Global job creation challenge is emerging as a key issue for developing economies, World Bank President Ajay Banga said on February 11, 2026. Writing for Bloomberg, he warned that 1.2 billion young people will enter the workforce in the next 10 to 15 years, while only 400 million jobs are expected.
What Changed in the global job creation challenge
Ajay Banga said demographic growth is reshaping labour markets faster than many governments are prepared for. He noted that the scale of new entrants into the workforce is unlike anything the world has seen before. As a result, the gap between young workers and available jobs is widening quickly.
He added that this challenge is often framed only as a development issue. However, he stressed that it also has serious implications for economic stability and national security.thout enough productive employment, countries may face rising pressure on institutions, social unrest, and greater insecurity.
Banga said the issue did not receive enough attention at the Davos meeting last month, where discussions were dominated by more immediate crises.
1.2 billion new workers developing countries face employment gap
The World Bank estimates that developing economies will add 1.2 billion new workers developing countries to their labour force over the next decade and a half.
Current projections suggest only about 400 million jobs may be created in that same period.
Banga said failing to connect young people to productive work can increase institutional pressure, irregular migration, and conflict risks.
World Bank pillars to address the global job creation challenge
Banga said the World Bank Group is aligning finance, private capital, and risk tools around three pillars. The first pillar focuses on infrastructure, including power, transport, education, and healthcare. He cited a skills centre in Bhubaneswar that trains nearly 38,000 people each year with high job placement rates.
The second pillar targets business-friendly regulation so firms can invest with confidence. He said micro-, small-, and medium-sized enterprises remain central to employment generation.
The third pillar aims to help businesses scale through financing, guarantees, and political risk insurance. One example includes a trade-finance guarantee supporting Banco do Brasil, unlocking around $700 million for small businesses.
Banga said job growth potential remains highest in infrastructure, energy, agribusiness, healthcare, tourism, and value-added manufacturing.
