Africa stands on the brink of a significant demographic shift. By 2050, projections indicate that one in four workers globally will be African, which could generate a substantial demographic dividend. However, a major barrier remains.
UNICEF’s Fit for the Future report (2024), co-written by the Learning for Well-being Institute, highlights that social spending on children is heavily backloaded. Only 6.5% of spending targets children under five, compared to 27% in G20 countries. To unlock their demographic potential, African countries must urgently address policy gaps in early childhood education, childcare, and income support.
This study analyses key trends, financing mechanisms, and policies shaping human capital investment in Africa. It focuses on the persistent underinvestment in early childhood, identifying strategic opportunities to improve public finance efficiency and strengthen long-term development outcomes.
The research informed UNICEF’s African Flagship Report 2025, aimed at generating momentum for meaningful policy reform and financing commitments in the continent’s human capital strategy.
The study was commissioned by the UNICEF Eastern and Southern Africa Regional Office and written in collaboration with Sophie Mackinder (University of York), John Hudson (University of York), and David Harris (Columbia University).
