s development, as articulated by the continental leadership. Investments in
their education and transition to employment, health, and social well-being are
critical for the continent and Africa’s global repositioning agenda.
The global economic crisis reverse the evenly fall of youth unemployment rates
towards the period 2002-07. Starting 2007 the global unemployment again begins to
raise and keep on increasing between 2008 and at the peak of the global economic
crisis in 2009. Globally, the youth unemployment rate has remained to its crisis peak
in 2009. At 12.6 percent in 2011 and projected at 12.7 percent in 2013. Almost 75
million youths are unemployed around the world, an increase of the more than 4
million from 2007.
In most African countries, including Eastern and Southern Africa countries,
unemployment, under-employment and poverty levels have continued to increase
and have remained extremely high levels despite considerable efforts to promote
sustainable development by national governments and international development
agencies (Economic Commission for Africa, 2002). Although youth unemployment
seen as a universal problem, it is much obvious and “a ticking time bomb” in the
developing countries. In the developing countries, the problem of youth
unemployment draws attention due to several reasons. Foremost, the youth
constitute a significant proportion of the population as suggested by Christiana and
Okojie (2003), for instance, in Tanzania 68 per cent of the population is made up of
young people aged between 15 to 35 years (National Bureau of Statistics, 2011).
Second, youth agenda has been used in political campaigns as it is the case in
Tanzania’s rulling party “Chama Cha Mapinduzi, CCM” manifesto during campaigns
youth were promised to get employment, as the rulling party promised to create “one
million employment within first five years (2005-2010), wrapped up by its campaigns
slogan christened “Ari Mpya, Kasi Mpya na, Nguvu Mpya” literary translating into
“New zeal, Speed and Vigour”. Further, Makulilo (2013) argued that rulling party
presidential candidate described as “youth candidate” and his campaign went hand
in hand with excessive use of media and overambitious promises especially to
1
youths and women as It should be noted that CCM has for long time enjoyed mostly
support of elders and women (TEMCO, 1997; 2001; 2006, 2011), hence the coming
of “youth presidential candidate” assures more votes from youth group. Five years
down the line, 2010 another general election, the same rulling party made the more
promises and plans this time around with addition of slogan of “Maisha Bora kwa kila
Mtanzania” literally meaning “Better life for every Tanzanian” and modification of
previous campaign slogan to “Ari Zaidi, Kasi Zaidi na Nguvu Zaidi” meaning More
Zeal, More Speed and Vigour” as Nyang’oro (2011) argued that these overpromises
was among other aspects that made rulling party presidential candidate popular.
Therefore, with an excuse that five years given is not enough for them to accomplish
the promises, hence people mainly youths were being asked to give the incumbent
party more chance to finish the “good” work started during first phase 2005-2010. In
reality, when one take stock of what being promised in 2005 political campaigns,
nothing vividly seen done as far reducing youth unemployment especially in urban
areas.
Ultimately, the youth remained unemployed and turn to be dependent to families and
the larger society. The youth being one of the scarce resources that these countries
bestowed with, failure in utilizing this resource effectively may closely translate in the
vicious cycle of poverty and retard future of country’s economic growth. Also, high
level of youth unemployment creates anti-social, criminal activities that undermine
the stability of society, unstable society inceases the risk of the market, hence this
scares investors, as argued by Jorge Saba Arbache of the African Region of the
World Bank that unemployed youth are more exposed to conflicts and illegal
activities many of them fall prey to armed and rebel conflicts. These consequences
of youth unemployment requires shared responsibilities from various actors
“POWER OF WE” to solve it, businesses will thrive in a safe and secure society,
government can implement development only in an atmosphere of peace and
security.
Persistent and high youth unemployment has adverse long-term consequences for
currently young people and society at large. These include a higher risk of future
unemployment, a prolonged period of unstable jobs and a potentially depressed
income growth (Arumlamplam et al., 2001). Such consequences may result from
deterioration of skills but also from prospective employers’ negative perceptions of
youth who have been out of work for prolonged periods. On top of its detrimental
effects on future earnings and employability, youth unemployment may hurt
happiness, job satisfaction and health for many years thereafter (Morsy, 2012). To
avoid these consequences heavy investment in human capital is needed to raise
employability and future earnings among youths. This kind of investment will
increase youth productivity, hence, improvement in economic growth performance of
2
a particular country. Unfortunately, this became a day dream, and most of youth
remain neither educated nor employed a main characteristics of urban youth in
Eastern and Southern Africa. Despite the youth being in large proportion in these
countries, little resources devoted to ensure youth educational and employment
availability. Hence, majority of the youth in Eastern and Southern Africa had to live in
a pool of unemployment and confront with challenges associated with. No wonder,
most of these countries that are unable to effectively utilize their youth are found
towards the end of the tail of world’s poor countries and expose its youth to terror
and drug gangs.
Tanzania served as good example of Eastern Africa country that has failed to
effectively utilize its urban youths. The estimates of unemployed persons for year
2011 are 2,368,672 persons which is equivalent to 10.7% of the labour force
population (National Bureau of Statistics, 2011). Currently the total number of labour
force population is estimated to be 22,152,320 persons, of whom 19,783,648 are
estimated to be employed, among the employed, 2,502,327 persons are estimated
to be employed in the informal sector activities. Further, it is estimated each year
700,000 graduates entering the labour market but only 40,000 (5.7%) get
employment into formal sector. The incidence of unemployment among the youth is
relatively high. The youth constitute 60 per cent of all people who are unemployed.
Lack of sufficient employment opportunities for young women, who have increasingly
participated in the labour market, further make situation much worse.
3
2.0
STATEMENT OF THE PROBLEM
Despite Tanzania’s economy been resilient to shocks with GDP growth during the
quarter July to September, 2012 was 6.5 % and is expected to remain upbeat with a
GDP growth forecast of 7.1% in 2013 (National Bureau of Statistics, 2012)
Ultimately, youths remained unemployed) but still its recurrent spending has
exceeded revenues, contributing to growing fiscal deficits and highest public debt
stock approached 42% of GDP in 2011. The budget deficit, at 6.6% of GDP in 2011,
improved from 7.1% in 2010. On the other side of the coin, Tanzania shilling has
been under pressure since 2010 falling by 10.6% in 2011 and making imports more
expensive, for instance, increasing oil imports for power generation are driving
strong demand for foreign currency. Given this state of Tanzania economy, available
comprehensive programmes that target youth are absent. As a result, the typical
youth in Tanzania face difficulties to secure job opportunity and majority have no
option but rather to swim on an unemployment pool. Youth unemployment has
become a concern in Tanzania with nearly 2.4 million unemployed people- most of
them young-representing 10.7% of the population, situation is more critical to urban
youths, as argued by Africa Development Bank (2012) that lack of sufficient
employment opportunities for young women further complicates the situation. . A
study by O’Higgins (2001) reported that although youth unemployment varies from
one country to another, a few features are common to most of the nations
investigated.
In this study therefore, general discussion of the situation of youth unemployment will
be made based on the labour market literature on youth and employment in general.
This part of the study will attempt to answer questions such as what is the nature of
unemployment among urban youth, its causes and magnitude using primary data
from Dar es Salaam and Arusha cities, Tanzania and secondary data from Tanzania
Integrated Labour Force Survey (ILFS). The second part of the study will analyze the
socio-political and economic consequences of urban unemployment. Finally, the
study will discuss the nature and types of government and non-government
organizations interventions to address the issues of unemployment and elaborate
successes, failures and lessons learnt.
4
3.0
OBJECTIVES OF THE STUDY
(a).
To analyse the unemployment rate among urban youths by gender between
2002 to 2012 in Dar es Salaam and Arusha cities, Tanzania.
(b).
To analyse nature of youth unemployment in terms of its level and distribution
in Dar es Salaam and Arusha cities, Tanzania.
(c).
Uncover consequences caused by urban unemployment in Dar es Salaam
and Arusha cities, Tanzania.
5
4.0
THE NATURE OF YOUTH UNEMPLOYMENT
Problem of unemployment can best be analysed focusing on its level and
distribution. High level of unemployment connotes the failure of an economy to
effectively utilize its resources which are always scarce. Poor macroeconomic
performance low pace of creating employment opportunities and alarming increase
in the workforce explains the high level of unemployment in Eastern and Southern
Africa.
Distribution-wise unemployment is mainly found to be rampant among certain
section of society, that is, youth heavily carried unemployment burden and therefore,
an increase in the level of general unemployment worsens the position of youth
group in society.
6
5.0
THEORETICAL FRAMEWORK
The human capital theory (Becker, 1962) to some extent is relevant to explain the
youth labour market in Eastern and Southern Africa, that is the human theory
explanation of high level of youth unemployment could be that the at individual level
youth possess less human capital, hence, is likely to be less attractive to job market.
Also, at national level, human capital theory insists that investment in education had
positive correlation with economic growth and development. This seems to explain
situation in most Eastern and Southern Africa countries such as Tanzania where
majority of the youth hardly finds a job. Nevertheless, the fact that there are not that
much jobs opportunities created is the substantial apprehension of the high levels of
unemployment in these countries. The ability possession of youth is of relevance
towards alleviating unemployment among youths, but only when there is sensible
number of jobs available.
Despite commonly interventions of youth training and retraining schemes, to some
extent such interventions improve the human capital of the youth in the job queue
but in actual sense, it seen to improve a lot in the developed world, due to the fact
that size of the youth and amount of resources needed to conduct such programs, as
supported by Bizuneh et al. (2001) that applicability of youth training programs in the
poorest countries is highly doubtful.
Since labour market theories may not adequately explain the condition in the youth
labour market in Eastern and Southern Africa, it is sound to concentrate on the
underlying factors attributing to this problem. Those could well explained in terms of
demand side problems, supply side problems, policy-related problems and
associated problems originate from youth themselves.
7
6.0
REVIEW OF RELATED LITERATURE
One of the underlying factors explaining urban youth unemployment is low level
aggregate demand in an economy. Aggregate demand as a factor elucidate that high
level of youth unemployment is particularly worthy of note as the youth found at the
end of the job queue. Thus, low level of aggregate demand increases youth
unemployment. In a situation of high unemployment youth are seriously faced with
intense competition from adults. Employers also would tend to omit the
inexperienced youths mainly fresh graduates in the presence of readily available
jobs and experienced adults. The second factor that explains youth unemployment in
Eastern and Southern Africa such as Tanzania found on supply side problems. A
rapidly expanding workforce, due to high population growth, increases youth
unemployment.
Further, economic trends and reforms plays significant part to shape employment
situation in the country as Kinabo (2004) reports that starting early 1980’s Tanzania’s
economy started to decline adversely affecting manufacturing industries especially
textile industries by 1994/1995 all government owned textiles either collapsed or
privatized on which massively retrenched its staff whereby according to Ministry of
Industry and Trade report on Status of Textile industries in Tanzania, 50 textile
industries were established by the year 2002 by the government and private
companies. However, only 23 (46 percent) of the established industries are
operating. These newly established industries which majority owned foreign
investors prefer to employ foreign employees even to positions that can be filled by
local youths. Also, Mkude, Cooksey and Levey (2003) argued that due to economic
liberalization, the privatization of parastatals corporations and growth of private
economy led to freezing government recruitment and downsizing have resulted in
graduate unemployment in Tanzania.
Also, regional integration which advocate for free flow of labour across member
countries, partly attribute to the youth unemployment. The youth, in such a case,
would face a stiff competition either from within the country or from other regional
bloc counterpart. In the context of developed countries as argued by Bizuneh et al.
(2001) that the increase in the labour force participation of adult female and
increase in emigration have been blamed for some of the increased urban youth
unemployment in recent decades. In the context of Eastern and Southern Africa, the
youth competition between member states due to the fact that the region is
characterized by numerous regional economic groupings, East Africa Community
(EAC), Common Market for Eastern and Southern Africa (COMESA) and Southern
Africa Development Community (SADC) protocols calls for free movement of labour
within the regional groupings, hence with trend if not properly coordinated may
further lead to unemployment to Tanzanians nationals as observed by Kagenda
8
(2012) that foreign citizens from neighbouring EAC member states dominate jobs in
tourism and mining sectors hence deny local youth chance to job opportunities in
response, to curb influx of foreigners, Tanzania government increase work permit fee
whereby effective from 1st August, 2012 foreign worker had to pay 3000 USD from
previous 1600 USD to obtain work permit.
Rapidly growing urban labour force arising from rural-urban migration in Tanzania
also attributed to high urban unemployment. Harris-Todaro framework explains
better rural-urban migration that there is persistent rural-urban migration in
developing countries despite high unemployment rates in cities, with the idea that
migration will occur as long as the urban expected income i.e income times the
probability of finding an urban job) is higher than the rural one. The Harris-Todaro
model concludes that creating urban jobs is an insufficient solution to the urban
unemployment problem because of the induced negative effect on rural migration,
which may outweigh the positive effect of creating jobs (Todaro, 1997). This is
referred to as the Todaro paradox, because rural risk-neutral agents consider
expected wages when deciding to migrate to urban, inter-labour market (rural-urban)
equilibrium mandates urban unemployment.
Further, rural-urban migration is usually explained in terms of push-pull factors. The
push factors include the pressure resulting from man-land ratio in the rural areas
especially in fertile land areas like Kilimanjaro and Mbeya, and the existence of
serious underemployment arising from the seasonal cycle of climate, rain-fed
agriculture. The factors are further exacerbated in Tanzania by the lack of
infrastructural facilities, which makes the rural life unattractive. Youths move to urban
areas with the probability of securing lucrative employment in the industries. Often
times, they engage themselves in all manners of dirty deals in order to raise hundred
thousands of Shillings to secure fare to travel to South Africa commonly known
among youth as “Madiba land”, in search of greener pastures. In March 2012, it was
reported that Tanzanians youth live miserable life and many engage in drug
trafficking in South Africa. In addition to this, there is the concentration of social
amenities in the urban centers. This meant that the rural areas are neglected in the
allocation of social and economic opportunities. According to Sarr (2003), youth
migrants in Africa are three times more in number than other migrants. The
urbanization rate of the youth was 32 percent in 1990, compared to less than 25
percent for the non-youth population. It is estimated that by the end of year 2010,
over 50 percent of the youths in Africa will be residing in urban areas where job
opportunities are limited to a few modern sectors and establishments.
The rapid population growth. The 2012 Population Household Census revealed that,
the population of Tanzania has grown from 12,313,469 persons in the 1967 Census
to 44,928,923 persons counted in 2012. That is to say, the population of Tanzania
9
has more than tripled from 12.3 million in 1967 to 44.9 million in 2012, with Dar es
Salaam city account for 10 percent of total population of Tanzania mainland
population (National Bureau of Statistics, 2013). Projections for the future indicate
that the population could be over 54 million by the year 2022, given the GDP growth
forecast of 7.1% in 2013 (African Economic Outlook, 2012). With this population,
Tanzania is the most populous nation in Eastern Africa. It is argued that the high
population growth rate has resulted in the rapid growth of the labour force, which is
far outstripping the supply of jobs. The accelerated growth of population on
Tanzania’s unemployment problem is multifaceted. It affects the supply side through
a high and rapid increase in the labour force relative to the absorptive capacity of the
economy.
Discrepancy between knowledge, skills youth receive in schools or colleges is
another critical reason for high urban youth unemployment , due to the fact that
Tanzania education system mainly characterized by students struggling passing final
exams as schools/colleges of all kind have become too much like exam factories,
concentrating their energies on securing passes at A grade in exams and have given
too little attention to the labour market requirements, the scramble for good
academic results has also been at the cost of genuine learning and creative teaching
and innovation, hence, Byemelwa (2013) call for schools to be a serious learning
institutions preparing its students with skills and knowledge so that they fit in the
labour market.
10
7.0
THE MAGNITUDE OF URBAN YOUTH
UNEMPLOYMENT IN TANZANIA
To understand magnitude of unemployment in Tanzania three definitions of
unemployment has been adopted in this study so that to maintain international
comparability, the first and second definition refer respectively to the strict (only
those actively looking for work) and relaxed those actively looking plus those not
actively looking) international definitions of unemployment adopted by International
Conference of Labour Statisticians (ICLS) in 1982. The third definition adds those
persons with marginal attachment to employment to the unemployment pool rather
than classifying them as employed.
A number of studies have looked at different aspects of the urban youth
unemployment in Tanzania (Semboja, 2007, International Labour Organization,
2012, World Bank, 2009). Findings from these studies indicate that urban youth
unemployment have continued to increase and have remained at extremely high
levels despite considerable efforts to promote sustainable development by national
governments and international development agencies. Based on the 2006 ILFS
urban unemployment was 25 percent for men and 33.7 percent for women in Dar es
Salaam (major commercial city in Tanzania) and 16.5 percent for both men and
women in other urban areas in 2006. ILFS 2006 report that the overwhelming
majority of the unemployed youths were made up of first time job seekers, focusing
on 15+ years in Dar es Salaam city and other urban areas, that the general
unemployment stand at 31.5 percent in Dar es Salaam and 16.5 percent in other
urban areas, further, sex differentials in unemployment on 15+ years age group
found nearly 60 percent of the unemployed women, in urban areas compared to only
45 percent of the unemployed men. Fifty six percent of the unemployed population
are women.
11
8.0
RESEARCH METHODOLOGY
The study adopted a case study design. A case study design is a type of qualitative
research in which in-depth data are gathered relative to a single individual, program
or event, for the purpose of learning more about an unknown or poorly understood
situation. Also, secondary data from Integrated Labour Force Survey (ILFS) are
employed to assess the magnitude (gender disaggregated) of urban youth
unemployment in Tanzania. The ILFS data is a household survey data that has been
compiled by National Bureau of Statistics. It analyzes the interactions between the
factors that explain present the status or which influence change or growth (Leedy
and Ormrod, 2001). Sometimes researcher focus on a single case, perhaps because
of its unique or exceptional qualities that can promote understanding or inform the
practice for similar situations (Fraenkel and Wallen, 2000). The researcher adopted a
case study design so as to get in-depth information about urban youth
unemployment in Tanzania.
When using a case study ultimately the researcher look the youth labour market
situation in urban Tanzania. First, simple descriptive statistics involving urban youth
unemployment and participation rates have been used to see changes in some
indicators of the youth labour market. Followed by the characteristics of the youth
based on activities that the youth reported to have been involved in. There are five
different activity types that the youth could have been involved in. These activities
include employment in the public sector, employment in the private sector, selfemployment, casual work and unemployment selection into any of these states is
best modelled using multinomial logit model where the probability of selection is
assumed to depend on personal, family and labour market characteristics ( Maddala,
1983).
Target population includes all youths in Dar es Salaam and Arusha cities, Tanzania.
Sample involve youths in Kinondoni and Arusha Urban districts in Dar es Salaam
and Arusha cities respectively. Stratified sampling used to divide urban youth in
terms of their level of education (graduates and non-graduates) and then, using
simple random sampling, sample from each sub-group of the population. Creswell
(2008) argued that use of stratified sampling guarantees that the sample will include
specific characteristics that the researcher wants included in the sample. Data
collected using questionnaires, Focus Group Discussion (FGD) and interview.
12
9.0
DISCUSSION OF FINDINGS
The key findings in this study were the country’s slow growing economy to create
adequate jobs, high youth population, inequalities within the country, discrepancy
between knowledge, skills youth received in schools and labour market requirements
as well as youth’s negative stereotypes.
9.1
Slow Growing Economy to Create Adequate Jobs
Country’s weak economy has direct relationship with youth unemployment as
Tanzania macroeconomic policies are heavily focused on export-commodities such
as, the concentration of growth in high capital-intensive sectors like mining and
tourism (Tanzania’s first and second forex earner sectors) whereby these two top
sectors are mainly operated and employ foreigners, with few residents given low
cadre posts such as security guards and sweepers - poor-quality, low productive
waged jobs. This is highly problematic due to the fact that young Tanzanians of
today have the highest educational attainment in comparison with the past, they end
up competing for the few jobs available in public sector, for instance, in Tanzania
each year estimated 700,000 graduates entering the labour market but only 40,000
(5.7%) get employment in the formal sector. Therefore, urban youths in Tanzania
find themselves last in first out (LIFO) of the labour market.
Further, laxity in labour and immigration laws, many foreign companies and
organizations to employ foreigners at the expense of local youths even to positions
which Tanzanian youth is qualified and has adequate experience hence fit for the
job, this trend is mainly observed in tourism sector especially in Tanzania’s Northern
Tourism Circuit and Zanzibar hotels whereby almost third quarter of its staff are
either from neighbouring country and Asia while hundreds of qualified Tanzanian
youth still suffer in the labour market.
9.2
High Youth Population
The size of the youth cohort is seen as a major contributor to youth unemployment.
The United Nations Population Fund (2010) indicated that more than 50% of the
world’s population is under the age of 25 – just over 3 billion individuals are youth
and children. Youth, internationally defined as people between the ages of 15 and
24, count 1.3 billion alone -approximately one person in five is between the age of 15
and 24, or 17% of the world’s population. The International Labour Organization
(ILO) projects that the vast numbers of young people entering the labor market
require the creation of more than a billion jobs in order that they can be given access
to labour markets and unemployment can be reduced. The lack of education and
13
job-related skills is another reason provided to explain high levels of youth
unemployment.
9.3
Unemployment Youths Characteristics
The central point of this task was to identify youths characteristics in terms of their
educational levels, location as well as their gender. Focus Group Discussions and
questionnaires were used to collect data from the respondents. Respondents were
the youths in respective urban districts. The Data obtained through questionnaires
are presented in Table 1.0
Table 1.0:
Regions
Unemployed Youths Characteristics in two Sampled Districts in Dar es Salaam
and Arusha Cities, Tanzania
Educational level
Total No. of
District
Graduate
Non-Graduate
Unemployed Youth
F
T
%
F
T
%
F
T
%
Dar es
Kinondoni
22
34
64
34
Salaam
Arusha
Arusha (U)
13
19
36
45
Total
35
53
100
79
Key: M = Male, F = Female, T = Total, Male = T – F
46
39
56
80
48
72
118
61
100
58
114
91
171
52
100
Table 1.0 show that youth graduates were 53 (30 percent) in the sampled urban
districts. The majority of the unemployed graduates 34 (64 percent) were found in
Kinondoni district, Dar es Salaam compared to 19 (11 percent) unemployed youth
graduates found in Arusha urban district. It was further observed that among those
53 unemployed graduate youths 30 of them have never been employed since they
complete their university education more than five years ago. Such long-term
unemployment situation connote the intensity of unemployment in the sampled
districts and likely these unemployed graduates may get attempted to engage to
illegal activities, as it was observed by a researcher that most of these “Jobless
graduates” spend most of their time in pubs, bars drinking alcohol and playing pool
table. Hence, it is argued that immediate action should be taken to rectify the
unemployed situation.
The researcher also found that there are more female unemployed youths than their
female counterparts, for instance, in sampled districts female unemployed youths are
114 represents 67 percent of the unemployed youths in the sampled districts.
Furthermore, it has been observed that the majority of unemployed youths were nongraduates, that is, their level of education ranges from standard 7 to form six level
education, for example, in the two selected districts, a total of 118 out of 171 youths
14
were non-graduates which imply that they face more difficulties to get employment in
formal sectors in urban areas which require educated youths with adequate
education, preferably university degree.
9.4
Deepening Inequalities
There is deepening inequality among youths in terms of socioeconomic status,
gender, disabilities and tribe towards accessing education and later job
opportunities. Disadvantaged youths are facing extreme poverty because of unequal
access to economic and social services. Following adopting economic liberalization
policies in early 1990’s hence establishment of cost sharing policy in social services
including education which previously were fully funded by the government from
primary school to university level, hence, reduced educational opportunities for
children from poor families to access education as a result remain uneducated hence
automatically disqualify themselves from getting decent and well paid jobs. As
supported by Raymond (2009) that cost sharing in higher education deny right to
higher education especially youth from poor families as many poor Tanzanian youth
cannot afford to share the cost for their university education. Also, Godfrey (2003)
argued that one-size-fits-all economic reforms that singularly focused on achieving
macroeconomic stability has led to unsatisfactory socioeconomic outcomes with very
high social costs among urban youths.
9.5
Discrepancy between Education and Training Skills and
Labour Market requirements
Skills mismatch currently faced in the labour market to the poor flow of information
regarding the skills demanded by potential employers explains the high rate of urban
youth unemployment in Tanzania. This is vividly true because unemployed urban
youths of most Eastern and Southern Africa underwent through best recognized and
reputable education and training institutions in these countries. In this regard, Free
Primary and Free Secondary education which mainly focusing on quantity not quality
are partly to be blamed as it create serious quality problems, although on one hand it
is a good achievement in its own as more children and youths enrolled into schools
hence increases human capital and meet Education for All (EFA) and Millennium
Development Goal (MDGs) objectives. Nonetheless, disorganised and quantitydriven education expansion and training prepare “ a reserved army” of unskilled
youth whom may not fit in the modern, competitive, dynamic and vibrant labour
market hence if this problem not checked these “half-baked” unemployed youths
may better utilized by gangs, drug trafficking and terrorists groups. The mismatch of
skills versus labour market requirements problems is widely in Africa as observed by
International Labour Office (2012a) that in Africa, there is a mismatch between
15
higher education, vocational and professional training and skills development and
what the job market actually needs.
Also, there is deficiency of school/college to work career guidance and counseling
and role modeling services with proper labour market information given to youths to
facilitate the school-to-work transition. Educated youth are not being prepared on
how to market themselves and are unaware of potential job opportunities which
increases the likelihood of these youths being unemployed for longer periods. For
instance, in Tanzania, it is not a common practices in most universities to find
institutionalized career advisory services but the few available career fairs are
organized by students associations themselves, for example, at University of Dar es
salaam, AIESEC (student association) organizes career fair each year on which
prospective employers, mainly from private companies meet with its prospective
employees.
Furthermore, universities tendency to continue offering “traditional academic
programmes” which do not highly needed in the dynamic and competitive labour
market, as a result, the educational system produces thousands of graduates every
year who are not being absorbed into the labour market. Such system fails to
respond to realities of the African formal and informal economy. Considering that the
educational system in Tanzania’s public universities has not been for quite long time
have not been updated despite of political ideology shift from socialism to
liberalization of economy still universities stick to produce graduates in large
quantities example, at university of Dar es Salaam, it was found that majority of
unemployed graduates youth in the study hold Social sciences/Humanities-based
degree whereby out of 53 graduate respondents 40 hold Political Science degrees
face difficulties to find jobs as the “political science degree” seen not highly needed
in the current labour market. One graduate respondent in Kinondoni district
complained that:
“…I graduated with BA Political Science degree from
university since 2003, but when applying for a job in
various organizations, most of them responded that
they don’t need political scientist equating the degree
with being politicians..”
Such kind of complaints indicated that the inappropriate matching of university
degrees with demand occupations. Degree conferred in disciplines that are less
expensive to teach such as social sciences and Humanities. Instruction and training
in areas such as engineering and physical sciences which require more
sophisticated equipment and technology, are often too costy for many universities for
many universities in developing countries to provide. As a result there are over-
16
abundance of students graduating with degrees in such disciplines as Political
Science and Education, but there are insufficient numbers of jobs available in these
areas. Conversely, engineering and high-tech job remain unfilled.
The rapid expansion of the educational system which directly leads to increase in the
supply of educated manpower above the corresponding demand for them. This
contributes to the problem of the youth unemployment in Tanzania. For instance, the
total number of graduates turned out by the higher education institutions in Tanzania,
reached the total enrolment of 82,529 students in all universities. Presently, with over
40 universities and university colleges in Tanzania (public and private) and the
increasing demand for higher education there has been the problem of suitable
employment for the varieties of graduates are turned out by these higher institutions
every year. Ordinarily, this should not have been a problem, but the reality is that the
Tanzania’s economy is too weak to absorb this large number of graduates.
Further, there is no vibrant manufacturing sector which has the capacity to absorb
unemployed youths in Tanzania. There are over 22 collapsed industries in Tanzania.
About half of the remaining operating industries have been classified as “ailing,” a
situation that poses a great threat to the survival of manufacturing in the country in
the next few years. A researcher observed that there are about 10 industries found in
Kinondoni district mainly recruit foreigners especially from Asian countries even to
job positions which can be occupied even by local youths.
Massive corruption during recruitment has been mentioned as stumbling block
towards getting employment among youths especially in formal sector jobs, as
majority of respondents indicated that to get job in public institutions you either need
to have “connections” or money to bribe the interview panel members. As 24
respondents said they have been demanded to send money through mobile phone
transaction “M-PESA” to get the jobs in public offices.
Moreover, it has been reported that youths who interviewed did not benefited by any
government fund targeting youths, for instance, Presidential fund commonly known
as “Mabilioni ya JK” given to every region in the country as soft loans to help youths,
none of the respondents benefited from such loan facility. Despite paying Tsh.
50,000/= as registration fee to get such loan. As youths in Arusha said;
“..they came here to announce that billions allocated to
help entrepreneurs, therefore we are supposed to fill
application form attach with members’ passport-size
photos, we did all that. Unfortunately, up to this time we
didn’t hear anything from them…”
17
This was also justified by youths in Kinondoni district who sympathetically explained;
“…we applied for such loan [Mabilioni ya JK] despite
met all requirements we did not get response from
them, only to find those few groups given loans
comprise members of rulling party and the process
conducted inside rulling party office…”
The two aforementioned statements indicate that there are elements of corruption
and favouritism in administering issuance of loans from the Presidential loan facility,
youth are anxiously organized themselves into groups to get loans. But officials
responsible either indirectly demand to be given “something” before issuing loan or
preference given to groups with members who are cadres of rulling party.
Also, presence of Grand corruption at national level hinder nation’s capacity to
develop its economy which will directly generate more youths employment, due to
the fact that, corruption diverts financial resources from building roads, hospitals,
schools, and otherwise investing infrastructure that would serve businesses, attract
foreign investment and create jobs. Funds meant for development projects have
been misappropriated, diverted, or embezzled and stashed away in foreign banks,
as argued by Mkinga (2012) that some local political bigwigs are behind the stashing
of a total amount of 303.7 billion Shilling money in Swiss banks, this amount was
more than double the Sh133billion swindled through the External Payment Arrears
(EPA) from the Bank of Tanzania in 2005/06, while some incompetent and corrupt
bureaucrats and administrators in the public enterprises and parastatals have
liquidated these organizations. The point being made here is that the collaboration of
the political elites, local and foreign contractors in the embezzlement of public funds
obtained from abundance of natural resources endowed in Tanzania ranging from
highest peak mountain in Africa, more than 12 National Parks, Indian ocean white
sands beaches, robbed Tanzania of the chances of using more billions of Shillings e
revenue from the mining and tourism sector in the last 50 years to develop a vibrant
economy that would have created jobs for the youths in various sectors of the
economy. The ruling (political) class failed because they replaced the vision, policy,
and strategy, which should be the thrust of every leadership with transaction
(contract award and other mundane money-related activities).
Each successive government took turns to prey on the nation’s wealth, by using
public power, resources, good will, utilities, instrument of abuse, and personal gains
(Okafor, 2005). The chief among them is the fact that those who find themselves on
the corridors of power, where economic policies abound, do not continue with any
profitable policy or projects left by their predecessors. Rather, they create their own
policies which only run within their political tenure. Most policies inaugurated by
18
leaders are run under what considered as “Flower Policies.” Tanzania is adjudged to
be the number one in policy creation and worst in policy implementation and
sustainability, for instance, the ongoing “Kilimo Kwanza”, “Kilimo cha Kufa na
Kupona” in 1970’s and “Mabilioni ya JK” loan programme. The adverse effects of
‘pick and drop policies’ have resulted to instability and inconsistencies which also
have engendered the growth of corruption and socio-political opacity in our national
affairs.
The lack of strict measures to punish recalcitrant kleptocrats who disguise as leaders
have also engendered unemployment among the youths because those who work
with those corrupt leaders do little or no work but get paid hugely and are accorded
all forms of protection from any harm. The government should make haste to adopt
capital punishment for corrupt leaders as proposed by former National Assembly
speaker Hon. Samwel Sitta who said, “Capital punishment for corrupted leaders is
tenable option as it is done in China”.
19
10.0
CONSEQUENCES
The unemployed youths have become political thugs and blood-thirsty hoodlums at
the disposal of the politicians. The point here is that when large numbers of youths
are unemployed, their quest to survive may make them to become willing tools in the
hands of maverick and disgruntled politicians who may want to use them for antisocial and clandestine political activities. The utilization of the unemployed youths to
perpetuate ethno-religious clashes in the present democratic dispensation are well
documented (Schraeder, 2000; Tordoff and Young, 2005). It also shows that some
section of wealthy people in the society are not ready to utilize use acceptable way
of hard working to get rich instead use youths to kill Albino and take his/her parts
with the hope they will get rich or shine in political platforms. The implication here is
that no democracy has strived and stabilized in the atmosphere of lawlessness,
political thuggry, intimidations, killings, maiming and unabated destruction of lives
and property like the type witnessed 2001 Zanzibar killings when opposition party
members demonstrated in streets. This kind of violence amounts to infringing on the
rights of other citizens to freely make their choice. This can lead to neither the growth
of democracy nor its stability (Abati, 2011). Another classical example of how youth
restiveness can be engendered by unemployment is the recent killings in Zanzibar
by a member of the Muslim Mobilization and Propagation Group Islamic sect called
“Uamsho” which literally means, ‘’Awakening”. The Daily News of 18th February,
2013 report Catholic priest shot on Sunday morning by unknown assailants at Mtoni
area, Urban West region in the Island as he was heading to lead a mass at Betras
Church in the island.
10.1
Youths as Influencers
Youths as influencers, to date youth are more pro-actively competent and spend
their time online media, if utilized effectively they can find value in making
themselves ana attractive and marketable in labour market. On the other hand, youth
may use social and communication media networks to disrupt peace in their
countries, the current events serves as a dramatic examples of the way unemployed
young people’s issues and opinions can “go viral” via social networking channels.
Online connections among unemployed young people have been credited as a major
driving force behind the Arab uprising in Egypt, Tunisia lead to overthrowing of the
governments in place. Another lively example in Uganda, the potential of mobilizing
youth opinion was recently illustrated by the “Kony 2012” incident, where more than
74 million social network users learned about the abuse of child-soldiers in Uganda.
Further, ongoing terrorists attacks in Gulf of Aden and Horn of Africa conducted by
young people who are mainly unemployed easily to be cheated to join these terror
gangs for instance, Somali terror group “ Al- Shaabab” or “The Youth” is an AlQaeda-linked militant group which recruit its members not only in Somali but also
20
from neighbouring East Africa countries, also, focusing its terrorist activities to both
inside Somalia, Indian Ocean high seas and to other Eastern Africa countries,
including coordinated suicide bombings in Uganda’s capital, Kampala in 2010 and
several grenade attacks in Kenya’s capital, Nairobi, Eastleigh suburb.
10.2
Religious Violence
Tanzania's religious tensions that have seen churches torched and several Christian
clerics killed not only negate the East African Community spirit, but also the Africa
integration quest. Tanzanians ought to understand that such tensions have only
served to curtail socio-economic and political growth in countries like Sudan, Nigeria
and Egypt. These incidents which mainly conducted by unemployed youths. Stern
measures should be instituted to curb these incidents especially at this time when
Africa is pursuing integration with a view of freeing its potential and engaging global
powers, it is detrimental to be stuck in feuds that so often mutate to run down other
indicactors of wellbeing. Africans, irrespective of their class, tribe and religious
affiliation need improved standards of living and an environment that frees their
productive potential. Concerted effort is required to address factors that curtail the
above instead of perpetuating division. Within objective and informed unity lies our
strength.
10.3
Commercial Sex Workers, Excessive Alcoholism and
Narcotics Drug Cartels
Presence of brothels, a researcher observed number of brothels in Manzese area
commonly known as “Uwanja wa Fisi” mean “hyena ground” whereby about 70
rooms accommodate commercial sex workers, as one of respondent said;
“…there
are many girls here (Uwanja wa
Fisi)….When you have argued with your girl you
go to such places. You get one girl to have sex
with. ‘Unagonga’….”
Most male respondents reported having sex in rented rooms, guest houses or in
public spaces surrounding the brothels at night. As one participant stated: “in our
areas there are many narrow paths so the person may finish his stuff [have sex]
there”. Some male respondents reported engaging in inconspicuous sexual
intercourse in dimly lit camp rooms during night time. Brothels were also sites for
HIV/AIDS risk behavior and group pressure to engage in such behavior. Men
reported encouraging each other to meet new sexual partners at the camps,
including commercial sex workers, and engaging in concurrent sexual partnerships.
Concurrency involves having multiple sexual partners that overlap in time and is a
21
behavioral marker of high risk sexual networks that accelerate the spread of
HIV/AIDS especially among the youths in the area.
Also, about 62 youths reports they engage in drug use, excessive alcohol as a way
to comfort themselves to the extent that became addicted to alcoholism among
urban youths has deteriorating effects to the user’s personal and social life, it leaves
alcoholic unable to maintain effective interpersonal skills/relationships which are
essential towards searching for job. Chronic alcoholic results into not only physical
damages (that is, cirrhosis of the liver as well as other internal disorders and overall
physical and muscular degeneration) but also left outh financially and spiritual
bankrupt.
Ministry of Health and Social Welfare statistics indicate that in 2011 a total of 47,000
people diagnosed with Tuberculosis (TB) as 1,228 died annually because of TB
mainly youths, whereby Dar es Salaam ranked the first in the list followed by
Mwanza, Shinyanga, Mbeya, Morogoro, Tanga, Iringa,
Arusha, Mara and
Kilimanjaro region situation which threatens country’s workforce. Mbatia (2011)
indicated that there is an increasing prevalence of injecting drug use (IDU) in Dar es
Salaam. Research has shown as well a high HIV prevalence among this populationabout 40% among IDU’s in Dar es Salaam, with female IDU’s having prevalence rate
of around 60%. A recent Rapid Assessment and Response (RAR) conducted by
Médecins du Monde showed an overall HIV prevalence of 36% among PWID (67%
for female PWID). Overall HCV prevalence was 28% and coinfection was 15%
among men and 28% among women. Also, Magendela (2013) cautions youths to
abstain from smoking cigarettes and marijuana as it is dangerous to their health as
well as it degrade nations active worksforce.
10.4
Youths Delinquent Gangs
Youths delinquent gangs that engages in antisocial or illegal behaviors such as theft,
rape and murder , youths interviewed report that there are many gangs in Kinondoni
and Dar es Salaam in general, usually divided by age or “speciality”. There are often
fights between the rival gangs, especially when they are drunk or high, common
gang groups in the area include “Komando Yosso”, “Kiboko Msheli”, “Begi Bovu” and
“Mbwa Mwitu”. The in-depth interviews revealed that approximately half of the youths
knew of gangs operating in Dar es Salaam, but only seven admitted to being
members of a gang. In the focus group discussions the youths were quite reluctant
to admit to being a member of a gang, but would willingly talk about the gangs and
their activities.
22
11.0
INTERVENTIONS
The Tanzanian Government must play its constitutional responsibility of creating
enabling socio-economic and political environment including the provision of
infrastructure to make industrial climate investment friendly. This will encourage
investors to invest and thereby create jobs in order to absorb the unemployed
youths. Despite of having National youth Policy in place, less has been done to
ensure.
Enhancement of the policy environment is an important aspect towards creating
more employment opportunities. The policy environment should be cognisant of the
problem of youth unemployment. There has not been a considerable move in the
right direction in this regard. Decentralise decision making from the Ministry of Youth
headquarters in Dar es Salaam to levels should be the tenable option as a way to
recognise the problem of the youth at each and every corner of the country. Such
developments will make the recognition of the problem that the youth faces easy for
the purpose of policy decision. However, there is still a room for more improvement
regarding provisions that should be made in order to make the youth a policy focus.
In this regard one can mention the absence of exclusive mention of the youth in the
National blue print Vision 2025 and in National Strategy for Growth and Reduction of
Poverty commonly known as “MKUKUTA”. There is a well-established link between
poverty and youth unemployment, since, particularly, youth unemployment in general
and women youth unemployment in particular is believed to have an adverse shortand long-term consequences. In view of this, any such major strategy papers should
accord due attention to the youth in the future.
The creation of conducive environment, which aids the development of a vibrant
private sector, should also be an integral part of the fight against youth
unemployment. The private sector is largely the main hope for the creation of large
scale employment in economies like Tanzania. Encouraging the private sector
through Public-Private Partnership (PPP) model not only creates more employment
opportunities but it would also ease the burden on the government whose role
should be limited to the co-ordination of the skills requirements of the labour market
(the private sector) and the development of such skills through education and
training.
Another type of intervention that can be made includes the encouragement of
entrepreneurship and self-employment. In an environment where there is a weak
private sector and where the capacity of the government in terms of creating
employment is minimal, entrepreneurship and self-employment should be viewed as
alternative ways of employment creation. In this regard the creation of schemes that
provide potential entrepreneur youth with vital labour market information and
23
desperately needed finance (credit) might be worth considering. One important
missing factor in relation to the labour market of countries like Tanzania is a system
of labour market information that is vital to the government, the private sector, and
the society at large. Given this, the establishment of a scheme that provides such
crucial information would be important. For instance in Tanzania, Special
Sustainable Youths Schemes should be established and properly managed unlike
the national “short-lived” youth scheme commonly known as SKUVI established at
the peak of first multi-party general election campaigns in 1995, but collapsed soon
after the election was done.
Tanzania should borrow a leaf from India whereby several state governments have
been operating youth’s self-employment schemes. The Government of Andhra
Pradesh has set up a Society for Employment and Training in the Twin Cities
(SETWIN) to provide informal training and assistance in taking up self-employment.
Similar societies have now been set up also in all the other districts of the state. The
Government of West Bengal has been operating a Scheme for Self-employment for
the Registered Unemployed (SESRU), that is, the unemployed registered with
employment exchanges. Madhya Pradesh has a soft loan scheme for the purpose;
Delhi. Manipur, Maharashtra and Nagaland also have similar schemes. As Visaria
(1998) emphasize that the functioning of these schemes needs a careful evaluation
to assess the long-term viability of the enterprises set up by the assisted persons.
Therefore, the task of fighting youth unemployment in Tanzania is unlikely to be an
easy one. It is a task that government alone cannot carry out. A concerted effort from
all the major actors is absolutely vital. The government should be at the forefront of
the fight by creating an conducive environment and by carrying out the much-needed
task of coordination. The private sector, NGOs, the donor community, religious
organisations and individuals including youths should be there to complement any
such effort.
24
12.0
CONCLUSION
From the findings, youth unemployment is a menace in Tanzania and constitutes a
real danger and a threat to Tanzania’s long standing peace and security. This is
because these youths could be manipulated to undermine the stability of Tanzania’s
democracy at any point in time. Against this background, there is the need by
government at all levels, international community and other stakeholders to embark
on massive job creation to take these youths off the streets. Granted, there may not
be a quick fix to this problem, but all the stakeholders must as a matter of fact do
something urgently.
25
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