Core-Elements-1-3-economic-demand

​​​

Making VET systems responsive to the demands of the economy requires a careful and systematically repeated analysis of employment opportunities, labour markets and training needs. Here, we have to distinguish between:

• the modern sectors of the economy;
• informal employment opportunities;
• the subsistence economy and helping family members; and
• domestic labour markets and regional and international labour markets

Although the situation differs from country to country, it is a common feature of economies in developing countries that the number of job-seekers far exceeds the number of available jobs. That is why self-employment is an important segment of the economies in most of our partner countries, which implies that VET systems have to consider entrepreneurship training as an important element of their service provision. Labour migration is another phenomenon that is gaining in importance in many partner countries. Some countries follow a strategy of labour export. This is why VET systems and interventions by donor agencies may include preparation measures for organised migration.