KIPPRA released a new analysis indicating that 68 per cent of TVET graduates in digital-related programmes find jobs within six months, the highest rate among sectors studied.

The same analysis shows hospitality and tourism graduates achieve a 55 per cent placement rate, construction 51 per cent, agriculture 42 per cent and manufacturing only 38 per cent.

The report notes that almost half of all TVET graduates remain unemployed after six months despite employers reporting shortages of skilled workers in those fields.

KIPPRA estimates the skills gap costs the Kenyan economy roughly KSh50 billion each year through lost productivity, extra training expenses and missed value-addition opportunities.

Manufacturing, which contributes about 7.8 per cent of GDP against a 15 per cent target, suffers from acute demand for machinists, welders, quality-control technicians and industrial electricians, yet only 38 per cent of its TVET graduates secure work.

Agriculture, accounting for roughly 22 per cent of GDP and employing around 40 per cent of the labour force, records a 42 per cent graduate employment rate and faces shortages in precision agriculture, mechanisation, irrigation management and agro-processing; post-harvest losses in horticultural chains remain at 30-40 per cent.

Construction, linked to the government’s housing and infrastructure programmes, records a 51 per cent placement rate but still lacks enough plumbers, electricians, masons and site supervisors.

The analysis highlights that Kenya has about 2,600 accredited public and private TVET institutions with roughly 350,000 students each year, yet TVET enrolment represents only 15 per cent of post-secondary study, short of the 30 per cent target.

Only around 30 per cent of TVET graduates complete substantive industry attachments before graduating, and curriculum development cycles of three to five years are described as incompatible with rapid technological change.

The report also references the 2026 African Youth Survey, which placed Kenya last among 16 countries in youth confidence about the economy and future jobs.

It adds that the gig economy absorbed many young workers, with an estimated 782,300 jobs created in 2024, about 90 per cent of which were informal.

KIPPRA calls for more demand-driven training, stronger links between TVET centres and employers, paid internships and expanded apprenticeship schemes to bridge the divide between training and employment.