The World Bank warns that the digital skills training system in South Africa does not meet the needs of employers. Despite high unemployment, the country faces a shortage of specialists in areas such as software development, network administration, and cybersecurity.
In a report titled 'From Demand to Supply: Strengthening South Africa's Digital Skills System,' a structural misalignment was identified between what the labor market requires and what the education and training system produces. This report points to a lack of critical technological competencies amid 8.5 million people remaining unemployed.
Of the 350 professions recognized as critical by the Department of Higher Education and Training (DHET), 32 are in Information and Communications Technology (ICT) fields, covering National Qualifications Framework levels from five to eight, including technician-level roles and applied specializations up to degrees and advanced qualifications.
According to a 2024 survey of graduates and employers, the rate of unfilled vacancies in ICT-related engineering disciplines was approximately 7%. Demand analysis showed 380 vacancies for software developers, 285 for network engineers, and the remainder for ICT security specialists.
These findings emerged against a backdrop of a difficult economic situation. Statistics South Africa recorded an official unemployment rate of 33.6% in the second quarter of 2026, when the number of unemployed increased by 345,000 people, reaching 8.5 million. The International Monetary Fund forecasts South Africa's economy to grow by only 1.1% in 2026.
The report suggests that the deficit may be related not only to a lack of candidates but also to discrepancies in the skills and experience of applicants, as well as the geographical location of candidates and vacancies.
Referencing the IITPSA ICT Skills Survey for 2024, the World Bank noted that 26% of respondents attribute the skills gap to deficiencies in basic education, 24% to a lack of graduate flow, and 21% to rapid technological progress.
Weaknesses were also found at earlier stages of preparation. Foundational digital skills were termed a 'bottleneck at the entry level,' linked to unequal access to devices, reliable connectivity, and digital educators.
It was observed that some students entered post-school education without sufficient foundational digital experience, limiting their ability to advance to more complex courses. Graduates in advanced ICT fields concentrated in areas such as IT management, business systems, and digital design or user experience. However, the number of graduates was significantly lower in areas like data analysis, cybersecurity, cloud technologies, and infrastructure, as well as in software development related to the most hard-to-fill positions.
The report established that new program accreditations between 2018 and 2021 mainly expanded already dominant fields instead of reorienting training towards deficit areas. The demand for digital capabilities was not limited to narrowly specialized technical jobs. Analysis of online job postings showed that 44.8% mention transversal digital skills, including general work abilities such as digital communication, collaboration, and problem-solving. Basic ICT skills appeared in 30.9% of listings, and advanced ICT competencies in 26.4%.
The report, developed by the World Bank in collaboration with DHET and funded by the Mastercard Foundation, relied on qualification data, online job postings, and consultations with government, educational institutions, and employers. The online vacancy analysis covered postings from October 2020 to June 2024, while stakeholder consultations took place from October 2024 to August 2025.
In conclusion, it was determined that although several government departments, vocational training bodies, and educational institutions are responsible for developing digital skills, 'no single organization bears full responsibility' for managing the system from skills demand to education and training supply. It was emphasized that formal approval of new programs by higher education and qualification bodies can take years, whereas industry demand can change within months.
According to the MICT SETA study cited in the report, unemployment among participants after completing the program decreased from 72% in 2023 to 49% in 2024, and the average monthly salary increased from 7,207 to 11,737. More than a quarter of participants found employment within one month. The World Bank insists that the priority for South Africa should be implementing existing plans rather than developing a new strategy, as the task is about 'turning existing policy intentions into implementation.'