Benin—Investing in Education to Reap the Demographics Dividend1
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International Monetary Fund. African Dept.
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As for the rest of Sub-Saharan Africa, and in contrast to the rest of the world, Benin benefits from a young demographic (median age of 18), with projected population growth translating into new labor force entrants in the coming decades. Despite progress in recent years, access to secondary schooling and literacy rates remain below regional peers. To reap the demographic dividend, Benin must continue to step up investment in education—estimations suggest that public spending in education as a share of GDP would need to double by 2030 from the current 3.8 percent for Benin to reach universal primary and secondary enrollment rates.

As for the rest of Sub-Saharan Africa, and in contrast to the rest of the world, Benin benefits from a young demographic (median age of 18), with projected population growth translating into new labor force entrants in the coming decades. Despite progress in recent years, access to secondary schooling and literacy rates remain below regional peers. To reap the demographic dividend, Benin must continue to step up investment in education—estimations suggest that public spending in education as a share of GDP would need to double by 2030 from the current 3.8 percent for Benin to reach universal primary and secondary enrollment rates.

A. Demographic Trends in Benin

1. Benin’s population is significantly young, with population trends suggesting it will remain so in the future. Sub-Saharan Africa (SSA) is home to the youngest population in the world, with around 70 percent of the population below the world median age of 30. Benin is no exception, with a median age of 18 years of age, similar to SSA (Text Figure 1). And while world population growth slows on the back of ageing demographics and declining fertility rates, population growth in Benin (and SSA) will significantly pick up in the coming decades, given the combination of younger demographics, declining child mortality, and higher fertility rates (Text Figure 2) compared to the rest of the world (currently around 5 live births per woman and projected to stay above two at least until 2100). As a result, Benin’s population is projected to more than double between 2024 and 2100, reaching 46 million by 2100 from 13 million today (Text Figure 3).

Text Figure 1.
Text Figure 1.

Median Age in Benin, 2021

(Years of age)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources: UN World Population.
Text Figure 2.
Text Figure 2.

Total Fertility Rate

(Live Births per Woman)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources : UN World Population
Text Figure 3.
Text Figure 3.

Future Population Estimates

(Millions)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources : UN World Population

2. A young population in Benin would translate into a large working-force population. Based on the current demographic trends, Benin’s working-age population is anticipated to accelerate rapidly, becoming the largest portion of the country’s population: in 2021, the bracket of the population aged between 0 and 14 year-old made up the largest share of the population (42 percent, around 5.5 million), while the working-age population (people with ages between 25 and 64) made 35 percent of the population (around 4.5 million). Projections anticipate that by 2050, the population aged between 25 and 64 will account for 42 percent of Benin’s total population (and 51 percent of Benin’s population by 2100), reaching about 11 million individuals (Text Figure 4).

3. At the same time, the total dependency ratio in Benin is expected to fall. While the working-age population expands in Benin, the total dependency ratio – defined as the ratio of the population below age 25 and above age 65 to the population between the age 25 and 65 – is projected to further decelerate from its current level of around 190 percent, converging towards the world norm of 110 percent (Text Figure 5). This means that, as time goes by, the number of dependents that working adults would need to care for will decline, therefore alleviating the financial burdens on the working-age population, and potentially allowing for more resources to be invested towards education and health.

4. The combination of a large working-age population and declining dependency ratios in Benin present an opportune moment for the country. In the global context of an ageing world population, SSA’s population will become the youngest and most sizeable proportion of the global workforce (IMF REO 2024). However, its ability to seize this opportunity will depend on its readiness, specifically its education and skill levels. Similarly, Benin’s workforce must be equipped to reap the demographic dividend of a younger population with a declining dependency ratio.

Text Figure 4.
Text Figure 4.

Age-Group Demographics

(Millions)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources: UN World Population.
Text Figure 5.
Text Figure 5.

Total Dependency Ratio

(Percent)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources: UN World Population.

5. This paper investigates access to education and its outcomes in Benin, comparing it with peers, and discusses the policy actions that would be needed for Benin to reap the dividends of its young and growing population.

  • Data shows that Benin has made significant strides in improving access to education, by improving schools’ infrastructures, and increasing the quality and wages of teachers.

  • Enrollment and completion rates have progressed especially for students in primary education but have lagged for secondary education, suggesting high dropout rates.

  • Literacy rates of the adult population have significantly improved over the past decade but are lower than the SSA average.

  • Benin has increased investment in education in recent years, from modest levels, but more needs to be done for it to converge to its SDG goals. Education spending as a share of GDP will need to double by 2030, for Benin to reach universal primary and secondary enrollment rates.

6. The rest of the paper is structured as follows. Section B presents stylized facts on education in Benin, covering the recent developments in the education infrastructure, as well as the current education outcomes. Section C presents the empirical analysis for estimating the education gaps in Benin, and the potential gains from increasing the education level of the working-age population. Section D concludes.

B. Education in Benin: Stylized Facts

Access to Education

7. School infrastructure in Benin has improved. Benin made strides to improve the infrastructure of its academic institutions over the past years: access to electricity in primary schools increased significantly between 2016 and 2021, from 20 percent to almost 35 percent. Meanwhile, 78 percent of lower secondary schools have access to electricity in Benin since 2021, surpassing the SSA average of 64 percent (Text Figure 6). Access to drinking water in primary schools also increased, by ten percentage points since 2016, reaching 55 percent by 2021 (Text Figure 7). While the improvement in infrastructure has reduced the gap in school quality with the regional WAEMU average, more is required to better access to electricity and drinking water, especially for primary schools where electricity access is well below the SSA average of 45 percent.

8. However, there could be large spatial disparities. While the share of population with access to electricity significantly improved to 40 percent by 2023 at the national level, it remained at only 12 percent in the rural area (compared to 68 percent in urban areas). The divide is also observed in access to drinking water albeit less stark (60 and 74 percent in rural and urban areas respectively). These regional gaps are likely to be reflected in access to electricity and water in schools.

Text Figure 6.
Text Figure 6.

Primary Schools with Access to Electricity

(Percent)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources: SDG, IMF staff calculations.
Text Figure 7.
Text Figure 7.

Primary Schools with Access to Basic Drinking Water

(Percent)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources: SDG, IMF staff calculations.

9. The availability and quality of teachers in Beninese schools has also improved. The number of trained2 teachers in primary schools had increased from 70 percent to 75 percent between 2016 and 2021 and had doubled for teachers in lower secondary education, from 18 percent to 36 percent (Text Figure 8). Meanwhile, the ratio of students to qualified teachers in primary schools declined significantly, from almost 60 students to each trained teacher in 2016, to about 49 students to each trained teacher by 2021. The convergence towards the SSA average (of about 42 students to each trained teacher) is a welcome development, as it allows for more time to be dedicated by trained teachers to young pupils (Text Figure 9). The Beninese government has also made efforts to train and boost the wages of educators: the government spent 0.2 and 0.3 percent of GDP in 2022 and 2023 respectively to improve availability of educators for technical and secondary schools through a recent initiative (formally called “aspirants au métier d’enseignement du supérieur”) that is improving the supply of teachers, their wages, and their living conditions.

Text Figure 8.
Text Figure 8.

Trained Teachers in Education

(Percent of total teachers)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources: WDI database.
Text Figure 9.
Text Figure 9.

Pupil-Trained Teacher Ratio in Primary Education

(Ratio)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources: UNESCO, SDG database.

Education Outcomes

10. School enrollment rates are high in Benin. The number of children of the official age group for primary education who are enrolled in school in Benin is 94 percent, higher than both the regional average 81 percent, and the world average of 91.1 percent. However, enrollment in secondary education is much lower than that of primary education: net enrollment rates in upper secondary education are about 45 percent, in line with the SSA average, but much below the world average of 75 percent (Text Figure 10).

Text Figure 10.
Text Figure 10.

Net Enrollment Rates in Benin

(Percent)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources: UNESCO, USAID, SDG Database.Note: Latest data for net enrollment rates in primary education is available for 2019, while latest data for net enrollment in secondary education is only available for 2015.

11. High out-of-school rates for adolescents corroborates low enrollment rates in secondary school, likely reflecting financing constraints. The number of children of age for primary education and out of school has significantly dropped over past decades and currently averages 5 percent, below the SSA average, though it is slightly higher for girls (Text Figure 11). However, the number of adolescents who are not enrolled in secondary education is high and has worsened over the past decade, currently at 45 percent, higher than the SSA average of 34 percent, and higher for adolescent girls (Text Figure 12). The stark contrast between primary and secondary school attendance could be explained by some factors: a) the abolition of primary tuition fees in 2000 within the framework of the Highly Indebted Poor Countries (HPIC) initiative made access to primary schools almost universal (Senou, 2015), but children are often taken out of school if their parents need them to work, or if they are unaware of the value of education, and b) recent initiatives like the World Food Programme (WFP) school feeding programme covers children of primary school age, providing them a stronger incentive to attend school at that stage (¶12). High dropout and lower completion rates for girls (¶13) are likely to adversely impact female labor participation, especially in the context of child marriage and early pregnancy.

Text Figure 11.
Text Figure 11.

Children Out-of-School

(Percent of Primary Education Age)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources: UNESCO, USAID, SDG database.
Text Figure 12.
Text Figure 12.

Adolescents Out-of-School

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources: UNESCO, SDG database.

12. The Beninese government, together with the World Food Programme, launched the school feeding programme to reduce food insecurity and improve school attendance. Since 2022, the school feeding programme has supported approximately 5,709 schools (about 75 percent of public primary schools and 152 private schools) and 1.4 million students (46 percent of which are girls), allowing children to eat daily hot meals at school. Despite external challenges in 2023, such as border closures with Niger and rising gas prices from Nigerian reforms, the government’s dedication to the national school feeding initiative was instrumental in advancing its Sustainable Development Goals towards eradicating hunger by 2030. The new initiative’ success could be linked to the improved attendance rates for primary school, though evidence remains preliminary.

13. School completion rates are relatively high for primary education students but with regional disparities and fall as students move towards secondary education. School completion rates for primary education in Benin is about 50 percent, lower than the regional average of 67 percent (Text Figure 13). Disparities are also evident across income groups, with completion rates vastly differing between income quintiles: those in the highest income quintile boast a 78 percent primary school completion rate, in contrast to the first income quintile, where only 20 percent of children between up to age 11 complete their education. Primary school completion rates are notably lower for girls compared to boys: in 2021, boys’ completion rate was 54 percent versus a 49 percent for girls in Benin (and lower than most other peers (86% for Togo and 67% for Senegal), without accounting for regional disparities. In addition, completion rates significantly drop as students move to lower and upper secondary education: the completion rate of students in lower secondary education averages 19 percent, and 8 percent for students in upper secondary education. Completion outcomes fare worse for students in rural areas of poorer background: almost 0 percent of students in rural areas and the first quintile complete their upper secondary education. Benin’s completion rates for secondary education are also lower compared to the region, 29 percent versus 41 percent (the regional average) in 2019.

14. With higher enrollment rates and better-equipped schools, literacy rates in Benin have improved. Over the past decade, the youth literacy rate (of the population aged between 15 and 24) has increased from 45 percent to 65 percent, while the adult literacy rate (of the population aged between 15 and 99) has also increased from 33 percent to 46 percent. Despite significant strides - and given Benin’s lower school completion rate compared to the region, literacy rates are still below the SSA average- which boasts a youth literacy rate of almost 80 percent (Text Figure 14).

Text Figure 13.
Text Figure 13.

School Completion Rate, 2021

(Percent)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources: UNESCO, SDG database.
Text Figure 14.
Text Figure 14.

Literary Rates

(Percent)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources: UNESCO, USAID, SDG database.

C. Bridging the Education Gap

15. Government expenditure on education has increased modestly over past years and makes a larger share of total expenditure compared to peers. It averaged 3.8 percent of GDP in 2023, a modest increase from 3.1 percent since 2016, having recovered from its decline on the onset of Covid-19 in 2020 (Text Figure 15). Though modest in its share of GDP, education expenditure in Benin made 17 percent of total government expenditure in 2022. The share of education spending out of government expenditure was larger than its regional peers and outpaced the world average in 2022, reflecting generally low levels of overall public spending in Benin (amid a narrow tax base) or lower needs in other countries (Text Figure 16).

Text Figure 15.
Text Figure 15.

Government Expenditure on Education, 2022

(Percent of GDP)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources: Beninese authorities.
Text Figure 16.
Text Figure 16.

Government Expenditure on Education, 2022

(Percent of Total Government Expenditure)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources: USAID.
Text Figure 17.
Text Figure 17.

Sub-Saharan Africa: Government Expenditure on Education

(Percent of GDP. SDG4 Convergence Scenario)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources: IMF SDG Costing tool (3rd edition, 2022), and IMF staff calculations.Notes: the grey boxplot portrays the current distribution of spending in SSA countries. The orange boxplot portrays education spending in the benchmark SDG convergence scenario.

16. Total spending (public and private) on education needs to be scaled up further—by about 5.5 percent of GDP—for Benin to meet its SDG goals by 2030. Drawing on the IMF SDG costing methodology (3rd edition, 20223) developed by Gaspar and others (2019), additional spending on education is required for Benin to achieve the SDG objective of universal primary and secondary enrollment of its young population (Text Figure 17). The results suggest that total education spending would need to almost double by 2030 for Benin to reach its SDG goals. Specifically, public education spending would need to increase by an additional 3.4 percent, from its 3.8 percent average towards 7.2 percent (compared to an increase from 3.5 to 7 percent of GDP for the SSA median). Investment in private education would also need to be catalyzed, so it can increase from its current levels of 4 percent towards 6 percent of GDP, bringing the total additional education spending required for Benin to converge to its SDG goals to about 5.5 percent by 2030.

17. Increasing the secondary education level of Benin’s labor force could have amplifying effects on growth. Recent work by Kotschy and others (2020) and the IMF (REO 2024) highlights that the marginal effect on growth of the working-age population is conditional on different levels of post-primary education among the working-age population, especially in low-income countries. Specifically, the results suggest that in low-income countries, gains to GDP growth rise for each additional increase of the share of the working-age population that has achieved post-primary education: moving from having 30 percent of the working age population with post-primary education towards a working-age population where 80 percent of the workers have achieved postprimary education is estimated to yield additional GDP growth of roughly 3 percentage points (Text Figure 18).

18. In Benin, at least 42 percent of the labor force has achieved post-primary education, compared to a 72 percent regional average. This, drawing on estimations in IMF (REO 2024), suggests that moving towards a population where 90 percent of the workforce achieved postprimary education—in line with SDG goals—could raise growth by 3.5 percent, already recouping all public spending needs on education (Text Figure 19). Additional gains include: (1) positive spillovers on growth and government spending from reducing of poverty and inequality (Cerra, Lama and Loayza, 2021); (2) productivity gains from an educated workforce that improves the absorption of superior technologies from leading countries (Barro, 2001); and (3) higher resilience from a higher human capital stock: countries with a high ratio of human to physical capital (for example, if physical capital is destroyed by a natural disaster) tend to recover faster by adjusting upward the quantity of physical capital (Barro, 2001).

Text Figure 18.
Text Figure 18.

Marginal Effect of Post-Primary Education on Growth

(Change in GDP Growth from 1 Unit Change in Education Percent)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources: Kotschy and others (2020), and IMF staff calculations.Note: the plots are derived based on Kotschy and others (2020). Based on a global sample, the results show the marginal effects on growth of the working age population share, conditional on different levels of post-primary education among the working-age population. The dotted bands are 90-percent confidence intervals.
Text Figure 19.
Text Figure 19.

Labor Force with Advanced Education, 2018

(Percentage of Total Working-Age Population with Advanced Education)

Citation: IMF Staff Country Reports 2024, 339; 10.5089/9798400295522.002.A004

Sources: USAID, World Bank WDI.Note: The ratio of the labor force with advanced education to the working-age population with advanced education. Advanced education comprises short-cycle tertiary education, a bachelor's degree or equivalent education level, or higher education level according to the International Standard Classification of Education 2011 (ISCED 2011)

D. Conclusion and Policy Recommendations

19. Benin’s young working-age population is set to make over half of the country’s total population in the next century. In contrast to the rest of the world, Benin’s population will more than double by 2100, leading to a significant expansion in its working-age population that can contribute to overall growth.

20. Reaping the benefits of population growth in Benin will hinge on additional investment for improving education outcomes, especially at the secondary level. Benin has made strides in improving schools’ infrastructure and boosting teachers’ supply, all the while implementing school feeding programs to reduce food insecurity for children and improve education enrollment and literacy rates. However, spending needs remain large—about 5.5 percent of GDP—and more will be needed for Benin to improve its education outcomes, increase its students’ school enrollment rates, and boost the education levels of its working-age population.

21. Increasing the education levels of the working-age population could yield tangible dividends. Based on a global sample, empirical results suggest that increasing the share of the working age population that has achieved post-primary education has an amplifying effect on growth, and consistently leads to higher GDP outcomes. As education outcomes of Benin’s labor force are lower than the regional average, this implies that increasing the share of the educated labor force could have positive spillovers on growth, up to about two percent of GDP. This further strengthens the case for increasing investment in education now, to reap the dividends of Benin’s demographic trends in the future.

22. Meeting these large education needs—and other Benin’s development needs—require sustained efforts in domestic revenue mobilization. Domestic revenue mobilization (DRM) efforts have significantly boosted revenue collection in recent years, helping increase budget allocations to education in 2022 and 2023. DRM, the cornerstone of the authorities’ reform program, would ensure a sustainable financing of Benin’s large development needs; it should continue to be anchored on the recently developed Medium-Term Revenue Strategy.

References

  • Barro R. J., 2001 “Human Capital and Growth,” American Economic Review 91, No. 2 (May), pp. 12– 17.

  • Carapella M Piergiorgio, Tewodaj Mogues, Julieth C Pico-Mejia, and Mauricio Soto, 2023. “ How to Assess Spending Needs of the Sustainable Development Goals: Third Edition of the IMF SDG Costing Tool”, How-to Note No 2023/005.

  • Cerra, V., Lama R., and Norman Loayza, 2001. “Links between Growth, Inequality, and Poverty: A Survey”. IMF Working Paper WP/21/68.

  • Gaspar, Vitor, David Amaglobeli, Mercedes Garcia-Escribano, Delphine Prady, and Mauricio Soto. 2019. Fiscal Policy and Development: Human, Social, and Physical Investment for the SDGs. International Monetary Fund Staff Discussion Note SDN/19/03.

  • International Monetary Fund. 2024. “Building Tomorrow’s Workforce: Education, Opportunity, and Africa’s Demographic Dividend”, Regional Economic Outlook Analytical Note, Sub-Saharan Africa.

  • Kotschy, R., Suarez Urtaza, P. and Sunde, U., 2020. “The demographic dividend is more than an education dividend”. Proceedings of the National Academy of Sciences, 117(42), pp.25982-25984.

  • Barthelemy Mahugnon Senou, 2015. “Why Do Students Drop out of School in Benin”. International Journal of Education and Information Technology, 1(2), pp.38-47.

1

Prepared by Nour Tawk (AFR).

2

A trained teacher is defined by the UNESCO Institute for Statistics as a teacher who “Teacher who has fulfilled at least the minimum organized teacher-training requirements (pre-service or in-service) to teach a specific level of education according to the relevant national policy or law. These requirements usually include pedagogical knowledge (broad principles and strategies of classroom management and organization that transcend the subject matter being taught - typically approaches, methods and techniques of teaching), and professional knowledge (knowledge of statutory instruments and other legal frameworks that govern the teaching profession).”

3

Carapella and others, IMF 2023.

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Benin: Selected Issues
Author:
International Monetary Fund. African Dept.
  • Text Figure 1.

    Median Age in Benin, 2021

    (Years of age)

  • Text Figure 2.

    Total Fertility Rate

    (Live Births per Woman)

  • Text Figure 3.

    Future Population Estimates

    (Millions)

  • Text Figure 4.

    Age-Group Demographics

    (Millions)

  • Text Figure 5.

    Total Dependency Ratio

    (Percent)

  • Text Figure 6.

    Primary Schools with Access to Electricity

    (Percent)

  • Text Figure 7.

    Primary Schools with Access to Basic Drinking Water

    (Percent)

  • Text Figure 8.

    Trained Teachers in Education

    (Percent of total teachers)

  • Text Figure 9.

    Pupil-Trained Teacher Ratio in Primary Education

    (Ratio)

  • Text Figure 10.

    Net Enrollment Rates in Benin

    (Percent)

  • Text Figure 11.

    Children Out-of-School

    (Percent of Primary Education Age)

  • Text Figure 12.

    Adolescents Out-of-School

  • Text Figure 13.

    School Completion Rate, 2021

    (Percent)

  • Text Figure 14.

    Literary Rates

    (Percent)

  • Text Figure 15.

    Government Expenditure on Education, 2022

    (Percent of GDP)

  • Text Figure 16.

    Government Expenditure on Education, 2022

    (Percent of Total Government Expenditure)

  • Text Figure 17.

    Sub-Saharan Africa: Government Expenditure on Education

    (Percent of GDP. SDG4 Convergence Scenario)

  • Text Figure 18.

    Marginal Effect of Post-Primary Education on Growth

    (Change in GDP Growth from 1 Unit Change in Education Percent)

  • Text Figure 19.

    Labor Force with Advanced Education, 2018

    (Percentage of Total Working-Age Population with Advanced Education)