How does a vocational training program contribute to poverty reduction within a sector-wide approach? - the Uganda case

Investment in education contributes to the accumulation of human capital. Primary education especially helps reduce poverty by increasing the productivity of the poor, reducing fertility, improving health, and equipping people with the skills they need to participate fully in the economy and society. Thus education enhances prospects for economic growth. The high performing East Asian economies achieved high economic growth rates mainly on account of having an educated society (World Bank, 1993). Investment in higher education is estimated to have social rates of return of 10% or more in many low and middle-income countries and thus contributes significantly to increases in labour productivity and higher long-term economic growth (World Bank, 1994). The Poverty Eradication Action Plan (PEAP) that was first prepared in 1997 re-affirms the importance of education. PEAP recognises that education should contribute significantly to poverty reduction and thus prioritises investment in education, especially primary education. In addition to the fourth pillar of PEAP of improving the quality of life of the poor through delivery of social services, education contributes significantly to the realisation of the third pillar of PEAP, that of increasing the incomes of the people. The latest PEAP (December 2003) consists of five pillars including human resource development as fifth pillar. In this context and with respect to the bulge of primary school leavers now seeking for further education, PEAP now recognizes the ongoing BTVET [Business, Technical and Vocational Education and Training] Reform towards a more relevant system, both for employers and trainees, as a priority area. Because of these multiple benefits, education is a high priority in public policy and consequently in Uganda’s PEAP revision process. The benefits of education are long-term; immediate impact could be difficult to measure. Given the level of investment in education both by the public and private sectors, the need to consolidate the gains achieved so far is paramount because the benefits of education are cumulative.

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Collections of papers presented under each theme are indexed from TD/TNC 81.453 to TD/TNC 81.457; selected papers from this theme are indexed from TD/TNC 81.468 to TD/TNC 81.479. Show less