Kenya’s higher education landscape has expanded rapidly over the last two decades, with 79 universities and degree-awarding institutions producing over 60,000 graduates annually.

This academic boom has been celebrated as a major stride toward an educated, skilled, and competitive workforce. However, for many graduates, the journey from the graduation stage to the job market is fraught with frustration and uncertainty.

Despite their academic qualifications, a large number of graduates remain unemployed or underemployed, working in low-skill, informal jobs that do not match their training. According to the Kenya National Bureau of Statistics (KNBS), youth unemployment remains stubbornly high, and employers frequently report that many graduates lack the practical skills, experience, and soft competencies required in today’s dynamic workplace.

Addressing the employability crisis is not just about reducing joblessness—it is a national imperative. Kenya’s future economic growth, social stability, and ability to harness the potential of its youthful population depend heavily on creating pathways for young people to thrive in meaningful work. As the country eyes a knowledge-based economy under Vision 2030, which is less than five years away, bridging the gap between education and employment has never been more urgent.

Current graduate employment

Kenya’s job market is struggling to absorb the rising number of university graduates. According to the KNBS, the national unemployment rate is 12.7 per cent, but youth aged 15–34 face a much higher rate of 67 per cent. In 2023, the economy created 848,200 new jobs, yet 85 per cent of these (720,900) were in the informal sector—mainly in retail, wholesale, hotels, and restaurants—while only 127,300 were in the formal sector.

As a result, many graduates find themselves underemployed, working in jobs that do not require a university degree, such as construction or street vending. This mismatch points to a disconnect between academic training and market demands.

A World Bank report reveals that it takes Kenyan graduates an average of five years to secure employment. Some are turning to digital work—transcription, social media management, or copywriting—but these roles often lack stability and benefits. Alarmingly, many graduates are migrating to Gulf countries for low-paying jobs like cleaning, guarding, and warehouse work, often under harsh conditions, despite government promises of decent overseas employment.

To address this crisis, Kenya must align university curricula with job market needs, expand formal sector jobs, support employability initiatives, and provide incentives such as tax rebates to encourage local job creation.

Skills mismatch

A major barrier to graduate employability in Kenya is the persistent skills mismatch—the gap between what universities teach and what the job market demands. While higher education remains focused on theory, employers increasingly seek candidates with practical experience, digital literacy, and strong soft skills. This disconnect is worsened by outdated curricula, some of which have not been revised in over a decade. For example, computer science students often graduate without knowledge of current programming languages or agile methods used in tech industries.

Moreover, industrial attachments and internships are either poorly coordinated or in irrelevant attachment places, depriving students of essential exposure to real-world work environments. As a result, many graduates are unfamiliar with teamwork, problem-solving, or office culture. Compounding this, universities often neglect soft skills like communication, critical thinking, and adaptability—skills crucial in every profession.

Employers are feeling the strain. According to the Kenya Private Sector Alliance (KEPSA), many companies spend additional resources retraining graduates. In sectors like ICT, engineering, and hospitality, the gap is especially glaring. Graduates often lack coding experience, technical hands-on training, or customer service skills. Addressing this issue requires comprehensive education reforms, including curriculum updates, stronger industry-academia ties, and integrated skills training to prepare graduates for today’s dynamic workforce.

Enhancing employability

In response to the growing concerns over graduate unemployment and underemployment in Kenya, a variety of initiatives have emerged to improve employability by bridging the skills gap and widening access to work opportunities. The government has taken notable steps, including the Ajira Digital Program, developed by the Ministry of ICT in partnership with KEPSA.

This initiative trains youth in digital skills such as freelancing, transcription, and virtual assistance, helping over 100,000 young people find online work opportunities by early 2024. Similarly, the Kenya Youth Employment Opportunities Project (KYEOP), supported by the World Bank, provides life skills training, internships, and business support to youth aged 18–29, particularly from underserved areas. Many beneficiaries have gone on to start businesses or secure formal jobs.

At the university level, institutions are expanding career services to support job placements and skill development. While still under-resourced in some cases, universities like the University of Nairobi and Strathmore University are leading with job fairs and structured mentorship. Industrial attachments, now a standard degree requirement, offer practical experience, though effectiveness varies based on placement quality and supervision. Some universities also run entrepreneurship hubs, such as Kenyatta University’s Chandaria Centre, which nurtures student business ideas with mentorship and seed funding.

The private sector complements these efforts through graduate trainee programs, internships, and hackathons, particularly in ICT, finance, and engineering. Companies like Safaricom and KCB Bank offer structured exposure to real-world work environments.
TVET institutions also provide practical skills in high-demand areas like plumbing, food production, and mechatronics, offering a hands-on alternative to traditional university education. In a recent report, students are shunning degree programs placement for TVET courses despite meeting the degree cut-off points. This is mainly because TVET graduates are readily employable. Together, these interventions form a broad strategy to boost graduate employability—but greater coordination, investment, and inclusivity remain vital for long-term success.

Opportunities for improvement

Despite the challenges surrounding graduate employability in Kenya, several promising avenues for reform offer hope for a more dynamic and inclusive labour market. With the right strategies, the nation can harness the potential of its growing youth population to drive economic growth and innovation.

One key area is curriculum reform, where outdated and theory-heavy university programs must be aligned with labour market demands. Embracing competency-based education (CBE), which emphasises skills application over rote learning, can enhance graduate readiness. Institutions like Strathmore University are already integrating CBE to ensure students apply their knowledge in real-world scenarios.

The area of micro-credentials, has emerged as a timely and innovative opportunity to the current job challenges. Defined as short, targeted courses that validate specific skills or competencies, micro-credentials offer a more flexible and personalised approach to learning that compliment conventional degree programs.

University-industry linkages must also be strengthened. Partnerships such as “Engineering without Borders” and IBM’s “Digital-Nation Africa” provide hands-on technical training and collaborative learning. Involving industry experts in curriculum design and student mentorship will ensure that education remains relevant and practical.

Equally important is the development of soft skills such as communication, problem-solving, and adaptability—often neglected in academia.

With formal employment opportunities limited, promoting entrepreneurship is essential.

By focusing on skills, innovation, and collaboration, Kenya can transform its higher education system and create a more inclusive, responsive, and opportunity-rich future for its growing youth population.

–The Author is a Professor of Chemistry at University of Eldoret, a former Vice-Chancellor, and a Quality Assurance Expert