Creating good jobs with the private sector

With growth rates of five per cent and more, many African economies are looking increasingly attractive to European companies and investors. At the same time, however, German companies are aware that they face obstacles to investment such as a shortage of qualified skilled workers.

Under the Special Initiative ‘Decent Work for a Just Transition’ (Invest for Jobs), the German Federal Ministry for Economic Cooperation and Development (BMZ) has put together a package of measures that support companies in investing in Africa and simultaneously create new opportunities at local level. The Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH is involved in implementing the initiative. It offers advice, helps with networking and provides support, including financial support, on removing obstacles to investment.

Support for 145 German companies  

Since 2019, GIZ has supported 145 German companies in their business activities in Africa via Invest for Jobs. A current example is Tunisia, where proximity to Europe, a skilled workforce and competitive wage costs are attracting foreign companies. Gruner AG from Baden-Württemburg manufactures coils and electromagnets in Tunisia. Nabil Rihani, Gruner's Plant General Manager in Tunisia, says: ‘We have grown considerably in the past five years. For organisational development to function, you need a strong management team that identifies with the company.’

Other companies also need qualified management personnel in order to expand locally. The Tunisian Automotive Association (TAA), founded by German SMEs with factories in Tunisia, therefore launched the Tunisian Automotive Management Academy (TAMA) in 2019 with the support of GIZ. Since then, TAMA has been training the necessary managers. More than 2,500 employees from 55 German, European and Tunisian companies have now taken part in training courses. This has enabled the companies to open new production lines and create more than 4,500 good jobs, including almost 3,000 for women.

Jobs improve local prospects  

Africa’s economy grew by 3.9 per cent in 2025, according to an estimate from the African Development Bank (AfDB). Despite this, young people can often only find casual or low-wage work, partly because only a small part of the growth is in industry. Many consider migrating to Europe in search of good jobs. With Invest for Jobs, GIZ is creating new opportunities at local level – and supporting companies in investing in Africa at the same time. Since 2019 GIZ has cooperated with around 6,000 companies to create more than 70,000 ‘good’ jobs in eight African partner countries, approximately half of which are for women (as at June 2025). To be ‘good’, these jobs must offer employment for a minimum length of time, pay a wage above the legal minimum and fulfil the core labour standards of the International Labour Organization (ILO).