SOURCE: Energy Capital & Power
The oil, gas and mining sectors, which currently employ around 1% of Africa's economically active population, can do even more to create both direct and indirect, more stable wage employment that supports, not only economic growth, but also the protection of the environment and the promotion of
social inclusion.
Preparatory Benefits that extractive industries can bring to developing countries include revenues to countries from production sharing agreements, royalties and income taxes. Promoting extractive industries could also generate broader economic benefits and promote inclusive growth and sustainable development.
Extractive industries, given their capital-intensive nature, probably cannot create much direct employment, but their linkages with the broader economy can help generate induced employment. Through these links, the sector can connect with input suppliers; the resulting products are transformed into value-added products; It generally generates demand for local goods and services, and creates an enabling environment for new industry sectors that draw on skills and capabilities acquired from extractive industries.
To compare Africa's potential with the experience of a developed country, a recent study of the US oil and gas sector found that the industry as a whole generated more than 9.3 million permanent jobs worldwide. the country, of the 3.1 million in retail trade, and half a million in health services. These jobs are not created automatically. Specific policies, such as the establishment of links, the elimination of entry barriers to certain value chains in the sector, the construction of the necessary infrastructure to attract investments, the improvement of access to financing and the necessary professional development of human capital , are crucial for job opportunities to proliferate and employment to increase
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