CONTENTS Acknowledgements. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ix Abbreviations & Acronyms. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . xi Executive Summary. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . xiii Growth and Jobs: Low Productivity, High Demand for Targeted Skills. . . . . . . . . . . . . . xiii Youth-related Constraints: Women, Mobility, and Core Competencies . . . . . . . . . . . . . xv Labor Market Programs: A Better Balance between Demand and Supply . . . . . . . . . . xvi Transforming the Youth Employment Trajectory: Toward an Integrated Approach. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . xvii Context and Objectives. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 Conceptual Framework. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 Approach. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Profile of Jobs and Labor Demand. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Growth Trends. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Types and Quality of Jobs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 Labor Costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 Demand for Workforce Skills. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 Recruitment and Retention. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 Conclusions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 Profile of Youth in the Labor Force. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 Demographic and Labor Force Trends . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 Education . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20 Gender. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 Unemployment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23 Job Skills and Preferences. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24 Conclusions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H iii Landscape of Youth Employment Programs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29 Mapping Key Labor Market Actors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29 Youth Employment Expenditure. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30 Active Labor Market Programs. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33 Social Funds for Employment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33 Vocational Training . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34 Monitoring and Evaluation of Jobs Interventions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34 Social Protection Systems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34 Labor Policy Dialogue . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36 Conclusions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37 Policy Implications: Transforming the Youth Employment Trajectory. . . . . . . . . . . . 39 Typology of Youth Employment Challenges and Constraints. . . . . . . . . . . . . . . . . . . . . . . 39 From Constraints to Opportunities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40 Toward an Integrated Model for Youth Employment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48 Conclusions: Equal Opportunity, Stronger Coalitions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48 Technical Annex. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49 Chapter 1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49 Chapter 2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52 Chapter 3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56 Figues, Tables, and Boxes FIGURE 1  Conceptual framework for jobs, economic transformation, and social cohesion . . . 3 FIGURE 2  Growth outlook for Mauritania, overall and by sector, 2013–2018. . . . . . . . . . . . . . . . 8 FIGURE 3  Sectoral contribution to GDP and productivity, Mauritania, 1995–2014. . . . . . . . . . . 8 FIGURE 4  Distribution of employment by sector . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 FIGURE 5  Regional distribution of poverty rate . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 FIGURE 6  Regional distribution of agricultural employment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 FIGURE 7  Distribution of all jobs, by type. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 FIGURE 8  Poverty rate, by occupation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 FIGURE 9  Labor tax as a share of total commercial taxes on firms. . . . . . . . . . . . . . . . . . . . . . . . 13 iv M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H FIGURE 10  Firms’ perceptions of major constraints on operations (percentage of all firms), 2014 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 FIGURE 11  Firms’ perspectives on workforce skills . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 FIGURE 12  Workforce skills considered “very difficult” to find by firms, qualitative findings. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 FIGURE 13  Recruitment channels, by sector (qualitative findings) . . . . . . . . . . . . . . . . . . . . . . . . 15 FIGURE 14  Population projections, Mauritania, 2015 and 2050 . . . . . . . . . . . . . . . . . . . . . . . . . . 18 FIGURE 15  Regional distribution of labor force participation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18 FIGURE 16  Regional distribution of unemployed individuals. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18 FIGURE 17  Youth labor market segmentation (15–34 years) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 FIGURE 18  Female labor force participation rate, international comparison . . . . . . . . . . . . . . . 21 FIGURE 19  Distribution of employment, by occupation and gender . . . . . . . . . . . . . . . . . . . . . . 22 FIGURE 20  Unemployment rate, by age and gender . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 FIGURE 21  Distribution of unemployed population, by educational level. . . . . . . . . . . . . . . . . . 25 FIGURE 22  Share of youth reporting a “high” skill level (percentage), qualitative findings. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26 FIGURE 23  Entrepreneurship willingness among youth by gender (percentage), qualitative findings. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 FIGURE 24  Financial inclusion among youth. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 FIGURE 25  Key labor market actors in Mauritania. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30 FIGURE 26  Distribution of youth employment programmatic expenditure, by type. . . . . . . . . 32 FIGURE 27  Employment-related expectations of the private sector among youth. . . . . . . . . . 35 FIGURE 28  Employment-related expectations of the Government among youth. . . . . . . . . . . 35 FIGURE 29  Profile of surveyed firms, by sector (percentage), qualitative micro-survey . . . . . . 49 FIGURE 30  Profile of surveyed firms, by size (percentage), qualitative micro-survey. . . . . . . . 49 FIGURE 31  Age distribution of youth surveyed (percentage), qualitative micro-survey. . . . . . 49 FIGURE 32  Profile of surveyed youth, by educational level, qualitative micro-survey. . . . . . . 50 FIGURE 33  Profile of surveyed youth, by educational level and gender, qualitative micro-survey. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 50 FIGURE 34  Occupational status of youth, by gender, qualitative micro-survey. . . . . . . . . . . . . 50 FIGURE 35  Occupational status of youth, by educational level, qualitative micro-survey. . . . 51 FIGURE 36  Occupational status of youth, by city sampled, qualitative micro-survey. . . . . . . . 51 FIGURE 37  Sectoral contribution to GDP and per capita GDP, Mauritania, 1995–2014. . . . . . 52 FIGURE 38  Agricultural productivity and per capita GDP. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52 FIGURE 39  Firms’ perspective on growth over next 6 months, qualitative findings. . . . . . . . . 53 FIGURE 40  Distribution of employment, by sector and region. . . . . . . . . . . . . . . . . . . . . . . . . . . 53 FIGURE 41  Types of self-employment in agricultural and non-agriculture sectors. . . . . . . . . . 54 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H v FIGURE 42  Types of self-employment remuneration among agricultural and non-agricultural sectors. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54 FIGURE 43  Change in average monthly earnings by sector, 2008–2014. . . . . . . . . . . . . . . . . . 54 FIGURE 44  Firms’ perspectives on labor regulations, by type of firm . . . . . . . . . . . . . . . . . . . . . 54 FIGURE 45  Workforce skills considered “very difficult” to find among firms, by sector, qualitative findings. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55 FIGURE 46  Level of difficulty reported by firms in retaining Mauritanian workers (percentage), qualitative findings. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56 FIGURE 47  Youth labor market segmentation, sub-categories (15–34 year olds). . . . . . . . . . . 57 FIGURE 48  Labor force participation rate, by region. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57 FIGURE 49  Labor force participation rate, by age group (percentage) . . . . . . . . . . . . . . . . . . . . 58 FIGURE 50  Labor force structure, by educational attainment and age. . . . . . . . . . . . . . . . . . . . 58 FIGURE 51  Distribution of employment, by sector and gender. . . . . . . . . . . . . . . . . . . . . . . . . . . 58 FIGURE 52  Occupational status among youth (14–34 years), by income quintile (percentage). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60 FIGURE 53  Occupational status among adults (35–64 years), by income quintile (percentage). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60 FIGURE 54  Share of individuals enrolled, national average, and regional averages (five regions). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61 FIGURE 55  Enrollment rate (general non-religious schooling), by gender and setting . . . . . . 61 FIGURE 56  Employment, by sector and income quintile (14–64 year olds) . . . . . . . . . . . . . . . . 62 FIGURE 57  Employment, by sector and educational level (14–64 years) . . . . . . . . . . . . . . . . . . 62 FIGURE 58  Occupational status among males by age (percentage) . . . . . . . . . . . . . . . . . . . . . . 63 FIGURE 59  Occupational status among females, by age (percentage). . . . . . . . . . . . . . . . . . . . 63 FIGURE 60  Unemployment rate, by age and region. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64 FIGURE 61  Distribution of unemployed population, by region (percentage) . . . . . . . . . . . . . . . . 64 FIGURE 62  Unemployment rate, by age and educational level (percentage) . . . . . . . . . . . . . . . 65 FIGURE 63  Unemployment rate by gender and educational level (percentage). . . . . . . . . . . . 65 FIGURE 64  Interest in manual work among youth, qualitative findings. . . . . . . . . . . . . . . . . . . . 65 FIGURE 65  Share of youth reporting interest in improving various skills, qualitative findings. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66 vi M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H TABLE 1  Framework for assessing and developing a typology of youth employment constraints . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 TABLE 2  Mapping of main youth employment programs in Mauritania. . . . . . . . . . . . . . . . . . . . 31 TABLE 3  Overall status of youth employment programs in Mauritania . . . . . . . . . . . . . . . . . . . . 37 TABLE 4  Typology of youth employment constraints, by level and segment-specific gaps in Mauritania. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41 TABLE 5  Overview of the jobs agenda in Mauritania over the short to long term. . . . . . . . . . . 47 TABLE 6  Key labor market indicators, 2012. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56 TABLE 7  Labor force migration indicators . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 59 TABLE 8  Main reason for school dropout among the labor force (percentage). . . . . . . . . . . . . 59 TABLE 9  Educational background, by age, gender, and geographical setting (percentage). 59 BOX 1 SPOTLIGHT  Outcomes from innovative partnerships for continuing education and job placement in Mauritania. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42 BOX 2 SPOTLIGHT  Gender, social norms, and behavioral strategies in Mauritania . . . . . . . . . 44 BOX 3 SPOTLIGHT  Spurring Jobs through Firm Growth and Entrepreneurship Eco-Systems in Mauritania . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H vii viii M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H ACKNOWLEDGEMENTS This policy note was prepared as part of the World Bank Poverty and Jobs Technical Assistance Program. It aims to provide an initial assessment of youth employment policy and program issues in Mauritania. The note is intended primarily for government and non- state actors involved in developing short- to long-term interventions to facilitate labor market insertion, particularly for vulnerable populations. The note was prepared as a collaboration between the World Bank and the Mauritanian Center for Policy Analysis (CMAP) under the tutelage of the Prime Minister’s Office and in coordination with the Ministry of Employment, Vocational Training, and Information and Communication Technologies (MEFPTIC) and an inter-sectoral working group. The World Bank team comprised Heba Elgazzar (Senior Economist, Social Protection & Jobs), Aline Coudouel (Lead Economist, Social Protection & Jobs), Abdel Rahmen Lahga (Consultant, Professor of Economics, University of Tunis), Stéphanie Brunelin (Consultant, Economist), and Matthieu Lefebvre (Senior Social Protection Specialist), and benefited from work by and discussions with Paolo Verme (Senior Economist, Poverty), Laurent Corthay (Senior Private Sector Specialist, Trade & Competitiveness), Alexandre Laure (Senior Private Sector Specialist, Trade & Competitiveness), Christian Berger (Senior Agriculture Specialist, Agriculture), Kamel Braham (Lead Education Specialist, Education), Mohamed Tolba (Senior Education Specialist, Education), Sophie Naudeau (Program Leader, Mauritania Country Management Unit), Nene Kane (Consultant), Bronwyn Grieve (Senior Public Sector Management Specialist, Governance), Wael Mansour (Economist, Macroeconomic and Fiscal Management), Ihsan Ajwad (Senior Economist, Social Protection & Jobs), Mattias Lundberg (Lead Specialist, Global Youth Programs), Luc Christaensen (Lead Economist, Jobs Group), David Robalino (Manager and Lead Economist, Jobs Group), and the World Bank Mauritania Country Team. The team is especially grateful for the helpful logistical and administrative support provided by Thiane Dia (Executive Assistant, Mauritania Country Office), Maimouna Touré (Program Assistant, Mauritania Country Office), Batouly Dieng (Program Assistant, Mauritania Country Office), Josiane Luchman (Program Assistant, Washington), Lydie Anne Billey (Program Assistant, Washington, DC), and Dora Harris (Senior Program Assistant, Washington); as well as creative publication and multimedia support by Jeffrey Lawrence (Senior Project Manager, General Services Department), Will Kemp (Graphic Designer, General Services Department) and Adam Broadfoot (General Services Department). The work was prepared under the overall guidance of Stefano Paternostro (Practice Manager, Social Protection & Jobs, Africa Region), Jehan Arulpragasam (Practice Manager, Social Protection & Jobs, Africa Region), Laurent Msellati (Country Manager, Mauritania), and Louise Cord (Country Director, Mauritania). M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H ix The team expresses its sincere appreciation to public, private, and civil society representatives in Mauritania who contributed their valuable time and views to this effort. The note was prepared in close coordination with CMAP, MEFPTIC, and an inter-ministerial committee comprising representatives from key public agencies including the National Institute of Statistics (INS), the Savings and Development Bank (CDD), the National Youth Employment Promotion Agency (ANAPEJ), the Youth High Council (HCJ), and the Ministry of Youth and Sports (MJS). The views of the Ministry of the Economy and Finance (MEF) and the Ministry of Public Administration and Labor (MAPT) were invaluable, as well as those of the Tadamoun National Agency for Social Assistance. The views of the private sector and unions were based on interviews, survey work, and consultations conducted in Mauritania during 2016–2017. The team is indebted to the young women and men throughout Mauritania’s cities and villages who shared their experiences, views, and ideas as part of this work. x M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H ABBREVIATIONS & ACRONYMS AAGR Average Annual Growth Rate AFD French Development Agency (Agence Française de Développement) AfDB African Development Bank ALMP Active Labor Market Program ANAPEJ National Youth Employment Promotion Agency (Agence Nationale de la Promotion de l’Emploi des Jeunes) CAPEC Savings and Loans Institution (Caisse Populaire d’Épargne et de Crédit) CDD Savings and Development Bank (Caisse des Dépots et de Développement) CGTM General Confederation of Mauritanian Workers (Confédération Générale des Travailleurs Mauritaniens) CMAP Mauritanian Center for Policy Analysis (Centre Mauritanien d’Analyse des Politiques) CNAM National Health Insurance Fund (Caisse Nationale d’Assurance Maladie) CNSS National Social Security Fund (Caisse Nationale de Sécurité Sociale) EPCV Ongoing Survey of Household Living Conditions (Enquête Permanente sur les Conditions de Vie des Ménages) FSE Employment Support Fund (Fonds de Soutien à l’Emploi) GDP Gross Domestic Product HCJ Youth High Council (Haut Conseil de la Jeunesse) IDA International Development Association IDA International Development Bank ILO International Labor Organization INAP-FTP National Professional and Technical Training Institute (Institut National de Promotion de la Formation Technique et Professionnelle) INS National Institute of Statistics (Institut National de la Statistique) KILM Key Indicators of the Labor Market LFPR Labor Force Participation Rate LMIS Labor Market Information System LT Long Term M&E Monitoring and Evaluation MAPT Ministry of Public Administration and Labor (Ministère de l’Administration Publique et du Travail) MEF Ministry of the Economy and Finance (Ministère de l’Économie et des Finances) M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H xi MEFPTIC Ministry of Employment, Vocational Training, and Information and Communication Technologies (Ministère de l’Emploi, de la Formation Professionelle, et des Techniques d’Information et de Communication) MFI Microfinance Institution MIDEC Ministry of the Interior and Decentralization (Ministère de l’Intérieur et de la Décentralisation) MJS Ministry of Youth and Sports (Ministère de la Jeunesse et des Sports) MRO Mauritanian Ouguiya MSME Micro, Small, and Medium Enterprise MT Medium Term NEET Neither in Education, Employment, or Training NGO Non-Governmental Organization PA-FTP Professional Technical Training Support Program (Projet d’Appui à la Formation Technique Professionnelle) PAFEJ Youth Training and Employment Support Program (Projet d’Appui à la Formation et l’Emploi des Jeunes) PAFPA Training and Apprenticeship Support Program (Programme d’Appui à la Formation par Apprentissage) PIP Public Investment Program PNIDDLE National Integrated Decentralization, Local Development, and Employment Program (Programme National Intégré pour la Décentralisation, le Développement Local, et l’Emploi) PPP Purchasing Power Parity SCAPP Strategy for Accelerated Growth and Shared Prosperity (Stratégie de Croissance Accélérée et la Prospérité Partagée) SME Small and Medium Enterprise ST Short term UNPM National Mauritanian Employers’ Union (Union Nationale du Patronat Mauritanien) USD United States Dollar UTM Union of Mauritanian Workers (Union des Travailleurs Mauritaniens) VT Vocational Training CURRENCY EQUIVALENTS (Exchange Rate Effective as of November 23, 2017) 1 MRO = USD 0.003 1 USD = MRO 353.87 GOVERNMENT FISCAL YEAR January 1 – December 31 EXECUTIVE SUMMARY Poverty reduction and youth employment remain deeply intertwined in Mauritania. Mauritania’s job-related challenge is characterized by a low-growth macroeconomic context, high reliance on minerals and extractives, and marked poverty and social exclusion. Despite the country being endowed with a wealth of mineral, energy, and marine resources, growth was estimated at only 2.0 percent in 2016.1 Poverty remains high at 33 percent as of 2014, having decreased from 44.5 percent in 2008.2 Poverty varies widely across Mauritania’s 13 regions, from 27 percent in urban centers to 53 percent in rural zones. With youth (15–24 year olds) comprising over 40 percent of the population as of 2014, they are particularly vulnerable to high social exclusion. Strengthening youth employment is at the heart of breaking inter-gen- erational poverty and boosting social inclusion in Mauritania. The main objective of this policy note is to provide an overview of the jobs challenge in Mauritania, with a focus on constraints and opportunities facing youth over the short to long term. To this end, it assesses overarching youth employment trends and gaps and offers recommendations for facilitating their entry into good, productive jobs. Growth and Jobs: Low Productivity, High Demand for Targeted Skills While Mauritania’s high reliance on extractives has contributed to modest poverty reduction in the past, this trend has not sufficiently supported job creation, the engine for poverty reduction over the long term. Mauritania’s economy remains highly dependent on extractives, which account for 25 percent of GDP and 82 percent of all exports and generate 23 percent of fiscal revenues.3 In line with much of Africa, the growth outlook has been tempered due to the recent decline in oil and commodity prices.4 As a result, Mauritania remains among the most vulnerable countries in Africa due to its reliance on energy exports and terms-of-trade, along with Nigeria, Angola, and nine other economies. Although poverty has declined in Mauritania since 2000 as wages have risen, low productivity and a lack of diversification in the face of climate-related vulnerabilities are expected to slow poverty reduction. 1 World Bank (2017). Global Economic Prospects: Mauritania. Washington, DC. 2 World Bank (2016). Mauritania Poverty Dynamics and Social Mobility 2008–2014. Washington, DC. 3 World Bank (2016). Mauritania First Fiscal Consolidation and Private Sector Support Development Policy Operation, Program Document. Report No. 107136-MR. Washington, DC. 4 World Bank (2016). Africa’s Pulse: An Analysis of Issues Shaping Africa’s Economic Future. Washington, DC. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H xiii Industry and services have gradually overtaken agriculture in terms of value added to growth since 1995. Between 1995 and 2015, the contribution of agriculture to GDP decreased from 37 percent to just 23 percent, while that of industry increased from 25 percent to 36 percent. Mauritania’s structural transformation has correlated with increases in overall worker pro- ductivity, contributing to increased earnings. Industry and services have gradually overtaken agriculture in terms of value added to growth since 1995. Agriculture continues to dominate half of all employment in Mauritania, followed by services and commerce and trade (industry). This share is similar to that of other countries in the region such as Senegal and Ghana as well as close to the lower middle-income average. By contrast, other resource-rich countries such as Malaysia and Ecuador have managed to diversify their economies such that services now make up a much larger share of employment, in line with other upper middle-income countries. Despite a combined GDP contribution from extractives of nearly 25 percent, within commerce and industry, manufacturing and mining account for relatively few jobs, at 9 percent and 2 percent, respectively.5 In half of Mauritania’s regions, agriculture is by far the largest employer. However, the quality of these jobs remains low, which explains why poverty and unemployment persist in these regions. Agriculture accounts for over 50 percent of employment in seven regions and 25 percent or less in five regions. Self-employment accounts for 84 percent of all employment, and remains highly precarious. Among agricultural enterprises, 61 percent are self-employed, as compared to 47 percent among non-agricultural enterprises, with hardly any cooperatives. However, 61 percent of agricultural employment is considered seasonal or temporary. Nearly one in every five workers (19 percent) receive no remuneration of any kind for their work. While firms face a host of infrastructure and investment climate-related challenges to doing business, labor costs and regulations are important factors influencing both formal employ- ment rates and informal wages. In addition to corruption, infrastructure-related and problem- atic access to finance for 50 to 60 percent of all firms, taxes and labor regulations are cited as major constraints on doing business by 50 and 30 percent of all firms, respectively. By contrast, taxes and labor regulations were cited by an average of 30 and 10 percent of firms, respectively, in Sub-Saharan Africa. Perceptions of the degree to which labor costs affect business, including job creation, vary by sector and firm size. Manufacturers, large enterprises, and exporting firms are nearly twice as likely to perceive labor regulations as a significant barrier to doing business compared to other firms. Demand for job-relevant skills varies by sector. A high share of those working in production are unskilled (53 percent), with the share of firms providing provide training being relatively low (below 50 percent). Firms report a high level of difficulty in finding key skills, particularly practical work experience, a problem reported by 54 percent of all firms. Administrative services, industry, and the information technology (IT) sector report high demand for advanced IT skills, which are difficult to find for 34 percent of all firms. While half of all firms use direct job postings for hiring, almost half (44 percent) rely highly on friends and family networks for recruiting workers. 5 Source: 2014 Mauritania Household Living Conditions Survey. xiv M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H Youth-related Constraints: Women, Mobility, and Core Competencies Mauritania’s population is predominantly young and urban, representing both its most valuable and riskiest asset. As of 2014, 40 percent of the population was aged below 14. Projections show a steady annual population growth rate of 2.5 percent and a persistent youth bulge for 15–24 year olds over the coming generation. Overall, the total labor force participa- tion rate (LFPR) in Mauritania stands at only 43.5 percent, lower than elsewhere in the region due mainly to low female participation. As of 2012, the total labor force comprised 717,000 workers, of whom 36 percent were female and 64 percent were male, with the male LFPR being nearly 2.2 times the female LFPR. Female labor force participation is only 28 percent (based on data from the Mauritania Labor Force Survey for 2012), compared to 64 percent for Sub-Saharan Africa. A segmentation of the youth labor market shows that a significant share of Mauritania’s youth is “neither in education, employment, or training” (NEET). NEET is estimated at 39 percent of all youth. NEET is driven mainly by young women dropping out of the labor force. NEET rates among youth are also generally higher in rural areas than in urban areas. At 16.7 percent, unemployment in Nouakchott, the country’s capital, is considerably higher than the national average (10.1 percent), and among the highest in the country. Only three other regions have higher unemployment rates: Tagant, Nouadhibou, and Inchiri, at 19, 22, and 29 percent, respectively. The greatest share of the unemployed live in Nouakchott (51 percent), followed by Nouadhibou (12 percent), and Brakna (9 percent). Self-perceived job skills and preferences among youth vary widely by gender and educational level, thus influencing their choices. Job skills and readiness for manual work, entrepreneurship, or public-sector employment show a clear segmentation among youth. Most youth are eager to find work in the public and private sector almost equally, at 62 and 69 percent, respectively. The public sector is generally a less attractive option for employment among youth surveyed, distinguishing Mauritania from some of its regional neighbors. Nearly twice as many young people were “not at all” interested in seeking public sector employment compared to private sector employment (21 versus 12 percent, respectively). Mauritanian youth surveyed were also highly interested in manual work (50 percent), defined as jobs such as vocational trades, construction, and various occupations in the agricultural and services sectors. Interest in manual work is highest among secondary-school-educated youth (71 per- cent) and males (57 percent, as compared to 47 percent among females. However, given that 65 percent of the sample had a secondary education, the sample is too small to allow for a more detailed comparison by educational level. Self-reported skills constraints in terms of practical job skills, informal technology (IT), and organizational competencies among youth tend to reflect those perceived by enterprises. Youth surveyed tend to rate their skills level as lowest in terms of practical work experience, project management, and advanced IT skills. These shortcomings are consistent with skills reported by firms as being in short supply. Basic skills and language self-ratings were similar across educational level, while advanced organizational skills tend to be reported among university graduates. Unsurprisingly, university graduates tended to rate some skills higher M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H xv than did those with lower levels of education, including basic and advanced IT skills, written communication, organizational skills (client management, problem solving, planning, and team work), technical skills, and administrative skills. Entrepreneurship remains an interest among a sizable share of youth, even though only 22 percent report being fully ready to start a busi- ness. This finding is consistent with previous analyses, which show that nearly 20 percent of youth in Africa report being self-employed as entrepreneurs. Overall, most youth in Mauritania suffer from several overarching employment constraints, with additional barriers faced by certain, particularly vulnerable population segments. These constraints include: (i) lagging labor demand due to weak job creation in emerging sectors; (ii) weak outreach, access to services, and information about livelihoods and employment options exacerbated by clientelism in hiring among firms; and (iii) insufficient skills devel- opment in terms of practical, job-relevant competencies across sectors. In addition, three particularly vulnerable youth segments face constraints experienced by youth in rural settings, young women, and youth out of school and not working (NEETs). Rural, low-skilled youth are at a disadvantage due to a high risk of school dropout, lack of mobility, and weak diversifica- tion. Meanwhile, young women are burdened by an even higher risk of school dropout and lack of mobility in addition to overarching social norms that heavily influence early marriage and exclusion from sectors such as commerce and industry. Finally, NEET youth face added barriers to training opportunities, information and, importantly, networks needed for entre- preneurship or wage employment, whether in the formal or informal sector. Examining how these constraints can be addressed through short- to long-term measures and synergies with demand-side opportunities is key to improving prospects. Labor Market Programs: A Better Balance between Demand and Supply Youth employment programs and social dialogue over labor policy are nascent, with programs limited in coverage and catering mainly to urban university and vocational training graduates. Less investment has been allocated to developing sustainable livelihoods over the short to midterm for poorer youth in peri-urban and rural settings. Supply-side programs have dominated in Mauritania and focus mainly on vocational training and, to an extent, on micro-entrepreneurship for university graduates. Limited demand-side programs have focused on boosting enterprise development for SMEs throughout the country, tied to regulatory reforms in the midterm designed to improve the investment climate. Limited institutional sup- port as well as vocational training management exist to strengthen employment coordination across agencies. Public works programs linked to local infrastructure development programs are found throughout nearly half of all municipalities in Mauritania in both urban and rural settings. More broadly, an assessment of labor regulations and their potential impact on job creation will be needed, particularly for certain sectors (i.e., services, commerce, and manufac- turing) and populations (i.e., first-time entrants and young women). xvi M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H Transforming the Youth Employment Trajectory: Toward an Integrated Approach How can Mauritania accelerate inclusive job creation, particularly for different segments of vulnerable youth? The challenges of diversification, job creation, and poverty reduction are tied to multiple constraints that call for an integrated approach.6,7 Given individual- and market-level constraints, Mauritania’s youth trajectory can be tackled by gradually shifting labor market opportunities from revenue and skills enhancement to formal sector entry as the economy undergoes transformation. Four main areas of interventions should form part of such an integrated approach, including: (i) improving the school-to-work transition and skills; (ii) facilitating inclusive labor market entry; (iii) enhancing the sustainability and quality of jobs; and (iv) promoting job growth. Moving forward, stronger public-private coalitions lie at the heart of youth employment and social inclusion in Mauritania. 6 Filmer, D. and Fox, L. (2014). Youth Employment in Sub-Saharan Africa. Washington, DC: World Bank. 7 Beegle, K., Christiansen, L., Dabalen, A., and Gassis, I (2016). Poverty in a Rising Africa. Washington, DC: World Bank. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H xvii 1 CONTEXT AND OBJECTIVES Poverty reduction and youth employment remain deeply intertwined in Mauritania. Mauritania’s jobs challenge is characterized by a low-growth macroeconomic context, high reliance on minerals and extractives, and marked poverty and social exclusion. Despite the country being endowed with a wealth of mineral, energy, and marine resources, growth was estimated at only 2.0 percent in 2016.8 Poverty remains high, at 33 percent as of 2014, having decreased from 44.5 percent in 2008.9 Poverty varies widely across Mauritania’s 13 main regions (wilayas), from 27 percent in urban areas to 53 percent in rural zones. As youth (15–24 year olds) comprised over 40 percent of the population as of 2014, they are particularly vulner- able to high social exclusion. Urbanization has also increased rapidly, with a 10-fold difference within a generation, from 7 percent in 1960 to 60 percent in 2015. However, internal migration has exacerbated poverty in urban areas. Mauritania’s vast desert regions still host large numbers of poorer nomadic groups excluded from the mainstream economy. Low productivity and a lack of diversifica- tion in the face of climate-related vulnerabilities are expected to slow poverty reduction. As a result, Mauritania’s national growth and employment strategies emphasize alleviating con- straints on growth and job creation as well as connecting the poor to enhanced social assis- tance and productive livelihoods,10 particularly for youth. The main objective of this policy note is to provide an overview of the jobs challenge in Mauritania, with a focus on constraints and opportunities facing youth over the short to long term. The note assesses overarching youth employment trends and gaps and makes 8 World Bank (2017). Global Economic Prospects: Mauritania. Washington, DC. 9 World Bank (2016). Mauritania Poverty Dynamics and Social Mobility 2008–2014. Washington, DC. 10 The 2016–2030 National Strategy for Accelerated Growth and Shared Prosperity (SCAPP), along with its 2018–2030 National Employment Strategy, focuses on key policies designed to stimulate private sector-led growth, including boosting access to credit, infrastructure, and investment in agribusiness, livestock, and fisheries. For the most vulnerable households, the SCAPP approach calls for modernizing the social protection and labor system in order to connect the poor to social assistance and provide pathways to productive livelihoods. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 1 recommendations for facilitating their entry into sustainable, productive jobs. While the note does not provide an exhaustive diagnostic of all dimensions to job creation, it identifies key areas for further analysis. While the note discusses overall trends related to growth, a detailed analysis of the determinants of job creation at the sector and firm level does not fall within its scope. Rather, the note aims to provide an initial assessment of youth employment policy and program issues in Mauritania. It is intended primarily for government and non-state actors involved in developing short- to long-term interventions to facilitate labor market insertion, particularly among vulnerable populations. The note focuses on the following policy questions: Profile of Jobs: What sectors have contributed most to growth and jobs? How effectively have these jobs contributed to poverty reduction? What are the main labor demands by sectors and firms? What constraints on job creation and hiring do they face at market level? Profile of Youth and the Labor Force: What is the overall labor market context for youth in terms of demographics and participation? What are the main profiles, skills, and preferences of youth? What main constraints on gainful employment do they face? Profile of Labor Market Institutions and Programs: What is the current context for labor market actors, institutions, and programs in Mauritania? What is the current level of spending on the main youth employment programs, and what is their status in terms of coverage and outcomes? Typology of Constraints and Opportunities for Boosting Youth Employment: What are the options for an actionable, integrated, and multi-sectoral approach to addressing key con- straints on youth employment over the short to long term? Conceptual Framework The framework for this assessment focuses on the role of jobs in boosting social inclusion for vulnerable youth within the context of resource-rich countries. The 2013 World Development Report: Jobs11 examines the demand and supply for labor and the role of jobs as a core tenet of building social cohesion (Figure 1). Incorporating principles of the 2015 World Development Report: Mind, Society, and Behavior,12 the framework for this assessment includes an assess- ment of constraints on and opportunities for productive employment. Because policy design and outcomes are influenced by markets (macroeconomic and firm-level factors) and individu- als (choices, biases, and competencies), understanding how these factors facilitate or con- strain labor force participation and productive employment is critical, particularly for youth from marginalized poor communities and young women. Such an understanding will help identify specific recommendations for improving current policies and designing new ones where needed. 11 World Bank (2012). World Development Report 2013: Jobs. Washington, DC. 12 World Bank (2014). World Development Report 2015: Mind, Society, and Behavior. Washington, DC. 2 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H FIGURE 1  Conceptual framework for jobs, economic transformation, and social cohesion INDIVIDUAL LEVEL CONSTRAINTS Better, more productive MARKET LEVEL CONSTRAINTS jobs & greater social cohesion Priorities • Youth • Women Labor policies • Regions • Labor supply • Sectors • Labor demand Fundamentals • Macroeconomic conditions • Business climate Lagging • Development growth & high policies poverty Source: World Bank staff, based on World Bank (2012), World Development Report 2013: Jobs. Washington, DC, and World Bank (2014), World Development Report 2015: Mind, Society, and Behavior. Washington, DC. Constraints can broadly be characterized as individual-level or market-level constraints (Table 1). Addressing individual-level constraints involves understanding the profile of the workforce as well as the skills, choices, and social norms that influence decision-making regarding employment. Tackling market-level constraints involves examining the jobs profiles, investment types, public-private coordination, and business regulations that influence job creation. Policy responses needed to alleviate constraints on job growth fall into three main types. The first comprises policies that focus on fundamentals, or the right macroeconomic and gov- ernance foundations. The second type focuses on labor policies, which include labor market institutions, legislation, and related policies such as those pertaining to social security and active labor market programs as well as their nexus with economic policies. Finally, the third type targets priorities, which shape the policy agenda in terms of the most specific and critical development issues over the short to long term, be they certain population groups, regions, economic sectors, or other policy priorities. Depending on how they are designed and interact together, policy packages determine the nature and trajectory of job creation. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 3 TABLE 1  Framework for assessing and developing a typology of youth employment constraints Category Types of Constraints Individual level Technical (education, practical skills, job training) Youth segments Financial (resources for job search, mobility or self-employment) Access (services, information, work experience) Behavioral (preferences, social norms, and choices related to gender, community, or age) Market level Macroeconomic (financial, sectoral, regional) Firms and sectors Business climate (business regulations, investment climate) Labor policies (regulations) Integrative (policies and programs connecting demand and supply sides) Source: World Bank staff. Approach To develop a 360-degree view of Mauritania’s labor market, this note draws on a combina- tion of quantitative and qualitative analysis, triangulating key data with various perspectives drawn from in-country stakeholder interviews. Macroeconomic indicators and international comparisons of labor market indicators are primarily drawn from the World Bank’s World Development Indicators and the International Labor Organization’s (ILO) Key Indicators of the Labor Market (KILM). The nationally representative survey used to analyze labor force indica- tors is the 2012 Mauritania Labor Force and Informal Sector Survey conducted by Mauritania National Statistics Institute (INS) in collaboration with the ILO.13 Poverty indicators are based on the 2008 and 2014 Mauritania Household Living Conditions Surveys (INS).14 The analysis of the business climate and demand for labor among the private sector is based mainly on the 2014 Mauritania Enterprise Survey15 (World Bank). Financial inclusions data are based on the 2014 FinDex Survey for Mauritania16 (World Bank). In-depth qualitative information on youth employment constraints at the individual and market levels is based on qualitative and semi-quantitative data on the demand and sup- ply sides. The constraints assessment draws on the 2016 Mauritania Rapid Labor Market Diagnostic Survey on Youth Employment Constraints.17 This micro-survey consisted of a 13 The sample size for the 2012 Mauritania Labor Force and Informal Sector Survey was approximately 9,100 households, including 33,545 individuals over the age of 10. 14 The sample size for both the 2008 and 2014 Mauritania Household Living Conditions Surveys was approximately 14,000 households. 15 The sample size for the 2014 Mauritania Enterprise Survey was 150 firms. 16 The sample size for the 2014 FinDex Survey for Mauritania was 1,000 adults. 17 The sample size for the 2016 Mauritania Rapid Labor Market Diagnostic Survey on Youth Employment Constraints was 126 youth and 40 firms. 4 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H qualitative assessment conducted jointly by a public research institute, the Mauritanian Center for Policy Analysis (CMAP), and the World Bank. The micro-survey assesses constraints at the individual and market levels by collecting information on needs, profiles, and preferences not captured in national surveys. It was designed as a quantitative micro-survey using a struc- tured questionnaire and one-on-one interviews with a sample of firms and youth representing various segments. On the firms’ side, sectors represented include commerce, agriculture and fisheries, construction, information technology, services (administration), and extractives, and spanned small, medium, and large enterprises. On the youth side, the sample includes nearly equal proportions of males and females at various educational levels who are largely unemployed, with a sample of employed individuals for benchmarking purposes. While the micro-survey sample size permits the presentation of the results in quantitative format, the results should be interpreted as qualitative findings and may not necessarily be representative at the national level. The rest of the note is structured as follows. Following Chapter 1 on the context and back- ground, Chapter 2 assesses the profile of job creation in Mauritania and labor demand from the perspective of firms, drawing on sectoral growth trends and firm-level data. Chapter 3 complements this analysis by turning to the labor force, focusing on the profile, needs, and preferences of youth. Chapter 4 examines the extent to which existing youth employment programs address individual- and market-level constraints captured in the preceding chap- ters within the framework of broader development and poverty-reduction strategies. Finally, Chapter 5 concludes with a discussion of policy options, risks, and opportunities for strength- ening youth employment prospects over the short to long term, with a focus on active labor market programs. Additional data discussed throughout the note are included as tables and figures in the Technical Appendix. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 5 2 PROFILE OF JOBS AND LABOR DEMAND Growth Trends While Mauritania’s high reliance on extractives has contributed to modest poverty reduction in the past, growth remains too low to sufficiently contribute to substantive job creation. The pace of GDP growth slowed to 2.0 percent in 2016, down from 5.6 percent in 2014.18 Extractives account for 25 percent of GDP and 82 percent of all exports, generating 23 per- cent of fiscal revenues.19 This leaves Mauritania among the most vulnerable countries in Africa due to its reliance on energy exports and terms-of-trade, along with Nigeria, Angola, and nine other economies. Recent price shocks in the extractive industry, notably for iron ore and copper, have contributed to this slowdown. While the transportation, telecommunications, and construction sectors experienced similar rates (Figure 2), a boost to public investment in infrastructure in Nouakchott and improvements in fisheries and agricultural production in southern rural regions contributed to modest poverty reduction, primarily in rural areas. In line with much of Africa, the growth outlook remains modest due to recent declines in oil and commodity prices.20 Industry and services have gradually overtaken agriculture in terms of value added to growth since 1995. Between 1995 and 2015, the contribution of agriculture to GDP decreased from 37 percent to just 23 percent, while that of industry increased from 25 percent to 36 percent (Figure 3). Mauritania’s structural transformation correlated with increases in overall worker productivity, contributing to increased earnings (see Technical Annex).21 Productivity went from just over PPP$15,000 to nearly PPP$19,000 over the same 10-year period. Sustained improvements in human capital, technology acquisition, and exports contributed to these 18 World Bank (2017). Global Economic Prospects: Mauritania. Washington, DC. 19 World Bank (2016). Mauritania First Fiscal Consolidation and Private Sector Support Development Policy Operation, Program Document. Report No. 107136-MR. Washington, DC. 20 World Bank (2016). Africa’s Pulse: An Analysis of Issues Shaping Africa’s Economic Future. Washington, DC. 21 See Technical Annex for additional data, tables, and figures to which the note refers throughout. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 7 FIGURE 2  Growth outlook for Mauritania, overall and by sector, 2013–2018 Real GDP growth at constant factor prices Agriculture Industry Services 10 Annual GDP growth (percent) 8 6 4 2 0 2013 2014 2015 2016 2017 2018 –2 –4 Source: World Bank. (2016). Macro Poverty Outlook: Mauritania. Washington, DC. FIGURE 3  Sectoral contribution to GDP and productivity, Mauritania, 1995–2014 100 25,000 90 Output per worker, overall (PPP$) Share of value added (% of GDP) 80 20,000 70 60 15,000 50 40 10,000 30 20 5,000 10 0 0 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Services, value added (% of GDP) Industry, value added (% of GDP) Agriculture, value added (% of GDP) Output per worker (GDP constant 2011 international $ in PPP) Source: World Bank staff calculations, ILO KILM Database. 8 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H trends. Similarly, per capita GDP increased from PPP$2,800 to PPP$3,700 as the Mauritanian economy shifted to greater value-added activities and increased worker productivity. By contrast, agricultural productivity has not caught up with that of comparable economies, leaving Mauritania lagging behind Cameroon and Benin as well as countries further afield such as Kyrgyzstan and Honduras. Improving productivity will be vital to improving employment prospects for youth given Mauritania’s high potential and comparative advantage in livestock, fisheries, and links to agri-business and exports. Moving forward, the Government has recognized the need for a two-pronged approach to boosting growth and poverty reduction. Over the short term, growth is expected to be driven by extractives, infrastructure, and construction. Moreover, 10 percent of all firms are highly opti- mistic about growth over the near term, driven mainly by the construction sector, followed by agriculture and fisheries and commerce. As part of the Government’s vision, a fiscal consolida- tion plan for boosting public investment and financial sector reforms for strengthening liquidity and access to finance are envisaged. At the same time, over the long term, strengthening regulatory and land reforms for boosting agricultural productivity, livestock performance, and fisheries will be needed. Types and Quality of Jobs Historically, job creation has lagged significantly in Mauritania as more people enter the workforce. An estimated 95,000 jobs were created during 2009–2012 (the most recent three- year period for which data are available), equivalent to nearly 30,000 jobs per year.22 Yet this flow is hardly sufficient to absorb new entrants to the labor force (up to 25,000 per year) as well as the current stock of the unemployed, estimated at 72,000 as of 2014. Agriculture dominates half of all jobs in Mauritania, followed by services and finally com- merce and trades (industry) (Figure 4). This share is similar to other countries in the region such as Senegal and Ghana as well as close to the lower middle-income average. By contrast, other resource-rich countries such as Malaysia and Ecuador have managed to diversify their economies, where services make up a much larger share of employment, in line with other upper middle-income countries. Despite a combined GDP contribution for extractives of nearly 25 percent, commerce and industry and manufacturing and mining account for relatively few jobs, at 9 percent and 2 percent, respectively.23 In half of Mauritania’s regions, agriculture is by far the largest employer. However, the quality of these jobs remains low, which leads to poverty and unemployment persisting in these regions. Agriculture accounts for over 50 percent of employment in seven regions and 25 percent or less in five regions. Agricultural workers comprise nearly 90 percent of the workforce in Gorgol, as compared to only 4 percent in Nouakchott. 22 Preliminary estimates based on Bilan de l’Emploi 2012–2013, CMAP. 23 Source: 2014 Mauritania Household Living Conditions Survey. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 9 FIGURE 4  Distribution of employment by sector Employment in agriculture (% of total employment) Employment in industry (% of total employment) Employment in services (% of total employment) Mauritania 46 25 29 Senegal 49 18 22 Ghana 42 46 17 South Africa 5 24 71 Malaysia 13 28 59 Ecuador 25 20 54 Dominican Republic 14 17 43 Lower middle income 46 21 33 Upper middle income 7 37 54 Source: World Development Indicators, 2010–2013 values; 2012 Mauritania Labor Force and Informal Sector Survey. FIGURE 5  Regional distribution of FIGURE 6  Regional distribution of poverty rate agricultural employment Tiris Tiris Zemmour Zemmour Adrar Adrar Dakhlet Dakhlet Nouadhibou Inchiri Nouadhibou Inchiri Tagant Tagant Hodh Ech Hodh Ech Nouakchott Trarza Chargui Nouakchott Trarza Chargui Brakna Brakna Assaba Hodh El Assaba Hodh El Gharbi Gharbi Gorgol Gorgol Guidimaka Guidimaka Source: World Bank staff, 2014 Mauritania Household Living Source: World Bank staff, 2012 Mauritania Labor Force and Conditions Survey. Informal Sector Survey. 10 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H FIGURE 7  Distribution of all jobs, by type FIGURE 8  Poverty rate, by occupation Others Salaried 5% Wage, public sector 19.1 (formal) 11% Wage, private sector 35.8 Salaried Domestic work 45.7 (informal) 15% Self-employed, 41.8 non agriculture Self-employed, 54.8 agriculture Self-employment (informal) 0 10 20 30 40 50 60 69% Poverty rate (%) Source: 2012 Mauritania Labor Force and Informal Sector Source: 2014 Mauritania Household Living Conditions Survey. Survey. Most jobs in Mauritania are informal, accounting for 84 percent of all employment (Figure 7).24 Wage employment, which is largely informal, accounts for 36 percent, domestic help for 6 percent, and undeclared types of employment for 4 percent. Poverty is highest in agricultural employment, followed by self-employed non-agricultural and domestic employ- ment. Poverty is generally concentrated along Mauritania’s southern regions due to low earn- ings among agricultural workers, who are largely self-employed (Figures 5 and 6). Self-employment remains highly precarious. Of those in agricultural enterprises, 61 percent are self-employed as compared to 47 percent in non-agricultural enterprises, with hardly any cooperatives. However, 61 percent of agricultural employment is considered seasonal or tem- porary. Nearly one in every five workers (19 percent) receive no remuneration of any kind for their work, which compares with only 6 percent among non-agricultural workers. Meanwhile, one in three agricultural workers (31 percent) receive in-kind remuneration rather than in cash. The precarious nature of this remuneration and the lack of access to markets reduces job quality and productivity. 24 In this note, informal employment is defined based on the 2012 Mauritania Labor Force and Informal Sector Survey, which considers all employment beside salaried public servants and salaried workers as informal, including those working in agricultural enterprises, commerce, and domestic works. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 11 Labor Costs Labor taxes account for 23 percent of business taxes paid on average, which is relatively high by regional standards. On the one hand, Mauritania’s labor tax rate is in line with other countries in the region, such as Senegal and Mali, as well as other African countries such as Kenya, Côte d’Ivoire, and South Africa (Figure 9). However, Mauritania’s rate is much higher than that found in other emerging economies at higher income levels in Latin America, Eastern Europe, and East Asia. High labor costs have been associated with lagging employment cre- ation in the formal sector for youth, and first-time entrants in particular. Evidence from China,25 Eastern Europe,26 and Turkey27 shows that job creation in the formal sector and contributions to social insurance funds are hampered by a high tax wedge (or high labor costs, which result in low take-home pay), most notably for low-wage earners, who tend to comprise first-time job seekers. Striking the balance between progressive taxes and incentives targeted toward low-wage earners and youth (among others) can offset the potentially negative impact of high labor costs on formal employment in countries such as Mauritania. Average earnings have been increasingly modestly in Mauritania due mainly to growth in selected sectors such as agriculture and minimum wage increases.7 Average annual growth rate (AAGR) was 6 percent over 2008–2014. The average real monthly wage in constant 2014 terms increased by nearly 45 percent over the six-year period, going from MRO 44,900 to 65,200 (with the median wage rising from MRO 32,000 to MRO 45,000). The highest AAGR was seen in agriculture and mining, benefiting mainly youth, women, low-skilled workers with a primary education, and rural workers. This growth has been driven mainly by exports, primarily minerals, and oil and fisheries. These trends are also explained by productivity gains (such as the move from crop farming to livestock raising) and growth in mining in terms of both volume and productivity. In addition, a 20 percent increase in the minimum wage in 2011 from MRO 25,000 to MRO 30,000 per month contributed to improving earnings. While firms face a host of infrastructure and investment climate challenges to doing busi- ness, labor costs and regulations are important factors influencing both formal employment rates and informal wages. In addition to corruption, infrastructure, and difficult access to finance in nearly 50 to 60 percent of all firms, taxes and labor regulations are cited as major constraints on doing business by 50 and 30 percent of all firms, respectively (Figure 10). By contrast, taxes and labor regulations were cited by an average of 30 and 10 percent of firms, respectively, in Sub-Saharan Africa. Perceptions of the degree to which labor costs affect business, including job creation, vary by sector and firm size. Manufacturers, large enterprises, and exporting firms are nearly twice as likely to perceive labor regulations as a significant barrier to doing business compared to other firms. Among Mauritania’s social dialogue partners, including the private sector, the 25 Giles, J., Wang, D., and Park, A. (2013). Expanding Social Insurance Coverage in Urban China. World Bank Policy Research Working Paper No. 6497. Washington, DC: World Bank. 26 World Bank (2008). Labor Costs and Labor Taxes in the Western Balkans. Washington, DC. 27 World Bank (2009). Estimating the Impact of Labor Taxes on Employment and the Balances of the Social Insurance Funds in Turkey. Report No 44056-TR. Washington, DC. 12 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H FIGURE 9  Labor tax as a share of total commercial taxes on firms Labor tax and contributions (% of commercial profits) 80 Other taxes (% of commercial profits) 70 Percent of total commercial taxes (%) 60 50 40 30 20 34 23 24 23 20 24 10 19 16 16 14 14 15 14 13 2 4 10 7 0 i ar ca e & tral c a w me ia al c ia a a a dl e & & an ia l Re or re sia al ga ifi i m ny So fric ric or Asi bl ar As an M d Ea & C fri oi M uro Asi bbe Ea Ce ac co ay Lo co ne ic cua pu Ke Af lg Iv a an A rit A h P in Bu in Se d’ ut au th h i M E ut e n te ar M a dl an So Cô N h id Am Sa m in st ic - st tin ub m er er p Do w S Lo e E id La Source: World Development Indicators, World Bank. Data shown for 2016. FIGURE 10  Firms’ perceptions of major constraints on operations (percentage of all firms), 2014 Sub-Saharan Africa Mauritania Corruption Electricity Practices of competitors in the informal sector Access to finance Tax rates Tax administration Transportation Courts system Inadequately educated workforce Customs and trade regulations Business licensing and permits Labor regulations Crime, theft and disorder 0 10 20 30 40 50 60 70 80 90 100 Percent of firms rating as major constraint (%) Source: 2014 Mauritania Enterprise Survey, World Bank. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 13 FIGURE 11  Firms’ perspectives on workforce skills Proportion of unskilled workers (out of all production workers) (%) Proportion of workers o ered formal training (%) Proportion of firms o ering formal training 0 10 20 30 40 50 Percentage of firms Mauritania Sub-Saharan Africa Source: 2014 Mauritania Enterprise Survey, World Bank. Government, and labor unions, policy reforms impacting fiscal space and informality, such as corporate tax reform and labor contracts, are considered key policy issues. Demand for Workforce Skills Demand for job-relevant skills varies by sector in Mauritania. In general, a high share of workers in production are unskilled (53 percent), and the share of firms offering training is relatively low (less than 50 percent) (Figure 11). Unsurprisingly, manufacturing and medium and large enterprises tend to offer workers training, but generally, most firms do not offer workers any formal skills upgrading. Generally, the greater the share of unskilled workers by type of firm, the more likely skills will be cited as a major constraint, especially in manufacturing, large enterprises, and exporting firms. The demands placed on workers to meet the needs of an increasingly technical industrial economy will only increase moving forward, with an important role for firms to play in steering this direction. Qualitatively, firms perceive a high level of difficulty in finding jobseekers with the right skills, particularly practical work experience, a constraint reported by 50 percent of firms (Figure 12). Administrative services, industry, and information technology (IT) report high demand for advanced IT skills, which are difficult to find for a third of all firms. Recruitment and Retention While half of all firms use direct job postings for hiring workers, they tend to rely highly on friends and family networks in nearly equal measure (44 percent) (Figure 13). Overall, 14 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H FIGURE 12  Workforce skills considered “very difficult” to find by firms, qualitative findings 60 53.7 Percentage of firms 50 43.9 40 34.1 36.6 30 20 10. 0 Reading and writing Arithmetics Basic ICT Advanced ICT Oral communication Written communication Foreign languages Workplace problem solving Planning and organization Group work Techniques or practice Work-related competences (professionalism) Strategic administration O ce management Partners management Basic ICT Communication Organization Experience Administration Source: World Bank staff and CMAP. Mauritania Rapid Labor Market Diagnostic Survey of Youth Employment Constraints, 2016. N = 40 firms. FIGURE 13  Recruitment channels, by sector (qualitative findings) 90 Percentage of enterprises 80 70 60 50 40 30 20 10 0 O ce Fisheries Industry Construction New Commerce Total equipment technologies Friends, families Job o ers Job vacancy announcement Ministry of Labor Other institutions Source: World Bank staff and CMAP. Mauritania Rapid Labor Market Diagnostic Survey on Youth Employment Constraints, 2016. N = 40 firms. retaining Mauritanian nationals is generally not a significant challenge, with the exception of the construction and agriculture and fisheries sectors, with one in three firms and one in five firms in these sectors reporting difficulty in retaining Mauritanian workers, respectively. These sectors also tend to hire foreign workers in greater numbers than other sectors, particularly migrant workers from neighboring Senegal. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 15 Conclusions In delivering on the promise of diversification and inclusive job creation for youth and first- time earners, three main market-level constraints emerge in Mauritania. First, lagging pro- ductivity impedes growth, particularly in agriculture, which is hampered by a lack of expertise, labor force skills, and integration with trade and secondary agri-business for boosting growth potential. Second, job creation in untapped sectors such as construction, industry, and fisher- ies has been dampened by weak labor demand as well as clientelist hiring practices. Due to a lack of the practical, job-relevant skills required by these sectors, enterprises face challenges in recruiting and retaining Mauritanian nationals. Third, mismatched labor regulations in terms of contracting restrictions and high labor taxes may be driving firms to remain in the informal sector, thus dampening wages and opportunities for improving job quality. To meet these chal- lenges, the country has taken steps toward improving macroeconomic fundamentals, such as tax and land reforms planned for 2016.16 However, unaddressed market-level constraints will exacerbate sector- and region-specific challenges, reducing prospects for youth to enter the labor force. Understanding the constraints facing youth and youth employment programs can help pave the way to meeting labor market needs. 16 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 3 PROFILE OF YOUTH IN THE LABOR FORCE Demographic and Labor Force Trends Mauritania’s population is predominantly young and urban, representing both its most valuable and riskiest asset. Fully 40 percent of the population was aged below 14 as of 2014 (Figure 14). Projections show a steady annual population growth rate of 2.5 percent as well as a persistent youth bulge for 15–24 year olds over the coming generation. Youth (15–24 year olds) were estimated to comprise 20 percent of the population in 2015 (approximately 1 million), a proportion projected to fall to 18 percent by 2050. Meanwhile, 15–34 year olds comprised 34 percent in 2015 (1.36 million), a figure projected to be 33 percent in 2050. The fertility rate remains high at 4.7 as of 2013, having decreased slightly from 5.1 in 2006.28 The age dependency ratio is also relatively high at 77 percent as of 2014, having decreased slightly from 81 percent in 2006. Up to 25,000 youth will enter the labor force each year on average through 2050. Overall, the total labor force participation rate (LFPR) in Mauritania stands at only 43.5 percent, lower than elsewhere in the region due mainly to low female participation. The total labor force comprised 717,000 people as of 2012, of which 36 percent were female and 64 percent were male. Male LFPR is nearly 2.2 times that of female LFPR. Female labor force participation is only 28 percent (based on data from the Mauritania Labor Force Survey for 2012), compared to 64 percent for Sub-Saharan Africa. In line with population density, a third of Mauritania’s working-age population is found in its capital, Nouakchott, followed by the seven regions in the south. LFPR varies across regions, with Nouakchott among the highest at 45 percent (Figure 15). The rate is highest in Guidimagha at 51 percent and lowest in Trarza at only 24 percent. Inter-regional migration is not particularly common, with only 11 percent tending to migrate to other regions, 80 percent 28 World Development Indicators, World Bank. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 17 FIGURE 14  Population projections, Mauritania, 2015 and 2050 2017 2050 100 100 Men Women Men Women 90 90 80 80 70 70 60 60 50 50 40 40 30 30 20 20 10 10 0 0 750 600 450 300 150 0 150 300 450 600 750 750 600 450 300 150 0 150 300 450 600 750 Note: Population shown in thousands. Source: United Nations, Department of Economic and Social Affairs, Population Division (2015). World Population Prospects: 2015 Revision. FIGURE 15  Regional distribution of labor FIGURE 16  Regional distribution of force participation unemployed individuals Tiris Tiris Zemmour Zemmour Adrar Adrar Dakhlet Dakhlet Nouadhibou Inchiri Nouadhibou Inchiri Tagant Tagant Hodh Ech Hodh Ech Nouakchott Trarza Chargui Nouakchott Trarza Chargui Brakna Brakna Assaba Hodh El Assaba Hodh El Gharbi Gharbi Gorgol Gorgol Guidimaka Guidimaka Source: World Bank staff using 2012 Mauritania Labor Force Source: World Bank staff using 2012 Mauritania Labor Force and Informal Sector Survey. and Informal Sector Survey. 18 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H of whom tend to go to urban areas (primarily Nouakchott). The main reason for migration among men is to search for work, whereas for women, migration is primarily related to household moves. The average age at time of migration tends to be in the 20–26 range. The concentration of individuals looking for work mirrors population density and labor force partici- pation maps (Figure 16). A segmentation of the youth labor market shows that a significant share of Mauritania’s youth is neither in education, employment, or training (NEET) (Figure 17). NEETs are esti- mated at 39 percent of all youth. The NEET rate is mainly driven by young women dropping out of the labor force. NEET rates among youth are also generally higher in rural areas than in urban areas. Gender differences in labor force participation vary by age. The LFPR among youth (15–24) is estimated to be 15.5 percent. Among adults (25–44), it is 42.6 percent, and among older adults (45–64), it is 56.5 percent. The female-male divide in labor force participation begins to emerge in the 15–19 age bracket, when nearly 1.8 times as many males as females are in the active labor force. The difference widens to 2.2 times in the 20–24 and 25–29 age brackets and 2.3 in the 30–34 age bracket, leveling off until the 50–54 age bracket, when there is a significant drop in female LFPR. In this age bracket, the difference is 2.7 times. FIGURE 17  Youth labor market segmentation (15–34 years) Demographic categories, by poverty level total: 1.359 million 528; 39% Youth population in thousands (,000): % of total 383; 28% 142; 10% 97; 7% 68; 5% 36; 2.7% 23; 1.7% 16; 1% 22; 2% 27; 2% 11; 0.8% 5; 0.4% Unemployed, not in education or training (NEET) Unemployed, illiterate Unemployed, primary-level reading Unemployed, secondary-level education Self-employed, agriculture Self-employed, non-agriculture Salaried, private sector (informal) Unemployed, formal qualifications Salaried, private sector (formal) Salaried, public sector Student Student + employed High level of poverty Low level of poverty Inactive Source: World Bank staff calculations for 2015 projections based on 2012 Mauritania Labor Force and Informal Sector Survey. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 19 Starting at 25 years of age, employment among urban youth is lower than among their rural counterparts. The employment rate increases with age, particularly in urban areas, from 36 percent among 20-year-olds to 73 percent among 30-year-olds. Among 25-year-olds, approximately 60 percent of rural youth work, as compared to 45 percent among urban youth. This may be explained by differences in profile and poverty among the rural poor, where the dependency ratio is also higher. Education Mauritania’s low primary enrollment rate remains a challenge for employment prospects. Primary completion was only 71 percent as of 2013.25 Net enrollment rates were as low as 55 percent as of 2014.29 As a result, at least one in every three Mauritanians may lack any formal education, a proportion that is higher still in rural regions (Annex, Figure 55). Among those enrolled in formal primary education, only 33 percent go on to pursue secondary studies, and only 5 percent continue to higher education. Primary education is the highest level attained by 61 percent of those who completed any level of formal education (i.e., who received a certificate or degree). Rural males and females are nearly twice as likely to have attended religious school as their urban counterparts (or 37 percent as compared to 18 per- cent, respectively, among males, with similar rates among females). Lower school enrollment rates are noticeable in rural regions such as Gorgol and Assaba, particularly among females, starting at the age of 13. Overall, 6 percent of the labor force completed university education, which is concen- trated in Nouakchott. Meanwhile, 18 percent of the labor force completed secondary school. Other cities with high shares of highly-skilled (university level) and semi-skilled (secondary level) labor force include Nouakchott, Inchiri, Tiris-Zemour, Nouadhibou, Adrar, and Trarza. Apprenticeship is a nascent sector, with limited uptake in Mauritania, representing only 0.15 percent of the labor force as of 2012. In 2010, only 5,000 students enrolled in technical and vocational schools, the equivalent of 1 percent of all NEETs. However, this is beginning to change as vocational centers in agriculture, fisheries, mining, and utilities have recently began increasing enrollment. At least three new centers have emerged since the mid-2000s in voca- tional trades (such as mechanics and electrics), fisheries, agriculture, and mining, which has helped encourage the employment of Mauritanians in these sectors. The dynamics of school dropout in relation to work vary across geographical settings and incomes. Among young adults (14–34), a higher share of the rural poor is working than is in school, as compared to their urban counterparts. Among females, the share who are working among the bottom 40 percent of the income distribution is strikingly higher in rural areas than in urban areas. These data suggest that poorer females in rural areas are much more likely to drop out of school to work than in urban areas. 29 2014 Ongoing Survey of Household Conditions (EPCV), INS. 20 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H FIGURE 18  Female labor force participation rate, international comparison 70 among females 15–24 years (%) Labor force participation rate 60 50 40 30 20 10 0 go i in e Co an Th ia hi d N n ua ria Ar la on ia Se as ar l Ec ua Al r a Tu a sia n or a co al ga do ni i i ta M me Ta voir n b a en rb an n M r oc ist ag e la To ni m ba du Be m ne zis ua ig Se rit m ai Ye ik te lo I d’ au dj ic M rg te H N G Ki Cô Source: ILO KILM Data, 2012–2014 values. Gender Females in Mauritania exit the labor market at a very early age due to marriage and chil- drearing, leading to a particularly low LFPR. Where youth female LFPR in Mauritania was only 18.5 percent in 2012, it is 31.2 percent in Senegal, 40 percent in Côte d’Ivoire, and as high as 68 percent in Togo (Figure 18). Other low-middle income countries in Eastern Europe, Central Asia, Southeast Asia, and Latin America also have youth female LFPR rates that are at least twice those of Mauritania. However, this tendency has been changing slowly in Mauritania. Over the most recent ten- year period for which data are available, the share of females among the employed population has been increasing, from 25 percent in 1993 to 35 percent by 2012.30 In addition, among the bottom 40 percent of the income distribution, female youth in rural regions are more likely to work than are their urban counterparts. Females also tend drop out of the labor force due to early marriage and child rearing. The majority of the labor force is married (63 percent), and the fertility rate remains high at 4.1 births per woman. Among 16–20 year olds, one in every three women are married, as com- pared to only 4 percent among men, suggesting that men marry much later. A higher school dropout rate among 12–16 year olds is also found among women. The main reasons reported for school dropout among girls were pregnancy, marriage, and poor school performance. By contrast, the main reason reported among boys was the need to work. While higher dropout 30 Source: ILO KILM Data. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 21 FIGURE 19  Distribution of employment, by occupation and gender 50 45 40 35 Percentage 30 25 20 15 10 5 0 re an en le en or ce ry r s ke er em dd tu st em ni tis er t t th or du ag Se ul ag Mi m Ar O w ric in m d Ag Co ge rie tta an an la Sa Co m m Men Women Total Source: 2012 Mauritania Labor Force and Informal Sector Survey. rates among girls reduce their overall likelihood of being employed later in life, the probability of re-entry into the workforce may be higher from some sectors or occupations than for others. Females and males are equally as likely to be employed in agriculture, even though com- merce absorbs relatively more females than males, while the reverse is true of services (Figure 19). However, females are more likely to be employed in commerce than in services (32 versus 22 percent, respectively). The reverse is true for males, where 22 percent of employment is found in services versus 32 percent in commerce. Similar trends are seen in occupational categories, with females over twice as represented in commerce as males. By contrast, males are three times more likely to be salaried workers than are females, with salaried employment accounting for 7.3 percent of male workers versus 2.6 percent of female workers. In urban areas, wage self-employment is split nearly 50–50 between the private and public sectors. Among the working population, 30 percent are wage employees, of whom nearly half (47 percent) are in the public sector (state-owned enterprises and public administration). Young adults (below the age of 20) are primarily employed in non-agricultural enterprises, particu- larly in manual services, as domestic helpers, and in and small or micro commerce. Queuing among university graduates is high. Having a university degree does not reduce the likelihood of being unemployed among young adults (14–35 years), but does so among the older cohort (35–64 years). 22 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H In rural areas, agriculture is the main source of livelihoods, accounting for 60 percent of all employment, particularly among youth and those with no or limited education. Among rural youth (15–24), it accounts for 75 percent of all employment. All else being equal, the most significant determinant of employment by sector is educational attainment, where primary formal schooling reduces the likelihood of working in agriculture and increases the likelihood of being a wage employee (formal or informal). By contrast, pursuing a religious education increases the likelihood of working in agriculture. By income group, among the bottom 20 percent of the working population, 80 percent are employed in agriculture in rural regions, as compared with less than 40 percent among the richest 20 percent. Low female labor force participation and the preponderance of agricultural work among the rural poor emerge among the determinants of employment by sector. Women are twice as likely to be inactive as men regardless of educational level or geography. Having a young dependent (less than 14 years old) decreases the likelihood of being inactive and increases the likelihood of working in agriculture, particularly among men. While most of the enrolled population attends general-education, non-religious schools (73 percent), a sizable share, par- ticularly in rural regions, attends faith-based schools (27 percent), with the latter group being also more likely to be employed in the agriculture sector, controlling for other factors. There is no difference in enrollment rates by gender as females are just as likely to attend religious school as males in rural settings, which may be a matter of supply, social factors, or high mobil- ity unique to rural regions. Unemployment Unemployment in Nouakchott is considerably higher than the national average (10.1 percent) at 16.7 percent, among the highest in the country. Only three other regions have higher unemployment rates than Nouakchott: Tagant, Nouadhibou, and Inchiri, at 19, 22, and 28.8 percent, respectively. The greatest share of the unemployed live in Nouakchott (51 percent), followed by Nouadhibou (12 percent) and Brakna (9 percent). Unemployment emerges earlier in urban areas than in rural regions. In rural regions, this trend is likely explained by 15–19 year olds school dropping out of school and going to work. While the share of unemployed youth is high in both settings, it is far higher in urban areas, largely replaced by work in rural areas. The share of NEETs in general appears consistent, while school enrolment seems to account for some of the fall in employment in urban areas among 20–24 year olds. The share of unemployed reaches approximately 10 percent among 15–19 year olds in urban regions, whereas this share becomes apparent by age 20–24 in rural regions. School enrolment is also higher among urban youth ages 20–24, which could be explained by either socioeconomic reasons for dropping out or a lack of adequate supply in rural areas. Although the unemployment rate is higher for females than for males overall, the difference is highest for the 24–33 age bracket, a common child-rearing age. Unemployment among females stood at 12.6 percent, or nearly 30 percent higher than that for males, or 8.6 percent as of 2012 (Figure 20). Long-term unemployment is the norm rather than the exception, with M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 23 60 percent of the unemployed having been unemployed for at least three years. Striking differences in unemployment by gender emerge across age groups, changing the trajectory of employment outcomes early on. Among the 24–33 age bracket, unemployment is nearly twice as high among females than among males, or 20 percent versus 12 percent, respectively. Unemployment rates are generally twice as high in the 14–33 age group as among those aged 34 or older. Unemployment rates increase with educational level until secondary school, when they begin to decrease for the overall population but continue to increase for youth. Among 14–25 year olds, the unemployment rate is highest for those with a university degree, or 50.7 percent, which is nearly entirely driven by low employment levels among females with a university degree. Among this group, the unemployment rate is nearly 98 percent, meaning that nearly all females 14–25 years of age do not work. This trend shows exceptionally delayed entry into the labor force among highly educated females. However, university graduates make up only 7 percent of the unemployed, or 5,300 out of 72,000. Most of Mauritania’s labor force did not attend university, and 93 percent of the unem- ployed only attained secondary school qualifications or less (Figure 21). While 30 percent of the unemployed hold secondary school qualifications, 35 percent completed primary school, and 28 percent have no school qualifications (of which 13 percent are literate and 15 per- cent are illiterate). The share of youth in the unemployed population varies widely by region, suggesting that youth employment opportunities depend heavily on regional factors. Among the unemployed in different regions, while nearly 31 percent of the unemployed are youth in Nouakchott, the number rises to nearly 60 percent in Assaba. Job Skills and Preferences Self-perceived job skills and preferences among youth vary widely by gender and education level, thus influencing their choices. Qualitatively, self-perceptions of job skills and readiness for manual work, entrepreneurship, and public-sector employment show a clear segmentation among youth. While 6 percent of youth included in the qualitative micro-survey were aged 15–20 and 94 percent were aged 22–35, 14 percent were long-term unemployed. In terms of educational background, the distribution of unemployed youth is as follows: 12 percent with a religious schooling background, 11 percent with a primary education, 8 percent with a second- ary education, 16 percent with a university education; the distribution of employed youth is as follows: 19 percent with a secondary education, and 19 percent with a university education. While it is difficult to ascertain from the data whether wage employees were employed for- mally or informally, the sizable share of self-employed workers reaffirms that informality is high in Mauritania, consistent with broader labor survey data. Most youth are highly dependent on their families for housing, with one-third reporting receiving financial support from that source. While dependency is expected since 30 percent in the sample are under, the level is relatively high, with 65 percent dependent on their fami- lies for accommodation (living at home). Qualitative data show that youth depend on informal work, mainly for consumption and subsistence. 24 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H FIGURE 20  Unemployment rate, by age and gender 25 Unemployment rate (%) 20 15 10 5 0 14–23 24–33 34–43 44–53 54–63 64–64 Population 14–64 Men Women Total Source: 2012 Mauritania Labor Force and Informal Sector Survey. FIGURE 21  Distribution of unemployed population, by educational level 40% 35% 30% 25% 20% 35% 15% 30% 10% 14% 13% 5% 7% 0% Illiterate Reading & writing Primary Secondary Tertiary Source: 2012 Mauritania Labor Force and Informal Sector Survey. The majority of youth are nearly as eager to find work in the public sector as in the private sector, or nearly two in every three youth. The public sector is generally a less attractive option for employment in Mauritania among youth surveyed, distinguishing the country from some of its regional neighbors. Nearly twice as many young jobseekers were “not at all” inter- ested in seeking public sector employment compared to private sector employment (one in five versus one in ten, respectively). Mauritanian youth surveyed were also highly interested in manual work (50 percent). Manual work was defined as jobs such as vocational trades, construction, and various occupations in the agricultural and service sectors. Interest in manual work is highest among secondary M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 25 FIGURE 22  Share of youth reporting a “high” skill level (percentage), qualitative findings 50 highly-skilled youth (%) 45 40 Percentage of 35 30 25 20 15 10 5 0 Literacy Numeracy Basic ICT Advanced ICT Oral communication Written communication Foreign languages Client management Work management Problem solving Planning and organization Professional competencies Technical competences Strategic management O ce equipment Basic ICT Communication Organization Experience Administration Source: World Bank staff and CMAP. Mauritania Rapid Labor Market Diagnostic Survey of Youth Employment Constraints, 2016. N = 120. school educated youth (two in every three), but nearly equal among males and females in the micro-survey (nearly half). However, given that nearly two-thirds of the sample did not attain an education higher than secondary, the sample is too small to make a more detailed comparison by educational level. Self-reported skills constraints on practical job skills, IT, and organizational competencies among youth tend to reflect those perceived by enterprises (Figure 22). Youth surveyed tend to rate their level of skills lowest for practical work experience, project management, and advanced IT skills. These shortcomings are consistent with skills reported to be in short supply by firms. Yet youth are not necessarily seeking to improve the same skills as those sought by firms. Gender does not appear to influence how youth perceive their skills, although the sam- ple size is too small to control for multiple factors such as educational level, age, and income level. While they recognize the need to improve their IT and language skills (as reported by nearly 80 percent of youth), only half are likely to put effort into doing so despite the high priority placed on these skills by employers. Across educational level, basic skills and language self-ratings were similar while more advanced organizational skills tend to be reported among university graduates. Unsurprisingly, university graduates tended to rate some skills higher than did those with lower levels of education, such as basic and advanced IT skills, written communication, orga- nizational skills (client management, problem solving, planning, and team work), and technical skills and administrative skills. Females tended to provide higher self-ratings than males for advanced IT, client management, foreign languages, strategic management, and adminis- tration. In contrast, males tended to rate themselves more highly than females on problem solving. 26 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H Entrepreneurship remains an interest among a sizable share of youth, although only one in five perceive being “fully” ready to start a business (Figure 23). This finding is consistent with previous analyses, which show that among youth in Africa as a whole, nearly one in five youth report being self-employed as entrepreneurs. Similarly, one in five youth report a “high” level of office or project management experience. These results are in line with other findings sug- gesting that Mauritanian youth lack basic entrepreneurship skills as well as access to finance. Mauritanian youth are also less financially literate as a result of low financial inclusion, with only 12 percent reporting having an account at a financial institution, compared to 26 percent in Ghana and 48 percent in Kenya (Figure 24). FIGURE 23  Entrepreneurship willingness among youth by gender (percentage), qualitative findings Not ready (1 2 3) Ready (4 5 6 7 8 9) Fully ready (10) Willingness to become entrepreneur (%) 19 22 25 37 42 46 44 36 29 Men Women Total Source: World Bank staff and CMAP. Mauritania Rapid Labor Market Diagnostic Survey of Youth Employment Constraints, 2016. N = 120. FIGURE 24  Financial inclusion among youth 51 48 Account at financial institution, youth (% ages 15–24) 34 36 26 19 12 6 6 8 4 al ia r a re i sia na lic a p. al do ny ric eg an oi Re ub M ha ni ua Ke Af Iv n rit Tu p G Se o, d’ Ec au Re th ng te M u an So Co Cô ic in m Do Source: World Bank Findex Survey, 2014. N = 1,000 individuals aged 15 and above. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 27 Conclusions Most youth in Mauritania face several overarching employment constraints, with additional barriers faced by three particularly vulnerable segments of youth. Overarching employment constraints include: (i) lagging labor demand due to weak job creation in emerging sectors; (ii) weak outreach, access to services, and information about livelihoods and employment options exacerbated by clientelism in hiring among firms; and (iii) insufficient skills develop- ment in terms of practical job-relevant competencies across sectors. However, three particu- larly vulnerable youth segments face additional constraints, namely: (i) youth in rural settings; (ii) young females; and (iii) youth out of school and not working (NEETs). Low-skilled rural youth are at a particular disadvantage due to a high risk of school dropout, lack of mobility, and weak diversification. Young females are burdened by an even higher risk of school dropout and lack of mobility, in addition to overarching social norms that heavily influence early marriage and exclusion from some sectors such as commerce and industry. Finally, NEET youth face added barriers to training opportunities, information and, importantly, networks needed for entre- preneurship or wage employment, whether in the formal or informal sector. Examining how these constraints can be addressed through short- to long-term measures and synergies with demand-side opportunities is key to improving their prospects. 28 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 4 LANDSCAPE OF YOUTH EMPLOYMENT PROGRAMS Mapping Key Labor Market Actors With a new vision for employment as part of the SCAPP and National Employment Strategy (2018–2030), Mauritania’s success at creating jobs for youth will depend heavily on improving synergies between demand- and supply-side actors. Labor market institutions, policies, and programs, including active labor market programs (ALMP), labor regulations, and linkages to social protection platforms all play a critical role. The Government’s former five- year National Employment Strategy 2009–2013 focused largely on enhancing and improving institutional coordination of labor force supply-side interventions. The forthcoming National Employment Strategy 2018–2030 focuses on operationalizing how to coordinate and monitor programs using a common platform. Labor market institutions and related initiatives involve stakeholders representing an array of policy, sectors, and firms (demand-side) as well as households and workers (supply-side) (Figure 25). The key actors are described below. National development and public investment strategies supporting the SCAPP are managed by the Ministry of the Economy and Finance (MEF), including the national Public Investment Program (PIP), which has helped create direct employment opportunities in infrastructure and construction. Similar investment and entrepreneurship opportunities are funded by an autonomous national investment fund, the Savings and Development Bank (CDD). The MEF also oversees the national decentralization program (PNIDDLE), which aims to enhance local services and citizen participation in planning for local infrastructure and livelihoods. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 29 FIGURE 25  Key labor market actors in Mauritania MINISTRY OF THE ECONOMY AND FINANCE • Economic and social development plan MINISTRY OF PUBLIC POLICIES • Tax legislation ADMINISTRATION • Business climate regulations AND LABOR • Social registry and social identification • Coordination of social system dialogue • Labor laws (code, MINISTRY OF EMPLOYMENT, VOCATIONAL inspection) TRAINING, AND INFORMATION AND • Public employment COMMUNICATION TECHNOLOGIES NATIONAL FUND FOR INVESTMENT • Employment services in selected cities AND DEVELOPMENT (ANAPEJ) Investments, loans, and grants MINISTRY OF SOCIAL • National Strategy for Vocational Training, job creation/self-employment/ AFFAIRS 2013 entrepreneurship Social security • Public vocational training centers • Selected local employment bureaus COMMERCE MINISTRY OF HIGHER Investment climate and EDUCATION business services School-to-work transition LABOR SUPPLY LABOR DEMAND INDUSTRY TADAMOUN AGENCY Sectoral industrial development (industry, energy, utilities) Social assistance FIRMS AND BUSINESS LEADERS Professional business associations Sectoral associations AGRICULTURE LABOR UNIONS Sectoral rural development 26 sectoral unions (agriculture, fisheries) BANKING SECTOR Banks (public, private) NATIONAL HIGH LEVEL Microfinance institution (MFI), Local associations INFORMAL SECTOR COUNCIL ON YOUTH public, private Regional development Youth advocacy Intermediary microfinance (MFI) associations Source: World Bank staff. National employment strategies, including job services, active labor market programs, and vocational training are overseen by the Ministry of Employment, Vocational Training, and Vocational Training, and Information and Communication Technologies (MEFPTIC)). Labor legislation and social dialogue for private and public-sector employment are overseen by the Ministry of Public Administration and Labor (MAPT). National social protection strategies, including social insurance, social safety net programs, and social registry identification systems are managed jointly by the MEF and Tadamoun, the national social promotion agency responsible for non-contributory cash and in-kind support to the poorest households. Youth Employment Expenditure Youth employment programs in Mauritania span multiple, relatively small-scale programs that mainly address supply-side training constraints. Youth employment programs comprise 14 main initiatives managed by various agencies (Table 2). A total of 60 percent of these programs target urban centers and generally range from USD0.3 to USD3 million per year. 30 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H TABLE 2  Mapping of main youth employment programs in Mauritania Annual budget* Ministry No. Program Regions (USD m) Partners Type** Ministry of 1 Self-employment Urban 0.6 CAPECS, business Supply-side/ Employment— (ANAPEJ) leaders, Job Enterprises (micro) employment Assignment Agency, CDD, Ministry of Agriculture, French Development Agency (AFD) 2 Competency Urban 0.3 Supply-side/Skills Development (ANAPEJ) 3 Job seeker place- Urban 0.5 Supply-side/Job ment and orientation search Ministry of 4 Professional Nationwide 0.6 Supply-side/VT Employment— qualifications vocational training 5 Support for Nouakchott, 0.3 US Embassy Supply-side/VT Madrassa-leavers Atar, Kaedi, Aleg 6 Training and Urban 0.3 European Union, AFD Supply-side/VT Apprenticeship Support Program (PAFPA) 7 Youth Training and Urban 0.6 European Union, ILO, Institutional (policy/ Employment Support AFDB, CDD VT capacity-building) Program (PAFEJ) 8 Professional Nouakchott, 3.5 IDA Supply-side/VT Technical Training Bogué, Support Program Néma, (PA-FTP) Kaédi, Tijikja, Atar 9 Vocational training Urban 0.6 AFD Supply-side/VT support program (AFD–C2D3) 10 German-Mauritanian Urban 2.7 Germany Supply-side/VT financial coopera- tion—technical and vocational training sector Savings and 11 Employment Support Nationwide 3.8 Ministry of the Demand + Supply- Development Bank Fund (FSE) Economy and Finance side/Enterprises (CDD) (MEF), Ministry of (SMES) the Interior and Decentralization (MIDEC) Ministry of Youth 12 Entrepreneurship Nationwide 1.0 Supply-side/ and Sports Promotion Campaign Entrepreneurship (micro) 13 First job training Urban 0.3 Supply-side/Wage subsidies Ministry of the 14 National Integrated Nationwide 11.7 World Bank, Others (local Economy and Decentralization, (100 munici- European Union services) Finance Local Development, palities) and Employment (PNIDDLE) TOTAL 26.7 Source: World Bank staff; CMAP. Notes: *Estimated annual expenditure for 2013–2015. **Types include institutional (policy/ capacity); demand-side (growth, enterprises, and entrepreneurship development (SME/direct employment); and supply-side (Entrepreneurship – micro/Job search/Skills/VT]. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 31 FIGURE 26  Distribution of youth employment programmatic expenditure, by type Wage subsidies (businesses) Entrepreneurship/ 1% Policies/institutional support to enterprises capacities (SMEs) 2% 14% Micro-entrepreneurship/ self-employment 6% Local development/ labor intensive Job search services activities 2% 44% Policies Demand Supply/demand (mixed) Vocational training Supplementary training (non-salaried 96%; salaried 4%) (non-salaried) Supply 30% 1% Others: Temporary income Source: World Bank staff; MAP. Notes: Estimated annual expenditure, 2013–2015. Overall, programs address supply-side, demand-side, and institutional and policy support, totaling USD27 million in annual expenditure in 2015 (Figure 26). While the definitions of supply- and demand-side programs can overlap, a stylized depiction of programs provides an overview of the outcome of this spending. On average, most initiatives reach 300–900 youth, with vocational training higher at 5,700 youth, and public works estimates unknown but esti- mated to be similar to vocational training coverage. In terms of relative spending, supply-side interventions dominate, and by global standards, Mauritania is underinvesting in job creation designed to absorb youth. Supply-side initiatives total 39 percent of all spending. These programs address mainly individual-level constraints in terms of vocational training, skills development, unemployment registration, financing for micro-entrepreneurship, and job coaching and placement services. The bulk is devoted to vocational training. Demand-side initiatives comprise 14 percent of all expenditure. These initiatives focus on enterprise growth and development, including youth-oriented initiatives for small and medium enterprises (SMEs). Institutional and policy initiatives support strengthening governance and capacity building (2 percent of all expenditure). Globally, supply-side pro- grams tend to comprise 50 percent of all investment, followed by demand-side at 29 percent of all investment.31 In this respect, Mauritania appears to be under-investing in the job creation and entrepreneurship needed to absorb trainees. Other programs supporting labor-intensive public works for local development comprise 44 percent of expenditure. 31 Solutions for Youth Employment (2015). Towards Solutions for Youth Employment: A 2015 Baseline Report. Washington DC: World Bank and Solutions for Youth Employment. 32 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H Active Labor Market Programs The main ALMPs32 and entrepreneurship programs are managed by the Ministry of Employment, Vocational Training, and Information and Communication Technologies (MEFPTIC), including its dedicated job placement agency, the National Youth Employment Promotion Agency (ANAPEJ). Activities funded by these programs largely comprise vocational and skills training as well as limited financing for micro-entrepreneurship. Selected programs funded by external donors provide support to a limited number of beneficiaries and include training supported by the African Development Bank (AfDB) and basic job skills training and job search support in a limited number of urban centers (supported by the European Union). Policy and capacity building support remains nascent. Assistance to the Ministry of Employment aims to develop a labor market information system (LMIS) and introduce greater coordination for beneficiary identification and placement across ministries and non-state actors. Employment services are mainly managed by ANAPEJ, including a limited number of centers located primarily in urban areas. The main target beneficiaries include unemployed grad- uates, unskilled youth, pensioners, persons with disabilities, and women. ANAPEJ focuses on six main areas, as follows: (i) facilitating self-employment through micro-enterprises, with limited support to tying technical training to self-employment for vocational trades and for female entrepreneurship; (ii) job seeker registration, with limited support for intermediation and internships; (iii) limited training courses for vocational trades; (iv) job services and placement in five urban locations (Ayoun, Nouadhibou, Kaedi, Kiffa, and Selibabi); (v) awareness-raising and communication (with limited implementation); and (vi) monitoring and evaluation of programs and projects (with limited implementation). Social Funds for Employment While Mauritania lacks a national social fund, a public investment banking institution exists, which finances an employment fund. The Savings and Development Bank (CDD) is an autono- mous public institution attached to the Prime Minister’s Office and charged with an investment and microfinance mandate. The CDD manages an annual budget of MRO 94 billion and com- prises 13 antenna agencies located throughout urban and rural regions. As part of this budget, the Employment Support Fund (FSE) finances income-generating activities for unemployed graduates, poorer populations in rural regions, and SMEs that qualify for public credits, which benefit from public guarantees. Over the period 2012–2016, the FSE disbursed nearly MRO 5.3 billion, making this a significant source of youth employment financing. 32 ALMPs include job skills development, employment services, internships, and entrepreneurship promotion. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 33 Vocational Training Vocational training is overseen by the Ministry of Employment, which recently benefited from increased investment in infrastructure capacity and the quality of trainers. The sys- tem’s capacity is estimated to have increased by nearly 30 percent over 2011–2014, from an enrollment of approximately 4,200 to 5,700. Over the mid-term, the Ministry aims to increase enrolment to 18,000 over five years and to introduce short-term qualification schemes for 35,000 additional beneficiaries over the same period. General youth advocacy is mainly overseen by the Ministry of Youth and Sports (MJS), which also offers a small number of youth employment programs. These programs support entre- preneurship and internships for primarily university graduates. A national public-private com- mission for youth, the Youth High Council (HCJ), plays an important role in representing the civic, social, and employment aspirations of youth in political and private forums. A selected number of civil youth groups exist, comprising mainly university graduate associations. Monitoring and Evaluation of Jobs Interventions Overall, comprehensive monitoring and evaluation (M&E) of youth employment programs is lacking and will need strengthening in Mauritania, although limited program-specific assess- ments are prepared on a case-by-case basis. Qualitative feedback from youth about employ- ment support programs show that there is a need for greater emphasis on hiring opportunities and more timely as well as more transparent access to information about job openings (Table 3). Regarding the private sector, half of youth were mainly concerned with establishing more transparent, clearer recruiting systems, followed by one in four respondents being interested in work experience or on-the-job internships (Figure 27). While these results were similar, regarding expectations from the Government, one in ten youth also highlighted the need for more investment funds to be made available for supporting job creation (Figure 28). Social Protection Systems Mauritania’s emerging social protection system has begun to offer the poorest households modest income support and services. Contributory social security coverage is limited to 3 per- cent and mainly covers workers in the public sector and, to a lesser extent, the private sector.33 Pensions schemes are largely pay-as-you-go (PAYG) defined-benefits regimes.34 Mauritania has two pension funds: the Retirement Fund (Caisse de Retraite) for civil servants and the mili- tary, and the National Social Security Fund (CNSS) for private sector workers, who also benefit 33 World Bank (2013). Islamic Republic of Mauritania: Financial Sector Development Strategy and Action Plan 2013–2017. Washington, DC. 34 Recent pension expenditures are unavailable for Mauritania. As of 2007, total spending on pensions was estimated at 1% of GDP, based on World Bank (2012), Pensions in Sub-Saharan Africa. Washington, DC. 34 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H FIGURE 27  Employment-related expectations FIGURE 28  Employment-related expectations of the private sector among youth of the Government among youth Putting recruitment Providing additional 33 50 mechanisms in place public sector jobs Systematically advertising 18 Provide training 19 job o ers O ering job training 14 Creating additional 12 investment funds O ering job experience 12 Providing advice on 6 banking options Provide apprenticeships 6 Assisting searchers for 6 better jobs Provide training for students 5 Improving ANAPEJ competencies 3 No opinion 4 No opinion 2 Nothing 4 Decentralizing ANAPEJ 2 services Provide training for salaried 0 10 20 30 40 50 3 workers Percentage of youth Others 1 0 10 20 30 40 50 Percentage of youth Source: World Bank staff and CMAP. Mauritania Rapid Labor Market Diagnostic Survey of Youth Employment Constraints, 2016. N = 120. from a national health insurance fund (CNAM).35,36 In response to recent droughts, Mauritania established emergency instruments and programs in 2010–2011 and began the shift toward an integrated national social safety net system in 2015. During 2008–2013, safety net spending reached 5.4 percent of GDP, including fuel subsidies (or approximately 20 percent of public expenditure).37 The largest safety net program was the EMEL Program, which primarily offers emergency in-kind food distribution through a targeted network of subsidized food (80 per- cent of expenditure) and a livestock program for the pastoral population. Mauritania has in place multiple donor-funded school meals, nutrition, and small-scale programs for specific groups, but these programs have not received additional investment since 2008 and consti- tute a small share of safety net support. With the adoption of a new National Social Protection Strategy in 2014, Mauritania has begun establishing the building blocks of an integrated social protection system. Managed 35 World Bank (2012). 36 République Islamique de Mauritanie (2013). Stratégie Nationale de Protection Sociale en Mauritanie. Ministère des Affaires Economiques et du Développement, Comité du Pilotage de la Stratégie Nationale de Protection Sociale, Nouakhchott. 37 World Bank. (2014). Building on Crisis Response to Promote Long-term Development: A Review of Social Safety Net Programs in the Islamic Republic of Mauritania 2008–2013. Report No. 87232-MR. Washington, DC. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 35 by the Tadamoun National Agency for the Fight Against Slavery, Social Exclusion, and Poverty under the tutelage of the Presidency, implementation of the strategy in terms of a targeted monetary safety net system started in 2015. The initial phase of development focused on instituting institutional and service delivery instruments designed to support community-based targeting methods and identification of the poor as well as more efficient delivery of benefits, notably cash transfers and human capital-enhancing investments. Importantly, the develop- ment of a national social registry has begun registering the poorest households in a gradual approach, with a view to having a single platform for targeting other benefits and services to potential beneficiaries, including active labor market programs for youth. Labor Policy Dialogue Policy reform dialogue on labor regulations and social security (social dialogue) is at an early stage, involving employers, workers in the formal and, to an extent, informal sector and the Government. Key issues have included collective wage bargaining, contracting reforms, and labor costs (minimum wage and social security options). Sector and private enterprises are represented by the National Mauritanian Employers’ Union (UNPM), representing nearly 11 sectors. Key sectoral federations include those for Agriculture, Livestock, Commerce, Services, and Industry. The UNPM and its sectoral federations also advocates promoting employment through workforce development alongside evolving market needs, nascent job fairs, dialogue with training centers, and incentivizing hiring and youth employment. Unions in Mauritania are active and constitute important stakeholders in outreach to informal workers and informal workers. They are represented mainly by national inter-sectoral bodies such as the Confederation of Mauritanian Workers (CGTM) and the Union of Mauritanian Workers (UTM) as well as 26 sector-specific unions representing public and private sector workers. Labor unions are actively engaged in collective bargaining and social dialogue, although dialogue has been recently dominated by public sector unions, with less of a voice for informal sector workers. Labor regulations and social security policies have started to come under scrutiny, particu- larly for first-time job seekers and youth. In Mauritania, the current maximum length of a single fixed-term contract is 24 months (Article 17 of the Labor Code, 2004), including renewals. While there are provisions for maternity benefits, there are limited social security benefits provided in the private sector due to weak enforcement of contributions and tax collection. No unem- ployment provisions are available. Although incentives for firms to hire workers younger than 25 years have been developed, little is known to date about their uptake or effectiveness. Mauritania has been evaluating options for reforming labor regulations within the framework of a nascent tripartite social dialogue between the Government, the private sector, and labor unions. A draft social dialogue law for the creation of a new commission on collective bargain- ing has been under preparation since 2015. 36 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H TABLE 3  Overall status of youth employment programs in Mauritania Domain Type of program Status Supply-side Entrepreneurship (micro) Selected cities, limited scale Skills Limited coverage, mainly urban, university graduates Madrassa, school-to-work transition emerging Vocational training (VT) Expansion/upgrade in progress Job search Limited coverage, mainly urban centers for VT/ university graduates Demand-side Enterprises (SMEs) Investment climate restrictive; reforms proposed Wage subsidies Very limited; university graduate internship subsidies Institutional Policy/Capacity-building Emerging, coordinated employment strategy VT institutional capacity building Nascent social dialogue on labor regulations Other Local development/public works Limited towns and municipalities, infrastructure Source: World Bank staff; CMAP. Notes: *Estimated annual expenditure for 2013–2015. Conclusions Overall, youth employment programs and social dialogue on labor policy are nascent, with programs limited in coverage and catering mainly to urban university and vocational training graduates. Less investment has been allocated to developing sustainable livelihoods over the short to midterm for poorer youth in peri-urban and rural settings. Supply-side programs in Mauritania focus mainly on vocational training and, to an extent, on micro-entrepreneurship for university graduates. Demand-side programs have focused on boosting enterprise develop- ment for SMEs throughout Mauritania, tied to regulatory reforms in the midterm to improve the investment climate. Limited institutional support exists to strengthen employment coordination across agencies as well as vocational training management. Public works programs linked to local infrastructure development programs supported by PNIDDLE are in place in nearly half of all municipalities in Mauritania in urban and rural settings.38 More broadly, an assessment of labor regulations and potential impacts on job creation will be needed, particularly for certain sectors (i.e., services, commerce, and manufacturing) and populations (i.e., first-time entrants and young women). 38 The Government’s PNIDDLE program on local governance and infrastructure development targets an estimated 100 municipalities out of 216 in total throughout Mauritania. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 37 5 POLICY IMPLICATIONS: TRANSFORMING THE YOUTH EMPLOYMENT TRAJECTORY Typology of Youth Employment Challenges and Constraints Endowed with mineral resources, a geostrategic location connecting Europe and North and West Africa, and a young population, Mauritania could readily improve job prospects for its youth. To keep up with the increasing flow of young entrants into the labor force per year (up to 25,000 youth), a comprehensive plan designed to address constraints and opportuni- ties for job creators and job seekers is vital. For youth, the plight of the under-employed and the working poor is central to Mauritania’s poverty reduction agenda. The increasing stock of unemployed and underemployed youth will be exacerbated by new entrants due to the impending youth bulge. As urbanization increases, semi-skilled youth and poorer females risk facing higher social exclusion. Although overcoming low-growth will be imperative for Mauritania to boosting job quality and job creation, this will be insufficient on its own. Productivity remains highly stunted in key sectors such as agriculture and related value chains, and growth in commerce, services, and manufacturing remains modest, at best, with the exception of extractive industries. Insufficient investment in high-value added sectors, practices, and regions have weakened productivity and earnings. Weak access to finance among youth and small firms hinders scaling up. Barriers to growth on the demand side have particularly impacted opportunities for an increasingly young population, NEET youth, females, and the rural poor. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 39 While a detailed analysis of growth and productivity for specific sectors, products, firm, or regions falls outside the scope of this policy note, three overarching objectives for Mauritania’s jobs agenda emerge. First, boosting productivity and earnings for the self-employed will be critical to maintaining and improving resilience. Second, expanding job creation in untapped, higher value-added sectors and practices in terms of technology and know-how will enhance job quality and growth alike. Among broader market-level constraints, the current lack of job-relevant skills in the labor force will impinge on this agenda, as will limited entrepreneurship capacity. Third, strengthening opportunities for formal wage employ- ment will be needed for equity of opportunity and stability within the labor market. Creating fiscal space for labor costs will play an important role. Among the different profiles of youth, three key groups face particularly high vulnerability and exclusion from the job market (Table 4). First, low- and semi-skilled underemployed youth (20–34 years) in rural areas are among the working poor in the informal sector. Already active in the labor market, they would benefit most from skills upgrade, access to finance, and access to exports, which would help boost productivity, reduce underemployment, and improve working conditions. Second, unemployed low- and semi-skilled females face high constraints on entering the labor market, particularly due to social norms. Females face high rates of early second- ary school dropout and exclusion from commerce and industry, where earnings potential is currently higher than in agriculture. Low- and semi-skilled poorer youth in rural regions have less information and services available to enter sectors such as commerce and industry or to improve their agricultural earnings. Third, NEET youth make up the bulk of youth excluded from the labor market due to multiple constraints. Secondary-educated and Madrassa-trained youth (less than one year since leav- ing secondary school) make up the bulk of NEET youth and represent an important segment for breaking intergenerational poverty. A combination of immediate social protection income support and vocational skills development would facilitate access to self-employment and apprenticeships for wage employment. From Constraints to Opportunities How can Mauritania accelerate inclusive job creation, particularly for different segments of vulnerable youth? The challenges of macro-fiscal stability, diversification, job creation, and poverty reduction are tied to multiple constraints that call for an integrated approach,39,40 Given individual- and market-level constraints, Mauritania’s youth trajectory can be tackled by gradu- ally shifting labor market opportunities from revenue and skills enhancement to formal sector entry as the economy undergoes transformation. An integrated approach to tying the demand 39 Filmer, D. and Fox, L. (2014). Youth Employment in Sub-Saharan Africa. Washington, DC: World Bank. 40 Beegle, K., Christiansen, L., Dabalen, A., and Gassis, I. (2016). Poverty in a Rising Africa. Washington, DC: World Bank. 40 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H TABLE 4  Typology of youth employment constraints, by level and segment-specific gaps in Mauritania Type of Domain constraint Overall Rural Females NEET Technical Low general/ Drop-out High drop-out Drop-out technical skills Lack of practical first-time job Individual level Financial High dependency High poverty High dependency High exclusion Low financial inclusion Access Lack of job services Lack of services Lack of adapted High exclusion services Lack of targeting Behavioral Social norms and Drop-out, mobility preferences Macroeconomic Lagging rural/secondary urban growth Low agricultural productivity Weak diversification Business climate Weak infrastructure and access to finance Market level Restrictive business regulations Clientelist hiring Labor policies High informality High labor costs Mismatched contracting regulations (renewal) Integrative Lack of integrated job creation initiatives involving public-private partnerships Source: World Bank staff. and supply sides is needed to shift this trajectory, linking firms and sectors needed to absorb youth, different profiles of youth seeking to enter or improve existing employment, and labor market policies and programs designed to facilitate those transitions. This integrated approach should include four main areas of intervention: (i) improving the school-to-work transition and skills; (ii) facilitating inclusive labor market entry; (iii) enhancing the sustainability and quality of jobs; and (iv) promoting job growth. Improving the School-to-Work Transition through Demand-Driven Skills The majority of Mauritania’s recognized skills programs are publicly designed and publicly provided, with sectors and firms not directly involved. As discussed above, in 2015, a majority of the expenditure on youth employment programs was devoted to vocational training and M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 41 BOX 1 SPOTLIGHT Outcomes from innovative partnerships for continuing education and job placement in Mauritania Since 2011, Mauritania has been introducing reforms aimed at boosting the relevance of vocational and technical training to the labor market. Through the Technical and Vocational Training Project, the National Professional and Technical Training Institute (INAP-FTP) has modernized contracting with public and private vocational training centers and has introduced public-private partnerships in the delivery and design of apprenticeship and continuing edu- cation programs. To date, the program has helped over 12,800 youth gain certified training, of whom 34 percent were women. Based on a tracer survey of graduates,1 70 percent of all trainees found jobs within six months after program exit as of 2016, exceeding an original program target of 64 percent. Of all employed graduates, nearly 37 percent were female. One of several important new features of the INAP-FTP program has been a greater focus on demand-driven continuing education through partnerships with local NGOs. The INAP-FTP program provides a basis for future results-based contracting in the delivery and design of job training and placement programs, particularly in remote regions. Source: World Bank staff. 1 Institut National de Promotion de la Formation Technique et Professionnelle (INAP-FTP). (2016). Projet d’Appui à la Formation Technique et Professionnelle (PA-FTP): Résultats de l’Enquête de Suivi de l’Insertion des Bénéficiaires de la Formation Qualifiante, 2012–2015. Nouakchott: MEFPTIC. basic skills development. As a result, youth access to revamped technical and vocational programs has increased significantly in recent years. Yet, the quality of these programs and relevance to the labor market remains unclear. Most firms continue to demand job-relevant practical experience, more practical technical cognitive skills, and organizational and behav- ioral non-cognitive skills. Based on feedback from firms, the relevance of current skills training models may not be sufficiently responding to the most pressing needs expressed by firms. Mauritania’s existing vocational training centers, comprising eleven main centers, provide an opportunity to introduce demand-driven mechanisms such as results-based funding to target and modify skill sets needed as markets evolve. Providing incentives through contracts with private firms and non-governmental organiza- tions (NGOs) to train and certify core competencies would be an important part of solving the puzzle of upgrading young adults’ skills for gainful employment. Emerging public-pri- vate programs such as that managed by the National Professional and Technical Training Institute (INAP-FTP) provide a promising model that offers an effective approach to contracting short-term skills programs that connect graduates to job opportunities directly (Box 1). Similar approaches using performance-based contracting can be adopted and scaled-up to reach excluded populations in a more systematic way for a variety of labor market skills needs, 42 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H such as apprenticeships, continuing education, technological support, and financial literacy education. Human capital-related deficits among youth related to skills and job-relevant experience are only part of a broader deficit within the educational system. While a detailed analysis of the educational sector is beyond the scope of this note, key areas for reassessing current investment and implementation curriculum models include: (i) basic and secondary educa- tion; (ii) ad-hoc skills certification programs and vocational training; and (iii) tertiary education. Workforce training reforms are needed to deliver the kind of practical, job-relevant skills demanded by the labor market. Facilitating Inclusive Labor Market Entry through Employment Systems Improving Mauritania’s underlying employment systems and coordinating mechanisms for targeting, outreach, and intermediation would help connect jobs to the most vulner- able youth, particularly those lacking information or mobility. Labor market outreach in Mauritania would need to address two particularly important challenges: institutional capacity limitations, and social limitations due to gender norms. At the institutional level, Mauritania’s public employment offices managed by ANAPEJ number only four and focus mainly on a small minority of relatively mid- to-highly skilled job seekers in larger urban centers. Financial, human, and technical resources remain highly constrained, and the lack of outreach in second- ary regions and among more vulnerable populations is considerable. To tackle these chal- lenges, the most rapid, cost-effective approach to improving labor market intermediation and outreach is through public-public and public-private coordination rather than further increasing top-heavy, centralized agencies. Mauritania has a broad network of municipal centers and CDD regional offices located in eleven of its twelve regions, which each provide potential outlets that can offer selected or more comprehensive intermediation and outreach services, depending on need. Targeting, job-readiness counseling, and intermediation support can be strengthened by directly involving firms and local providers in remote regions in implementation, including cooperatives and NGOs. Expanding financial support through seed funding and access to dig- ital financial services can help alleviate barriers faced by young females and rural populations. Importantly, the social safety net system and social identification systems can help expand beneficiary listing for employment services, particularly through digital platforms. Behavioral constraints that hinder women’s labor mobility can also be alleviated through digital instru- ments and by adapting the delivery of services to social norms, where possible. At the social norms level, approach to overcoming gender barriers in terms of expectations and roles will be critical. While family reasons account for 50 percent of labor market drop-out (marriage and motherhood), as discussed above, preferences on the part of employers and female job-seekers alike can be informed through awareness-raising and education about sim- ilar countries that have managed to transform traditional roles (Box 2). Opportunities such as mobile technology innovations and improved, adapted transportation can boost labor mobility for women who face especially high barriers in Mauritania’s peripheral towns. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 43 BOX 2 SPOTLIGHT Gender, social norms, and behavioral strategies in Mauritania While labor and political participation by women has been steadily improving in Mauritania since the early 2000s, the youth bulge will only exacerbate Mauritania’s wide gender dis- parities. Women today make up nearly 35 percent of the employed, up from 25 percent in 1993. As of 2016, they also occupy more senior public positions, including Minister for Public Administration and Labor as well as of Women’s Affairs as of 2017. However, for the most part, young girls’ multi-faceted development in Mauritania continue to face greater barriers to social inclusion and employment compared to their counterparts in other countries, includ- ing educational, social, economic, and legislative challenges. Moving forward, a concerted inter-disciplinary approach would accelerate young women’s future job prospects, starting with removing fundamental barriers to social inclusion. Global lessons learned show that over the long-term, a range of interventions from legislative reforms for safe working conditions to educational and child care support have proved beneficial.1 To tackle the challenges facing today’s young adult women in Mauritania, three particular priorities emerge for the short- to mid-term: skills, and financial and behavioral interven- tions. Better targeting and delivery of continuing education skills support to young women in rural regions driven by private sector demand is critical. Leveraging and better targeting financial instruments to reach women will provide high dividends, including bank accounts, access to mobile money, and alternative forms of collateral, as currently supported in Ghana.2 Innovations in information technology has facilitated jobs, skills, and financial outreach for the most vulnerable women in Rwanda, Sri Lanka, and elsewhere. Overall, continuing to support behavioral change among Mauritanians in general through direct and implicit aware- ness-raising, including greater legal and enforcement provisions for restrictions on child marriage and sexual harassment,3 greater visibility of advances by Mauritanian women, greater public participation at all levels, and household-based counseling, will help level the playing field in the future. Source: World Bank staff. 1 World Bank. (2015). Gender Equality, Poverty Reduction, and Inclusive Growth, 2016–2023. Washington, DC. 2 World Bank. (2017). Fostering Quality of Employment for Women. Working Paper Issue No. 1. Washington DC. 3 World Bank. (2015). Women, Business, and the Law 2016: Getting to Equal. Washington, DC. Enhancing the Sustainability and Quality of Jobs through Better Labor Policies Strengthening opportunities for formal wage employment entails a two-pronged approach: enhancing job creation incentives for short-term impacts, and reforming labor regulations to improve jobs over the mid- to long term. Over the short term, reducing labor market friction for first-time entrants can be supported by a combination of fiscal incentives and improved job placement services for mid- to high-skilled youth, especially in sectors such as commerce and 44 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H services. Building networks among the self-employed and scaling up smaller micro-enterprises through technical and financial support can facilitate the transition. In addition, strengthening financing and quality of on-the-job training for youth from poorer backgrounds can facilitate the school-to-work transition. Over the long term, restructuring labor regulations to improve prospects for the 84 percent of the workforce who work informally will be critical. Key issues remain the structure and terms of employment contracts and social security policies adapted to facilitate a gradual transition from precarious jobs to working conditions and incentives adapted to a modern, inclusive economy. As of 2017, Mauritania has taken steps to propose reforms for its Labor Code and Social Security Code as well as collective bargaining agreements that date from 1974. Within the framework of a nascent social dialogue, the country also aims to provide new workers with informal and occasional workers in some sectors such as transportation with formal wage contracts and extend social security benefits, including health insurance. Alongside these reforms is a renewed emphasis on strengthening job inspection with a view to improving enforcement of labor regulations as well as reduce child labor, which persists in Mauritania. Optimizing labor regulations and social security will become increasingly relevant as Mauritania looks to expand good job growth. Promoting Job Growth by Stimulating the Business Climate In terms of expanding job creation in untapped sectors, the diversification and self-employment agenda will remain critical over the mid- to long term. Self-employment and micro-enterprises in agriculture, livestock, and commerce make up the vast majority of jobs among the poorest households in Mauritania. Yet they have not reached the scale or the productivity levels needed to maximize incomes and facilitate entry for first-time earners. Individual-level constraints play a major role in limiting earnings potential among the working poor, as do market-level constraints in terms of a lack of market networks and integrative policies. Market-level constraints play a dominant role, building on individual-level constraints pertaining to productivity and earnings. Targeted incentives, skills upgrades, and improved access to markets through business intelligence and services in high value-added, untapped sectors would set youth off to a better start. Tackling multiple constraints simultaneously would unlock potential in emerging sectors such as value-added tradable services, new agricultural and livestock sectors, and agri-business. For example, new approaches to tackling multiple constraints simultaneously in untapped potential in Mauritania’s major port city of Nouadhibou has had the dual effect of stimulating growth while expanding entrepreneurship opportunities for vulnerable women (Box 3). At the same time, these sectors need a significant boost in financing and technology to scale up opportunities. Developing incentives for improving the quality of jobs through labor regulations can also facilitate labor market entry, particularly for first-time entrants among young females and rural communities. Future jobs diagnostic work can be used to identify specific opportunities for youth populations most likely to benefit from job creation in different sectors, practices, or products. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 45 BOX 3 SPOTLIGHT Spurring Jobs through Firm Growth and Entrepreneurship Eco-Systems in Mauritania Developing Mauritania’s nascent business climate and technical capacity in order to radically expand the growth of private micro, small, and medium enterprises (MSMEs) is central to its jobs challenge if it is to absorb greater masses of youth throughout its vast territory. Specifically, over the short term, supporting entrepreneurship interventions, including boost- ing technical know-how and access to markets through early mergers between vocational and tertiary education centers and high-value added sectors and value chains, is critical. Over the midterm, Mauritania will need to deepen reforms to stimulate the investment climate and access to finance for MSMEs. Over the long-term, Mauritania would benefit from a compre- hensive plan to enhance alternative financing mechanisms for MSMEs and improving compe- tition in key sectors such as telecommunications, which would have a positive impact on price and quality of services, which is necessary for MSMEs and entrepreneurs to grow. Overall, addressing numerous market failures in developing high potential value chains and supporting entrepreneurship will be key. Mauritania has started a new program designed to address some of these market failures in the fisheries value chain, particularly obstacles facing women. Women entrepreneurs tend to face high barriers to entry and growth in the industry and suffer from limited access to markets and credit, low capacity, and physical isolation. The Nouadhibou Eco-Seafood Cluster Project aims to help address some of the challenges facing women fish sellers in Mauritania and to strengthen private sector growth and job creation. Launched in March 2016, the project aims to support the development of a seafood cluster in Nouadhibou that promotes the sustain- able management of fisheries and generates value for local communities. The project helps reinforce Nouadhibou’s port infrastructure and expand its onshore fish processing activities. In addition, targeted training will be implemented to help women build on their existing skills, including in processing, handling of goods, business management, and marketing. The aim is to help women increase their ability to organize, formalize, and grow their businesses. Source: World Bank staff. World Bank (2016). Project Appraisal Document for Nouadhibou Eco-Seafood Cluster Project. Report No: PAD1201. Washington, DC. 46 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H TABLE 5  Overview of the jobs agenda in Mauritania over the short to long term Time Area* Specific opportunities for Mauritania horizon** Improving the General and basic Tailor the school curriculum, teaching, and investment toward MT school-to-work skills labor demand transition by Target drop-outs through pre-screening (including social registry) reorienting skills and social norms outreach, particularly for women Provide targeted income support for vulnerable households to reduce financial school attendance constraints through the Tadamoun Tekavoul social safety net program Facilitating Integration Operationalize the National Jobs Platform and systems for coor- ST inclusive labor dinating regional, inter-agency, and public-private partnerships market entry for targeting and monitoring job growth in key sectors, including by modernizing agri-business, livestock, services, trade, and technology employment Harmonize and develop a coherent national framework for systems targeting, implementation, and sectoral orientation of youth employment programs Technical and Enhance the private sector’s role in implementing and certifying MT professional skills vocational training and skills programs in Mauritania’s four major and experience training centers and with local NGOs Adapt continuing training programs to the needs of the most vulnerable with local providers in western and southern regions (cooperatives, firms, NGOs) Financial Strengthen income support to the poor for job searches, labor ST mobility, and training through partnerships, including ANAPEJ, CDD, and Tadamoun Increase targeted entrepreneurship seed funding and appren- ticeship through partnership between ANAPEJ, CDD, and the four main vocational training centers Expand financial inclusion and literacy alongside NGOs, the voca- tional training centers, ANAPEJ, CDD, and Tadamoun Access Integrate skills and livelihoods training modules into social safety ST net system through Tadamoun Expand social identification systems through Tadamoun, ANAPEJ, and CDD Increase public-private partnerships for intermediation services under the Ministry of Employment, Tadamoun, trade federations, NGOs, or other providers Behavioral Facilitate mobile support for labor for women and rural youth, and MT develop awareness through ANAPEJ and Tadamoun and contract- ing with local NGOs and service providers Enhancing the Labor policies Develop flexible social security and savings schemes for the LT sustainability and working poor, including through digital approaches and financial quality of jobs education by aligning labor Modernize labor regulations, including contracting, as part of incentives social dialogue Promoting Macroeconomic Improve macro-fiscal and financial sector management, including LT job growth by public investment management stimulating the Strengthen investment in secondary towns business climate Business climate Transform nascent investment climate and enhance incentives for LT SME development in high value-added sectors Source: World Bank staff. *A detailed description of reforms needed at the macroeconomic and sectoral levels for job growth is outside the scope of this policy note. **Note: ST: short-term; MT: mid-term; LT: long-term. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 47 Toward an Integrated Model for Youth Employment An integrated approach to youth employment program tailored to Mauritania’s context can help address constraints collectively. An integrated model should aim to: (i) focus interven- tions on the highest value-added sectors and skills needs; (ii) target and profile different youth segments most likely to benefit from different types of support; and (iii) implement the best-adapted package of support to each segment, such as employment and social services, financial support, training, and follow-up. Support also spans social protection interventions that provide social identification, incomes, and other social support needed to address behav- ioral or social constraints. To strengthen the effectiveness of youth interventions, public-private arrangements for implementing programs with financing tied to results and performance have been shown to improve outcomes. Such an integrated coordinated approach means ensuring that financing, services and outcomes are monitored routinely, adjusted, and adapted as they are implemented in real-time. Conclusions: Equal Opportunity, Stronger Coalitions Moving forward, at the heart of youth employment and social inclusion in Mauritania lies stronger public-private coalitions. As in other resource-rich low-income countries, the political economy of diversification and wealth distribution is complex due to clientelism, weak gover- nance, and a lack of transparency in public financial management. Public services, infrastruc- ture and diversification suffer, making it difficult to create broad opportunities for young adults from diverse backgrounds to enter the labor market, prosper, and break out of poverty. While youth employment programs cannot address all of the constraints facing youth and firms, they can alleviate important barriers to connecting to skills development, networks, and access to livelihood opportunities in emerging sectors. Greater collaboration and transparency between public social services, sectors, and financial institutions can pave the way for a well-function- ing labor market. For Mauritania’s next generation, stronger coalitions will mean substantive, sustainable, and socially inclusive jobs, thus transforming the trajectory for youth. 48 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H TECHNICAL ANNEX Chapter 1 Mauritania Rapid Labor Market Diagnostic Survey: Sample Descriptions of Firms and Youth Included in Micro-survey FIGURE 29  Profile of surveyed firms, by FIGURE 30  Profile of surveyed firms, by size sector (percentage), qualitative micro-survey (percentage), qualitative micro-survey Extractive and hydrocarbon industries 7% Consultancy > 50 < 10 7% employees employees 27% 27% New technologies Commerce & services 12% 32% 11–50 employees Construction Fisheries/agriculture/ 46% 17% livestock breeding 24% Source: Mauritania Rapid Labor Market Diagnostic Survey Source: Mauritania Rapid Labor Market Diagnostic Survey of Youth Employment Constraints, 2016. N = 40. of Youth Employment Constraints, 2016. N = 40. FIGURE 31  Age distribution of youth surveyed (percentage), qualitative micro-survey 20 18 15 Percentage (%) 10 9 8 8 8 7 6 6 6 6 6 5 3 3 2 2 1 1 1 1 0 15 16 17 18 20 22 23 24 25 26 27 28 29 30 31 32 33 34 35 Age (number of years) Source: Mauritania Rapid Labor Market Diagnostic Survey of Youth Employment Constraints, 2016. N = 120. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 49 FIGURE 32  Profile of surveyed youth, by educational level, qualitative micro-survey Unemployed Employed with qualification, (long-term) tertiary education 15% 19% Unemployed, basic education 12% Employed, secondary education Unemployed, (general or vocational) below secondary 19% education 11% Unemployed, Unemployed secondary education with qualifications, (general or vocational) tertiary education 8% 16% Source: Mauritania Rapid Labor Market Diagnostic Survey of Youth Employment Constraints, 2016. N = 120. FIGURE 33  Profile of surveyed youth, by educational level and gender, qualitative micro-survey 100 Percentage of youth (%) 80 60 40 20 0 Men Women Total Basic education Primary/Lower secondary Higher secondary Technical education Tertiary Source: Mauritania Rapid Labor Market Diagnostic Survey of Youth Employment Constraints, 2016. N = 120. FIGURE 34  Occupational status of youth, by gender, qualitative micro-survey 100 Percentage of youth (%) 80 60 40 20 0 Men Women Total Yes, full-time Yes, part-time Yes, occasionally No Source: Mauritania Rapid Labor Market Diagnostic Survey of Youth Employment Constraints, 2016. N = 120. 50 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H FIGURE 35  Occupational status of youth, by educational level, qualitative micro-survey 100 90 80 70 60 50 4 40 4 3 3 7 4 30 56 20 39 31 32 10 17 7 0 Basic education Primary/Lower Higher Technical Tertiary Total secondary secondary education Active, full-time Active, part-time Active, occasionally Source: Mauritania Rapid Labor Market Diagnostic Survey of Youth Employment Constraints, 2016. N = 120. FIGURE 36  Occupational status of youth, by city sampled, qualitative micro-survey 100 90 80 70 60 50 40 30 20 10 0 Nouakchott Nouadhibo Rosso Aleg Total Yes, full-time Yes, part-time Yes, occasionally Source: Mauritania Rapid Labor Market Diagnostic Survey of Youth Employment Constraints, 2016. N = 120. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 51 Chapter 2 Growth and Productivity FIGURE 37  Sectoral contribution to GDP and per capita GDP, Mauritania, 1995–2014 100 4,000 Share of value added (% of GDP) GDP per capita, PPP (constant 80 3,000 2011 international $) 60 2,000 40 1,000 20 0 0 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Services, value added (% of GDP) Industry, value added (% of GDP) Source: World Bank staff calculations, ILO KILM Database. FIGURE 38  Agricultural productivity and per capita GDP 1,000,000 (constant 2005 US$, most recent year 2011–2015) Log agriculture value added per worker y = 0.0601x1.2027 100,000 R2 = 0.72936 10,000 UKR HDN KGZ GTM CMR SDN BEN 1,000 TJK MRT SLE 100 100 1,000 10,000 100,000 1,000,000 Log agriculture value added per worker (constant 2005 US$, most recent year 2011–2015) Source: World Development Indicators, World Bank. 52 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H FIGURE 39  Firms’ perspective on growth over next 6 months, qualitative findings Total Commerce New technologies Construction Industry Fisheries/agriculture Consultancy 0 10 20 30 40 50 60 70 80 90 100 Percentage of enterprises (%) Negative Stable Positive Very positive No opinion Source: World Bank staff and CMAP. Mauritania Rapid Labor Market Diagnostic Survey of Youth Employment Constraints, 2016. N = 40. FIGURE 40  Distribution of employment, by sector and region Nouakchott Inchiri Tiris Zemour Guidimagha Tagant D. Nouadhibou Adrar Trarza Brakna Gorgol Assaba Hodh El Gharbi Hodh Charghi 0 10 20 30 40 50 60 70 80 90 100 Percentage employed Agriculture Commerce/Artisans Services Source: 2012 Mauritania Labor Force and Informal Sector Survey. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 53 FIGURE 41  Types of self-employment in FIGURE 42  Types of self-employment agricultural and non-agriculture sectors remuneration among agricultural and non- agricultural sectors 62 61 Benefits 47 Non- Renumeration 22 agricultural in kind enterprise Non-remunerated Piecework Self-employed Considers remuneration employment temporary Agriculture Per day or hour remuneration Agriculture On commission Non-agricultural enterprise 0 10 20 30 40 50 Percentage (%) Source: 2012 Mauritania Labor Force and Informal Sector Survey. FIGURE 43  Change in average monthly earnings by sector, 2008–2014 Agriculture Mining Overall average Services Manufacturing 0 2 4 6 8 10 12 Percentage change (%) Source: 2008 and 2014 Mauritania Household Living Conditions Survey. Firms’ perspectives on labor regulations; workforce skills FIGURE 44  Firms’ perspectives on labor regulations, by type of firm 45 Labor Regulations as Major Percent of Firms Citing 40 35 Constraint (%) 30 25 20 15 10 5 0 Overall Services Medium Nouadhibou Direct Domestic average (20–99) exports 10% or Manufacturing Small Large Nouakchott 10%+ more (5–19) (100+) Non-exporter foreign Source: 2014 Mauritania Enterprise Survey, World Bank. 54 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 0% 20% 40% 60% 80% 100% 120% 0% 10% 20% 30% 40% 50% 60% 70% 80% Ba Ba s s Or Adv ic IC Or Adv ic IC al an al an W c c T W c c T rit om ed I rit om ed I te m te m n c un CT n c un CT FIGURE 45  Pa omm icati Pa omm icati rtn o rtn o er unic n er unic n ma ati ma ati na on na on ge ge W G me W G me or Fore rou nt or Fore rou nt qualitative findings kp pw kp pw lac ign lac ign Pla e la ork Pla e la ork nn pro ngua nn pro ngua ing ble g ing ble g a m es a m es St nd so St nd so ra l ra l te orga ving te orga ving 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% Ba gic n gic n A si Industry ma izat ma izat Or dva c IC na ion na ion T O ce work al n ge ge W co ced Re me Re me rit mm IC te ad Num nt ad Num nt n c uni T ing ing c O an acy er O an acy er Pa omm atio rtn un n dw dw er ica Te ce Te ce ma t W chn man ritin or i a g W chn man ritin or i a g na ion k-r q ue gem k-r q ue gem ge ela s ela s me te or p ent te or p ent W Fo Grou nt dc dc or om ract om ract kp reig p w la n o pe ice te pe ice te Pla ce p lang rk nc nc nn ro u ies ies ing ble age a m s St nd o solv ra te rga ing gic ni ma zati na on 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 0% 10% 20% 30% 40% 50% 60% 70% Ba Ba Construction ge Ad sic A si me Or IC Or dva c IC Re al va T al ad Num nt nc c nc T ing er W co W e rit mm ed I rit omm d IC O an acy te un CT te c d nc om ica n c un T i Te e m writ Pa Pa omm catio W chn ana ing rtn mu tion n rtn n or k-r i q u ge er ma icati er unic ma ati ela es o men na on na on te r t ge ge d c pra om ctic W G me W G me pe e or Fore roup nt kp or Fore roup nt kp te la ign wo wo 2016. Note: Figures show percentage of firms rating skill as “very difficult” to find. N = 40. nc lac ign ies Pla ce p lan rk Pla e p lan rk nn r gu nn r gu ing oble age ing oble age a m s a m s St nd o solv St nd o solv ra ra Fisheries te rga ing te rga ing gic niz gic niz ma ati ma ati New technology na on na on ge ge Re me Re me ad Num nt ad Num nt ing e ing e O an racy O an racy d d Te ce m wr Te ce m wr Workforce skills considered “very difficult” to find among firms, by sector, W chn an iting W chn an iting or a or a k-r ique gem k-r ique gem ela s o en ela s o en te te d c r pra t d c r pra t om cti om cti pe ce pe ce te te Source: World Bank staff and CMAP. Mauritania Rapid Labor Market Diagnostic Survey of Youth Employment Constraints, nc nc ies ies M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 55 FIGURE 46  Level of difficulty reported by firms in retaining Mauritanian workers (percentage), qualitative findings Total Commerce New technologies Construction Industry Fisheries/agriculture Consultancy 0 10 20 30 40 50 60 70 80 90 100 Percentage of enterprises (%) Very easy Easy Neither easy nor di cult Somewhat di cult Source: World Bank staff and CMAP. Mauritania Rapid Labor Market Diagnostic Survey of Youth Employment Constraints, 2016. N = 40. Chapter 3 Labor Market and Youth Indicators TABLE 6  Key labor market indicators, 2012 Male Female Total Population of working age (‘000) 728 920 1,647 Workforce (‘000) 457 260 717 Employed population (‘000) 418 227 645 Job market participation rate (%) 62.8 28.3 43.5 Ratio of employed to total population (%) 57.4 24.7 39.2 Share of employed working for family enterprise (%) 62.5 66.2 63.8 Unemployed (‘000) 39.4 32.9 72.3 Unemployment rate (%) 8.6 12.6 10.1 Youth unemployment below age 25 (‘000) 14.6 11.3 25.9 Youth unemployment (%) 14.0 17.7 15.4 Share of unemployed youth with no education or training (NEETs) in 23.6 52.1 39.4 total youth population (%) Source: 2012 Mauritania Labor Force and Informal Sector Survey. 56 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H FIGURE 47  Youth labor market segmentation, sub-categories (15–34 year olds) YOUTH POPULATION 15 34 34% 1.36 million INACTIVE LABOR FORCE ACTIVE LABOR FORCE 67% 911,200 33% 448,800 UNEMPLOYED EMPLOYED STUDY + EMPLOYED IN SCHOOL NEET 42% 58% 17% 77% 6% 382,704 528,496 76,296 345,576 26,928 NON AGRICULTURE WAGE AGRICULTURE ENTERPRISE EMPLOYMENT 41% 28% 31% 141,686 96,761 107,128 PUBLIC PRIVATE SECTOR SECTOR 36% 64% 38,566 68,561 Source: World Bank staff calculations for 2015 projections based 2012 Mauritania Labor Force and Informal Sector Survey. FIGURE 48  Labor force participation rate, by region Nouakchott Inchiri Tiris Zemour Guidimagha Tagant D. Nouadhibou Total Women Adrar Men Trarza Brakna Gorgol Assaba Hodh El Gharbi 10 20 30 40 50 60 70 80 Percentage Source: 2012 Mauritania Labor Force and Informal Sector Survey. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 57 FIGURE 49  Labor force participation rate, by age group (percentage) 100 90 80 70 Percentage 60 50 40 30 20 10 0 4 9 9 4 4 9 4 4 14 9 n 9 –6 –3 –5 –2 –4 –1 –4 –3 tio –2 –5 0– 15 30 la 60 45 40 50 20 35 25 55 pu Po Men Women Total Source: 2012 Mauritania Labor Force and Informal Sector Survey. FIGURE 50  Labor force structure, by educational attainment and age 100 90 80 70 Tertiary Percentage 60 Secondary 50 Primary 40 Reading & writing 30 Illiterate 20 10 0 14–23 24–33 34–43 44–53 54–63 64–64 14–64 Source: 2012 Mauritania Labor Force and Informal Sector Survey. FIGURE 51  Distribution of employment, by sector and gender 100 90 80 Percentage 70 Services 60 Commerce & artisans 50 Agriculture 40 30 20 Men Women Total Source: 2012 Mauritania Labor Force and Informal Sector Survey. 58 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H TABLE 7  Labor force migration indicators Women, Total Men, urban urban Men, rural Women, rural Migrated % 11 24 19 4 3 Average age of migrants n/a 22 20 26 21 Origin   Other country % 8 9 8 10 8   Other region % 81 86 85 64 57   Same region % 11 6 8 26 35 Principal reasons for migrating   Follow / join family % 58 33 83 51 83   Pursuing studies % 5 7 4 5 3   Job search % 25 46 6 21 3  Posting % 7 10 1 13 2  Others % 5 3 6 10 9 Source: 2012 Mauritania Labor Force and Informal Sector Survey. TABLE 8  Main reason for school dropout among the labor force (percentage) Women, Women, Total Men, urban Men, rural urban rural Financial difficulties 6 9 7 5 3 Preference for work or apprenticeship 20 39 35 7 3 Pregnancy, marriage 14 1 1 25 26 Disability, illness 1 1 1 2 1 School failure 29 26 26 34 29 Schools too remote 3 0 2 2 6 Studies completed 5 6 7 2 5 Others 22 17 20 22 27 Total 100 100 100 100 100 Source: 2012 Mauritania Labor Force and Informal Sector Survey. TABLE 9  Educational background, by age, gender, and geographical setting (percentage) Men, Men, Women, Women, Education type Total 6–10 11–15 16–20 urban rural urban rural Koranic & Madrassa 27 25 14 14 18 37 17 34 General 73 75 86 86 82 63 83 66 Apprenticeship 0.15 0.02 0.02 0.14 0.39 0.07 0.15 0.02 Total 100 100 100 100 100 100 100 100 Source: 2012 Mauritania Labor Force and Informal Sector Survey. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 59 FIGURE 52  Occupational status among youth (14–34 years), by income quintile (percentage) 100 80 60 40 20 0 1 2 3 4 5 1 2 3 4 5 1 2 3 4 5 1 2 3 4 5 Men, urban Men, rural Women, urban Women, rural Employed Unemployed Student Inactive Source: 2012 Mauritania Labor Force and Informal Sector Survey. FIGURE 53  Occupational status among adults (35–64 years), by income quintile (percentage) 100 80 60 40 20 0 1 2 3 4 5 1 2 3 4 5 1 2 3 4 5 1 2 3 4 5 Men, urban Men, rural Women, urban Women, rural Employed Unemployed Student Inactive Source: 2012 Mauritania Labor Force and Informal Sector Survey. 60 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H FIGURE 54  Share of individuals enrolled, national average, and regional averages (five regions) 100 80 60 40 20 0 6 10 15 20 25 Age National average Hodh Charghi Hodh El Gharbi Assaba Gorgol Guidimagha Source: 2012 Mauritania Labor Force and Informal Sector Survey. FIGURE 55  Enrollment rate (general non-religious schooling), by gender and setting 100 80 60 40 20 0 6 10 15 20 25 30 35 Age Men, urban Women, urban Women, rural Men, rural Source: 2012 Mauritania Labor Force and Informal Sector Survey. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 61 FIGURE 56  Employment, by sector and income quintile (14–64 year olds) 100 80 60 40 20 0 1 2 3 4 5 1 2 3 4 5 1 2 3 4 5 1 2 3 4 5 Men, urban Men, rural Women, urban Women, rural Agriculture Salaried, public sector Salaried, private sector Non-agri. enterprise Source: 2012 Mauritania Labor Force and Informal Sector Survey. Note: 1 = poorest 20 percent of income distribution; 5 = richest 20 percent of income distribution. FIGURE 57  Employment, by sector and educational level (14–64 years) No education Koranic school or Madrassa Primary, non-completed Primary, completed Lower secondary, non-completed Lower secondary, completed Tertiary 0 20 40 60 80 100 Percentage Agriculture Salaried Non-agri. enterprise Source: 2012 Mauritania Labor Force and Informal Sector Survey. 62 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H FIGURE 58  Occupational status among males by age (percentage) 100 80 60 40 20 0 50 9 50 9 35 4 35 4 40 9 40 9 55 4 55 4 4 4 20 9 9 25 4 25 4 30 9 30 9 45 4 45 4 60 9 60 9 4 4 –4 –4 –3 –3 –5 –5 –3 –3 –1 –1 –2 –2 –4 –4 –1 –1 –2 –6 –2 –6 –5 –5 10 10 15 15 20 Urban Rural Employed Unemployed Student Inactive Source: 2012 Mauritania Labor Force and Informal Sector Survey. FIGURE 59  Occupational status among females, by age (percentage) 100 80 60 40 20 0 50 9 50 9 35 4 35 4 40 9 40 9 55 4 55 4 4 4 20 9 20 9 25 4 25 4 30 9 30 9 45 4 45 4 60 9 60 9 4 4 –4 –4 –3 –3 –5 –5 –3 –3 –1 –1 –2 –2 –4 –4 –1 –1 –2 –6 –2 –6 –5 –5 10 10 15 15 Urban Rural Empolyed Unemployed Student Inactive Source: 2012 Mauritania Labor Force and Informal Sector Survey. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 63 FIGURE 60  Unemployment rate, by age and region 1.6 Guidimagha 2.7 Gorgol 3.6 Hodh Charghi 4.3 Hodh El Gharbi 5.5 Trarza 5.6 Assaba 10.1 Total TOTAL Women 11 Brakna Men 11.6 Tiris Zemour 13.5 Adrar 16.7 Nouakchott 19.1 Tagant 22.6 D. Nouadhibou 28.8 Inchiri 0 10 20 30 40 50 60 Percentage Source: 2012 Mauritania Labor Force and Informal Sector Survey. FIGURE 61  Distribution of unemployed population, by region (percentage) Hodh El Gharbi Hodh Charghi 4% 4% Assaba, 5% Gorgol, 2% Brakna, 9% Nouakchott Trarza, 2% 51% Adrar, 2% D. Nouadhibou, 12% Tagant, 5% Inchiri Guidimagha 2% 1% Tiris Zemour 1% Source: 2012 Mauritania Labor Force and Informal Sector Survey. 64 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H FIGURE 62  Unemployment rate, by age and educational level (percentage) 60 50.7 50 Unemployment rate (%) 40 14–25 30 26.4 26–64 14–64 20 14.7 16.8 15.4 17 12.4 10 6.7 7.4 13.2 13.6 10.1 5.0 5.6 10.4 8.4 0 4.6 5.3 Illiterate Reading & writing Primary Secondary Tertiary Population Source: 2012 Mauritania Labor Force and Informal Sector Survey. FIGURE 63  Unemployment rate by gender and educational level (percentage) 100 90 80 Unemployment rate (%) 70 60 Men 50 Women 40 30 20 10 0 Illiterate Reading & writing Primary Secondary Tertiary Population Source: 2012 Mauritania Labor Force and Informal Sector Survey. Youth Perceptions of Work and Skills FIGURE 64  Interest in manual work among youth, qualitative findings 71 50 50 54 57 53 Percentage 47 40 of youth Basic Primary/ Higher Vocational Tertiary Men Women Total lower secondary secondary Source: World Bank staff and CMAP. Mauritania Rapid Labor Market Diagnostic Survey of Youth Employment Constraints, 2016. N = 120. M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H 65 FIGURE 65  Share of youth reporting interest in improving various skills, qualitative findings 100 90 80 70 60 50 40 30 20 10 0 s n nt t cy ng T es n nt t n g T pe ce um s y en en er ie io io io ac IC in IC e e ra ag ti th nc at pm m at at v em em er ac sic ed te l so z O u e c c te ni pr i i Li ag ui ag ag un un nc Ba ga em eq d la an N an an va m m om an or bl m om n ce m Ad m m ig o co d s lc c nt am Pr e re lc an gi na ci O ie n Fo ra te te en te ng Cl sio O tra rit k et ni or es W S p an W m of Pl Sp l co pr c ca ifi ec ni ch Te Source: World Bank staff and CMAP. Mauritania Rapid Labor Market Diagnostic Survey of Youth Employment Constraints, 2016. N = 120. 66 M AU R I TA N I A   |   T R A N S F O R M I N G T H E J O B S T R A J E C TO RY F O R V U L N E R A B L E YO U T H