Social enterprises could play an important complementary role in creating more, higher-quality jobs across the African continent. This can in turn improve living conditions and achieve sustainable economic growth, according to a Siemens Stiftung report titled Social Enterprises as Job Creators in Africa.
The report considers how the impact-oriented business models of social enterprises are well placed to achieve higher job creation. This is owing to their tendency to operate in markets that are generally neglected by traditional commercial players. Social enterprises also have an explicit aim to provide employment and income opportunities for marginalised population groups such as women, or people affected by diseases or disabilities.
The study estimates that social enterprises have the potential to create more than a million additional jobs by 2030 in the 12 African countries it analysed. This would raise the number of direct jobs in social enterprises across the continent to an estimated 5.5 million.
Providing extensive analysis of the subject, country profiles and case studies, the report identifies the primary areas in which social enterprises require support to deliver on their potential. It identifies and elaborates on the need for:
- Increased financial support for social enterprises.
- Increased technical support for social enterprises.
- Strengthening the enabling environment of social enterprises.
- Strengthening the database of social enterprises. The study offers detailed recommendations to development partners of social enterprises. These include research institutions, donors, investors, advisors and policy makers that might help support social enterprises to achieve their potential for job creation in the researched countries.
Access the report: Social Enterprises as Job Creators in Africa: The Potential of Social Enterprises to Provide Employment Opportunities in 12 African Countries 2020-2030.
