Against the backdrop of nearly 900,000 young South Africans writing their National Senior Certificate exams, lies a vivid juxtaposition of aspiration and harsh economic reality. With a staggering 45.5% youth unemployment rate, significantly higher than the national average of 32.9%, the transition from education to employment remains elusive for many, threatening to quash the dreams of future generations
This overwhelming crisis reveals a stark divide: between young people with work experience and those without. Young people with experience are four times more likely to secure employment, underscoring the critical need for programmes that bridge this gap by equipping more of them with the skills and practical experience essential for a thriving career. If we are to empower this generation, we must create pathways that turn their aspirations into tangible opportunities. This is why at Naspers, over the last five years, we have invested R300m in helping to address youth unemployment in South Africa through Naspers Labs.
The Labs programme provides the critical and in-demand skills necessary in today’s digital age. Of the 5,386 young people we have provided digital skills training to, more than 95% have been placed in roles in the ICT sector as professionals in fields such as AI, cyber security and data analytics.
We have been able to provide this through collaborating with a range of South African implementation partners such as Afrika Tikkun Services, CAPACITI and Zaio. While there are many organisations in the country working towards the provision of in-demand digital skills training for youth, real progress would require significant public and private sector co-operation.
In the absence of such support the country’s youth face the stark possibility of being excluded from the global job market. Without urgent intervention, this divide will only broaden, threatening to worsen the unemployment crisis and leave the country lagging in the race towards digital transformation.
Naspers’s recent research collaboration with the Mapungubwe Institute for Strategic Reflection (Mistra) into South Africa’s digital platform businesses, offers vital insights. The report reveals that this sector could be a game-changer for the country's growth, with projections showing it is capable of adding more than R91.4bn to the economy and creating more than 341,000 jobs — many of which would be filled by young people.
By 2035, the digital platform sector’s contribution to the economy is projected to rise from a modest 0.02% in 2022 to a substantial 1.38%. This growth highlights the sector's immense potential, not only for economic expansion but also for creating opportunities that empower young people.
Our research shows that digital platforms are deeply integrated into key sectors such as financial services, wholesale, manufacturing, and hospitality, with strong job multiplier effects in these areas. This means that as platforms grow, they create ripple effects — generating employment across multiple industries and driving inclusive growth, especially for the youth.
It is clear that the digital platform economy is not just an option but a necessity for economic revitalisation. What is encouraging is that the government, through the ICT and digital master plan, and the African continent, through the AU's 2020-2030 digital plan, recognise the urgency of acting to unlock this sector.
To secure South Africa’s economic and digital future, we must prioritise digital education at the basic education level and ensure that we are producing sufficient STEM graduates, doubling the current figure from 18% to 30% so that we’re aligned with leading innovative countries such as India, UAE and South Korea. China leads in the percentage of students in STEM fields with over 40%.
As we stand on the brink of a new digital dawn, the call to action has never been more urgent. South Africa’s journey towards a digitally-driven economy is not just about accelerating technological adoption; it’s about rewriting our collective future.
We envision a nation where every citizen is connected, empowered, and thriving in a digital world. A nation where the government and business partner to lead and drive digital transformation.
The stakes could not be higher. Failure to act now risks deepening the inequalities that exist in our society, leaving millions stranded on the wrong side of the digital divide. The future we seek requires a shared vision that goes beyond short-term gains. Government policies must align with the dynamic needs of a fast-evolving digital landscape, while businesses must embrace their role as partners in fostering sustainable long-term growth.
The time for bold, co-ordinated action is now — let’s seize this moment to shape a more equitable and prosperous future for all South Africans. Let’s place particular attention on our young people who are standing on the threshold of immense promise and potential. Together we can unlock the opportunities that will define their future and the future of our nation.
• Mahanyele-Dabengwa is South Africa CEO at Naspers
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