Looming crisis as 1.34 million young Ghanaians out of work, school and training – Ato Forson

Finance Minister Dr Cassiel Ato Forson has warned of a looming youth employment crisis, saying 1.34 million young Ghanaians are neither working, studying nor receiving training.

Speaking in an interview on Thursday after presenting the 2027 Budget to Parliament, he described the situation as a threat that required urgent action.

“As we speak, 1.34 million Ghanaians, young people, are neither in employment, education, nor training. We call them the NEET. 1.34 million people. This is a bomb waiting to explode.”

Dr Forson warned that the number could rise to about 1.7 million over the next four years without intervention. He said the longer-term consequences could affect the country as a whole.

The minister identified the government’s New Economy agenda as its response. He said the policy would restructure the economy and direct investment toward sectors capable of generating employment.

“Our approach is to use this new economy to change the structure of the economy and invest in eight areas. This is where the jobs are.”

His warning came as he defended plans to ease the primary surplus target following two years of fiscal tightening.

Dr Forson said Parliament had approved a primary surplus target of 1.5% of Gross Domestic Product for 2025, but the government achieved 2.5%.

He described the additional percentage point as evidence of the government’s commitment to restoring confidence in economic management.

“In 2025, the anchor, as approved by Parliament, was for me to do 1.5% of GDP primary surplus. I did 2.5% of GDP, and I said to the world that that is our down payment for policy credibility.”

The minister argued that this earlier effort gave the government room to adjust its approach in 2027.

“So we saved 1% of GDP. Taking back 1% in 2027 would not harm the economy.”

He characterised the stabilisation measures as “shock therapy”, saying they had delivered results within two years that would otherwise have taken much longer.

With stability restored, Dr Forson said the government needed to confront the growing number of young people outside employment, education and training.

He presented investment in the New Economy agenda as the next step towards addressing that challenge.