Funding demand-oriented training for target groups of the informal sector

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Funding                                  BMZ/KfW, Government of Ghana

Client                                    Commission for Technical and Vocational Education and Training CTVET

Project budget                         EUR 22.0 million

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The Ghana TVET Voucher Project is the first voucher project under German Financial Cooperation in the education sector. With more than 17,000 beneficiaries (08/2021) it is one of the projects with the greatest impact on skills development and employment for disadvantaged groups funded by KfW.

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PLANCO Hamburg has developed to a significant degree the project design and provides consultancy support to the client in respect to the overall operation and management of the project.

 

Background

In the Ghanaian informal sector, master craftspersons and workers of small and micro enterprises usually gain their vocational skills through traditional apprenticeship. This well-established traditional vocational training system ensures employment for over 90% of the Ghanaian workforce. However, small and micro enterprises increasingly face challenges to keep pace with technological innovations – which negatively affects their business and income perspectives. 

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Furthermore, skills acquired through the pure traditional apprenticeship do not lead to formal qualifications recognised by the Ghanaian National Qualifications Framework. In this respect, the majority of Ghanaian youth are denied advancement within the formal education system.

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This situation calls for a systematic reform of the traditional vocational training system. The Ghanaian Government has decided to implement the modular Competency-based Training (CBT) approach as an adequate response to the specific needs of the informal sector. Taking advantage of the existing traditional apprenticeship system, CBT units contain both, workplace training and complementary skills training offered by accredited training institutions. A full set of CBT units leads to formal qualifications at National Proficiency Level I and II, certified in accordance with the National TVET Qualifications Framework.

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The voucher approach | e-Voucher

The Ghana TVET Voucher Project (GTVP) was designed meet the specific demand of the informal sector for skills upgrading through an innovative voucher financing scheme. 

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GTVP provides vouchers for training to master craftspersons, their apprentices and workers. The vouchers are used to finance (1) Competency-based Training (CBT) courses provided by accredited training institutions; (2) the assessment and certification of acquired skills through accredited awarding bodies; and (3) related coordination and monitoring services rendered by respective trade associations of the informal sector. 

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The vouchers are issued to beneficiaries in form of electronic codes via mobile text messages (e-Voucher). The operational management of the project is facilitated by a web-based Voucher Management System (VMS) developed by PLANCO Hamburg. The VMS includes the registration of training offers, the decentralised application for vouchers through mobile devices, continuous monitoring of training attendance, generation of invoices, disbursement control, daily updated reporting on project performance as well as various business intelligence features for CTVET and KfW.

 

Eligible Trade Areas | Regional Coverage

GTVP finances training in the following trade areas, which are vital for employment in the informal sector: cosmetology/hairdressing, consumer electronics, automotive repair, construction/Welding, and garment.

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The project is supposed to be extended to the following trade areas as soon as accredited training courses are available: plumbing, furniture making, electrical installation, block laying and Tiling, catering and hospitality.

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GTVP was initially piloted in four regions of Ghana in Phase 1 and further extended to all regions of the country in Phase 2.

 

Services provided by PLANCO

• Establish the cooperation with involved GTVP stakeholders 

• Develop of the operations manual for all GTVP procedures

• Conduct training for GTVP stakeholders (training providers, trade associations, training coordinators, awarding bodies) in respect to standard operational procedures

• Establish costing for each training unit to determine the voucher values

• Develop and establish of a web-based Voucher Management System (VMS) covering all procedures from voucher application to disbursement

• Develop the budget for the entire project 

• Support disbursement of funds through the Disposition Fund 

• Support CTVET in contracting of GTVP stakeholders

• Support CTVET in respect to procurement and compliance with KfW guidelines

• Establish a Voucher Management Unit (VMU) with 15 professional staff members 

• Develop a communication strategy, promote information and awareness raising

• Set-up monitoring and evaluation as well as quality control mechanisms

• Elaborate a strategy for ensuring the sustainability of the project

• Regular review of the project design, conceptual suggestions for design updates

• Ongoing consultation with CTVET management, KfW, and involved stakeholders

• Regular update of GTVP design documents.

 

GTVP impact on the Ghanaian TVET system reform

The GTVP has contributed to TVET market development and system reform in the following ways:

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• Numerous training institutions encouraged to register with CTVET and keen to achieve official accreditation for CBT

• Trade associations and informal sector training provides encouraged to register with CTVET

• CBT approach implemented at large scale | demand-oriented training offers available for large number of Ghanaian youths

• The traditional apprenticeship system being modernised 

• Informal sector beneficiaries gain recognised qualifications

• CTVET able to establish registration and accreditation services on financially sustainable basis 

• CTVET strengthened as the regulating body for TVET in Ghana

• Comprehensive database on TVET stakeholders available.

 

Contact

GTVP Project Office

11 Kigali Avenue | East Legon

Accra | Ghana

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Collins Armah | collins.armah@planco.de

Dr. Gunnar Specht | gunnar.specht@planco.de