G LO B A L E D U C AT I O N M O N I TO R I N G R E P O R T 2 0 1 6 SUMMARY Prosperity: sustainable and inclusive economies T he world economy needs to become environmentally sustainable and inclusive if the 2030 Agenda is to succeed. Education has a key role in this transformation. Education and lifelong learning are needed to make production and consumption sustainable, supply skills for the creation of green industry and orient higher education and research towards green innovation. They also have a part to play in transforming key economic sectors, such as agriculture, upon which both rich and poor countries and households rely. Just as the economy must become sustainable, so too must it become more inclusive and less unequal. Education of good quality can contribute to these aims. A better-educated labour force is essential to inclusive economic growth focused on human welfare. Education reduces poverty by increasing chances of finding decent work and adequate earnings, and helps close wage gaps due to gender, socio-economic status and other bases of discrimination. THE GREENING OF INDUSTRY WILL INCREASE DEMAND FOR SKILLS Sustainable development and green growth mean creating green industries and ‘greening’ existing ones. Green industries already employ large numbers of workers, and are expected to grow significantly in lower income countries. For instance, renewable sources may account for almost half the total increase in global electricity generation between 2015 and 2040, with growth especially in China, India, Latin America and Africa. Creating green industries relies on high-skill workers with specific higher education and training; greening existing industries requires continuing education and training for low- and medium-skill workers, often on the job. Policymakers and educators face the challenge of defining which skills to teach, as economies undergo rapid change. Sustainability and green growth require substantial increases in research and development investment. For higher education systems to provide enough people with specialist knowledge and skills in a wide range of fields, diverse and specific curricula are needed, along with cooperative study programmes across fields. The International Energy Agency estimates that governments need to increase energy research and development by up to fivefold annually to achieve a quick transition to low carbon intensity. EDUCATION CAN HELP TRANSFORM AGRICULTURE Agriculture worldwide faces an unprecedented challenge over 2015–2030. It is one of the economic sectors most directly affected by environmental degradation and it is responsible for a third of greenhouse gas emissions. Meanwhile, population growth requires a huge but sustainable increase in food production and more equitable distribution of food supplies. Literacy and agricultural extension programmes can help farmers increase productivity by up to 12% Education is vital for sustainable food production. Primary and secondary education give future farmers foundation skills as well as critical knowledge about sustainability challenges in agriculture. Vocational training and skills policies bridge the gap between farmers and new technology. Literacy and agricultural extension programmes can help farmers increase productivity. Agricultural research connected with tertiary education helps produce innovation leading to increased sustainability. Yet many countries and donors have halted or reduced investment in such research. Notably, the share of sub-Saharan Africa in global expenditure on public agricultural research declined from 10% in 1960 to 6% in 2009. EDUCATION AND LIFELONG LEARNING CONTRIBUTE TO LONG-TERM ECONOMIC GROWTH Increased levels of primary and secondary education contribute to long-term economic growth. Initial levels of educational attainment explain about half the difference in growth rates between East Asia and sub-Saharan Africa 15