Job creation
Jobs are vital to reducing poverty. Jobs generate income, are a basis for taxation, provide security, and can enable knowledge and skills development that further spur economic development.
In the power sector, jobs are created both in the companies during the construction period and in the operations phase. Most importantly, a higher and more reliable power supply enables businesses to increase their business output and is thereby contributing indirectly to job creation. A reliable power supply hinders losses due to power outages, and investments in off-grid enable the substitution of costly and unsafe options such as candles and kerosene lamps for lighting.
Norfund’s investments contribute both directly and indirectly to achieving SDG Target 8.5
Results in 2023
Norfund annually collects data on jobs held in the portfolio companies. In 2023 the companies under CIM held more than 8 000 jobs, and more than 80 % of these were construction workers. Most of the jobs are held in Africa. The share of permanent jobs is significantly lower for the companies under CIM than in the other parts of Norfund´s portfolio, due to the large need for construction workers and limited need for workers for operations and maintenance of the power plants once construction is complete and the plants are operational.
In these companies women make up only 11 % of the work force. However, among senior managers there are 33 % women in the companies in the CIM portfolio.