Policies towards a stackable, skills-first ecosystem

Anchoring degrees, accelerating skills

As labour markets evolve rapidly, the gap between traditional qualifications and future skills is widening. The findings examine how degrees, skills and lifelong learning can better align to support employability, productivity and long-term economic resilience.

Executive Summary

In collaboration with the World Governments Summit

Labour markets in the Middle East and globally are undergoing profound transformation. Advances in technology, demographic shifts and the rapid adoption of artificial intelligence are reshaping how work is organised and the capabilities required to succeed. As a result, the pace at which skills are changing is accelerating, placing increasing pressure on education systems, employers and policymakers to respond.

The findings highlight a growing gap between formal qualifications and labour market needs. While academic degrees continue to play an important role in establishing foundational knowledge, they are no longer sufficient on their own to ensure employability or organisational competitiveness. Employers are placing greater emphasis on demonstrable skills, adaptability and the ability to continuously learn and apply new capabilities.

Across sectors, skills requirements are expected to change significantly over the coming years. At the same time, access to relevant skills remains one of the most critical constraints on growth, productivity and innovation. Shortages are particularly acute in digital, data, artificial intelligence and advanced technical roles, with implications for both public and private sector performance.

The findings underscore the importance of moving beyond one-time education models towards lifelong learning systems that enable individuals to build, refresh and validate skills throughout their careers. They also point to the need for closer collaboration between governments, employers and education providers to ensure learning pathways are aligned with evolving labour market demand and national development priorities.

Key themes emerging from the analysis include the increasing role of employers in shaping skills development, the growing use of modular and stackable credentials, and the importance of data and digital tools in signalling and recognising skills. Together, these approaches can help improve workforce participation, support inclusive growth and strengthen long-term economic resilience.