The World Bank Group has announced a comprehensive three-part strategy aimed at improving employment opportunities by enhancing conditions, reforming policies, and unlocking private-sector potential.
During a town hall with Civil Society Organisations (CSOs) on the sidelines of the 2025 Annual Meetings of the IMF/World Bank Group in Washington, DC, World Bank President Ajay Banga elaborated on the approach.
He emphasized that job creation is essential for public sector growth but requires the right environment to thrive. “Our economists cannot hire the right people unless the conditions to start, grow, and employ are in place,” Banga stated.
The three-pillar strategy includes governments leading efforts to build human and physical infrastructure such as roads, ports, electricity, and digital systems. These investments are financed by the World Bank’s public arms, the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA), which also help countries optimize resource use and establish rules for public-private partnerships.
The second pillar focuses on creating a business-friendly environment, with clear land rights, predictable taxes, and transparent institutions. The World Bank supports these reforms through policy tools, knowledge sharing, and performance-based financing.
The third pillar involves enabling the private sector to scale and take risks by providing capital, equity, guarantees, and financing solutions for investor dispute resolution. This holistic approach, combining foundational infrastructure, policy reform, and capital investment, aims to transform ambitions into tangible job creation.
Banga highlighted five key sectors with strong job-creation potential close to communities, avoiding reliance on outsourcing from Western countries. These sectors include infrastructure and energy, agribusiness, healthcare, tourism, and value-added manufacturing.
He described these industries as growth drivers that attract genuine investment requiring capital, technology, and private-sector innovation. The World Bank’s private sector lab is designed to address persistent barriers that prevent investors from engaging and develop tools to overcome these challenges.
“This strategy is about generating locally relevant jobs and fostering sustainable economic development,” Banga concluded.