Somalia’s labor market displays some unique traits for its level of income. Somalia has very low labor force participation, likely driven by the limited viability of agricultural and low non-agricultural labor demand. There is also evidence of a dual labor market: i) a small pool of good jobs, typically accessed by the better educated, and ii) a larger, but still limited, pool of low-quality, low-pay jobs that individuals do out of necessity. These better jobs are often within the government, international organizations, or NGOs. Policies should focus on increasing human capital and overall labor demand.
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