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EduWATCH proposes skills development levy to boost TVET funding

EduWATCH proposes skills development levy to boost TVET funding
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By: Benjamin Nii Nai Anyetei 

Education think tank, Africa Education Watch (EduWATCH) has proposed the introduction of a skills development levy as part of government plans to legislate and operationalise a Technical and Vocational Education and Training (TVET) Fund, aimed at strengthening skills training across the country.

The proposal was made by the Executive Director of EduWATCH, Kofi Asare, during an interview at the organisation’s Education Financing Conference on TVET funding, held on Wednesday, December 17.

According to Mr Asare, Ghana’s TVET system is grappling with serious financing gaps that undermine practical training and skills development. He noted that while it costs about GH¢9,000 annually to provide adequate practical training materials for a welding student, government funding under the Free TVET policy currently provides just GH¢33 per student for such materials.

“If Ghana wants quality skills, the Ministry of Education must urgently review the Free TVET financing framework,” he stressed, describing the current funding model as grossly inadequate.

Mr Asare said progress in skills development across TVET institutions continues to be constrained by major infrastructure deficits, limited opportunities for hands-on training, and inadequate government funding, making it difficult for institutions to deliver industry-relevant skills.

As part of solutions, EduWATCH is recommending a skills development levy, which would allow industries that benefit from TVET graduates to contribute to skills training, either directly or indirectly.

“We are also recommending that a skills development levy should be introduced in Ghana so that industries that benefit from TVET graduates will have the opportunity to contribute to skills training,” he said.

He further called for a comprehensive re-costing of technical and vocational education, arguing that the existing financing framework is no longer fit for purpose and does not reflect the true cost of delivering quality TVET programmes.

EduWATCH believes that operationalising a dedicated TVET Fund, supported by sustainable financing mechanisms such as the proposed levy, will help expand infrastructure, improve training quality, and better position TVET graduates to meet the needs of Ghana’s labour market.

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