World Bank Approves $100M Project to Boost Higher Education and Graduate Employability in Tunisia

Tunisia has made considerable progress in modernizing its higher education system to better align with labour market needs.

The World Bank’s Board of Directors has approved a US$100 million initiative aimed at enhancing the employability of Tunisian graduates and strengthening the governance and quality of higher education and scientific research institutions. This new project named the Strengthening Tertiary Education for Employability, Innovation, and Resilience (STEEIR) Project, is designed to equip students with market-relevant skills while fostering reforms to improve university management and strengthen industry-academia collaboration.

Addressing Key Challenges in Tunisia’s Higher Education System

Tunisia has made considerable progress in modernizing its higher education system to better align with labour market needs. Reforms have expanded access to high-demand fields, updated curricula, and bolstered partnerships between universities and employers. However, significant challenges remain, particularly concerning youth unemployment and the lengthy transition from education to employment.

A major obstacle is the private sector’s limited capacity to generate sufficient high-skilled job opportunities. Additionally, structural barriers—such as skills mismatches, gaps in work-based learning, and limited practical training—continue to hinder graduates' employment prospects. In response to global megatrends like digitalization and climate change, Tunisia must also ramp up investment in green skills, digital literacy, and health education to ensure the future competitiveness of its workforce.

STEEIR Project: A Strategic Approach to Reform

To tackle these challenges, the STEEIR Project will focus on two primary components:

1. Enhancing Degree Programs for Greater Employability

   • Strengthening the quality and relevance of academic programs in high-demand fields.
   • Modernizing university campuses and infrastructure.
   • Expanding partnerships with employers to increase internship and job placement opportunities.

2. Improving University Governance and Digital Transformation

   • Implementing system-wide governance enhancements to foster efficiency and accountability.
   • Supporting digital transformation in higher education institutions.
   • Strengthening quality assurance mechanisms to maintain academic excellence.

A Commitment to Human Capital Investment

“Enhancing the partnership between higher education and the private sector is essential for Tunisia’s economic growth and creating sustainable job opportunities, particularly for youth and women,” said Alexandre Arrobbio, World Bank Country Manager for Tunisia. “The World Bank remains committed to supporting Tunisia’s investment in Human Capital, which is key to empowering individuals and helping them contribute to the economy. Reforming higher education will ensure that students gain the skills needed to thrive in a changing labor market.”

Building on Past Successes

The STEEIR Project builds upon the achievements of the Tertiary Education for Employability Project (PromESsE), which was completed on December 31, 2024. PromESsE successfully benefited over 22,000 students by introducing new degree programs, certifications, and career centers while securing international accreditations for four medical and engineering schools.

Himdat Bayusuf, Senior Education Specialist and Task Team Leader for the project, stated, “The STEEIR project will build upon these accomplishments, further aligning higher education with the evolving needs of the labor market. Our goal is to achieve 85 accredited programs and support at least 145,000 students and faculty members by 2030.”

Through this ambitious initiative, Tunisia is poised to strengthen its higher education system, ensuring that graduates possess the skills and expertise needed to navigate the modern workforce and contribute to sustainable economic growth.