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NIGERIA Impact of IT Training on Youth Employment Mr. Y.S. Labaran, Mr. F.O. Bajowa, Mr. Hamza Bello, Mrs. Yemisi Joel-Osebor
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Nigeria needs more jobs Nigeria needs more jobs, especially among the young population 1 in 10 new entrants to labor force find formal sector jobs 30% of workforce inactive Less than 9% formal employment 50% of 15-24 year olds unemployed
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Title INTERVENTION DESCRIPTION What is the intervention? Intervention: IT training for secondary school graduates to work in offshore call centers. Motivation: 1. Business processing outsourcing (BPO) industry growing 25-30% a year 2. India receives same amount per year ($50 Billion) from IT-enabled services as Nigeria does from oil 3. Building IT infrastructure is large part of GEMs project
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Intervention is part of a larger project GEMS (Growth & Employment in States) Construction and real estate Meat and leather ICT Broadband connectivity Management and vocational skills Access to finance ICT parks
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Title EVALUATION QUESTIONS Evaluation questions of interest Can IT training of youth facilitate their employment and improve their earnings? What do they do with any increased earnings? What effects does this have within the household? Does this make youth financially independent from their parents? Does it change transfers and borrowing behavior? Does it change their activities during leisure time? Does the impact differ by gender?
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Title EVALUATION DESIGN More background Accreditation of IT training centres is a part of the GEMS project 6 centres expected to be accredited very soon Each center can accommodate approximately 300 students per year 18 week course Ultimate goal: Up to 100,000 students trained Trying to train 100,000 wae
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Title EVALUATION DESIGN Evaluation design 3 options: 1. Pure lottery after meeting basic eligibility criteria secondary school graduate proficiency in English willingness to pay $500 fee, $250 returned upon successful graduation Also need to experiment with subsidies to see if the fees exclude too many poor, high-potential people. to train,000 wae
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Evaluation design 2. Regression discontinuity design: Centers administer an aptitude test and set a cut-off mark. Everyone above cut-off gets the training. Compare those just to the left of the cut-off mark to those just to the right. Blue line: Cut-off mark
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Evaluation design 2. Regression discontinuity design: This depends on how many students fall within the brackets. If there are too few students……… Blue line: Cut-off mark
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Evaluation design 3. Lottery above cut-off mark: randomly choose students who score above the cut-off mark. Those not chosen get a slot in the following year. Blue line: Cut-off mark Random selection among applicants above cut-off
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Title SAMPLING AND DATA Data and sampling Data Online survey of all applicants in both treatment and comparison groups Sample among all of these for a face-to-face survey Aiming to interview 1,000 treated and 1,000 comparison students across 6 training centres by end of 1 year of training. 2,000 interviewed by web survey (with voucher as compensation) 1,000 interviewed in household
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Title TIMELINE FOR IMPACT EVALUATION Timeline Need to wait for centres to be accredited and for them to finish training a few batches This should be finished byAugust 2010 1. Advertising and recruitment of applicants [2 months] 2. (Aptitude test) 3. Baseline surveys [1 month; could happen at registration] 4. Random assignment (if necessary) 5. Announcement of selection 6. Training [18 weeks per stream] 7. Endline surveys [6 months after end of program]
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Title IMPACT EVALUATION TEAM: STAFFING Staffing Main project coordinator Make sure initial recruitment and screening occurs Main liaison with training centres Conduct lottery (if necessary) Ensure correct treatment assignment Could be firm or individual depending on number of applicants Researcher to design surveys Data collection firm Data collection supervisor (M & E specialist) Arianna Legovini to work with M & E team to analyze data in Lagos in July/August 2011
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Title BUDGET Budget Accreditation: Waiting for bids…Approximately $250,000 Data collection: Household surveys: $200,000 Web-based survey: $20,000 Compensation for web-based survey: $10,000 Staffing: Mostly covered under budget for PIU
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