However, these [government] efforts [in the field of youth] have no strategic focus, reference framework or coordination and cannot suffice to meet the legitimate expectations of young people and to solve the problems facing them. These problems include: (i) access to an education that responds to the needs of the market; (ii) unemployment – over 90 per cent of young people between 15 and 24 years of age have no activity; and (iii) confidence in the future of the country – more than half of the young people are thinking of emigrating.

Unemployment is endemic in the country and particularly affects the young. Despite a recent reduction, the most recent estimates show an unemployment rate of 54% of the active population in 2010, compared with 59% in 2002. The country does not currently have a formal strategy to deal with youth unemployment, but has put in place several initiatives.

The two main initiatives set up to promote youth employment are the young graduate loan and the young promoters’ loan. The young graduate loan scheme was set up in 2011 by the Djibouti social development agency ADDS (Agence djiboutienne de développement social) with funding of USD 40 million to support the business start-up projects of young graduates. … The young promoters’ loan scheme was launched in 2011 and is aimed at those with projects linked to the primary sector (fisheries, agriculture and livestock), to support business start-ups and to improve poor development in the sector. …

While it is true that the economy generates few new jobs, there is also an imbalance between the needs of the labour market and the skills of young people.

The unemployment experienced by young people is explained by the problems that exist in demand as well as supply. On the supply side, the country’s economy generates few jobs. In 2010, 37 837 waged jobs were recorded, 30% of which came from the public sector. Between 2009 and 2010 only 2 473 jobs were created. This low level is explained by the fact that the private sector is not yet sufficiently well developed to create enough jobs, particularly for new graduates. However, as well as the low level of jobs created each year, there is also a strong mismatch between labour market needs and young people's skills. Furthermore, employers are not prepared to take on young graduates who have no professional experience, demanding at least two to three years of previous experience.

On the demand side, inadequate skills compared with the needs of the labour market result in large part from the fact that the state has historically been the main provider of jobs in the country. So the courses offered, particularly by the university, have been aimed at civil service careers to the detriment of the private sector. While the state has frozen recruitment for several years, with the exception of the ministries of education and health, adjustments in terms of the courses offered and of attitudes do not happen overnight. The result is high expectations amongst the young, especially graduates, for whom the ideal job is in the civil service. Furthermore, they base their salary expectations on public sector rates, which have historically been relatively high, thanks to the country’s rent income.