The G20 has delivered a strong message that multilateral development banks (MDBs) need to be “better, bigger, and more effective.” That’s the headline of the G20 reform plan adopted in November 2024, which not only sets out the future path but also establishes how to get there with a detailed roadmap of 13 recommendations and 44 actions.
Continue readingCan you imagine a job where you can decide where to work, when to work, and which projects to work on? According to our recent data analysis, this is exactly how 243 million youth around the world are challenging the traditional career path, particularly in developing countries where they seek higher pay and jobs that are not easily available close to home.
As explored in the recent World Bank report Working without Borders, many young workers are using digital platforms to access jobs from all over the globe and embracing online gig work rather than pursuing informal, low-quality, local jobs. They are performing task-based jobs facilitated through online gig platforms, continually upgrading their skills, and trying to stay ahead of the competition and evolving technology.
This way of work is rapidly gaining popularity among youth. Youth make up over half of this workforce, a percentage that exceeds their relative share of overall workers. By understanding what drives young people to join the online gig economy, policymakers and organizations supporting young people can harness this trend and generate more jobs while empowering youth.
Why are young people breaking with tradition and working online?
Online gig work allows students to generate additional income and gain valuable experience in their field while pursuing their studies. Similarly, young professionals at the beginning of their careers can take advantage of the ability to continually upgrade their skills in line with market demands.
In addition to flexibility, online gig work also presents the opportunity to earn higher pay compared to traditional employment. This income potential, coupled with the ability to be one’s own boss and access job opportunities in areas where local demand for labor may be low, makes online gig work an attractive proposition for many. It also enables people to cover income gaps and achieve greater financial stability, especially during shock or transition.
Figure 1: Motivations for Youth Participation in Online Gig Work
Where do online gig workers live, and how does internet access affect this trend?
Contrary to a commonly held assumptions, our research revealed that a significant number of online gig workers hail from smaller towns rather than major metropolitan areas. This presents a valuable opportunity for youth living in smaller cities, where there may be few local employment opportunities.
Online gig workers may not need to move to big cities to find work, but they need access to the internet, a reliable connection, and digital devices. In countries with higher internet coverage, the percentage of online gig workers from smaller cities is notably higher, highlighting the importance of expanding internet access to address spatial inequalities in labor markets.
So, is expanding internet access enough? The answer is NO. Our survey found variations across countries with similar levels of internet coverage, suggesting there are barriers to online gig work beyond internet access. For example, in the Middle East and Northern Africa, the share of youth performing online gig work in smaller cities is lower despite higher internet coverage, highlighting untapped potential opportunities.
Figure 2: Internet coverage and the share of young online gig workers in smaller cities
Source: Global Online Gig Workers Survey
What are the benefits of online gigs for different workers?
Online gig work offers better pay and opportunities for young people regardless of their education attainment. For example, in Pakistan’s Khyber Pakhtunkhwa region, online gig workers earn more than informal sector workers, even after adjusting for education, age, marital status, and working hours. Our research, however, suggests that in general workers with a college education have a greater chance of accessing higher-paying gigs.
Online gig work also can offer opportunities for young women by providing much-needed flexibility to earn an income while attending to household responsibilities.
Young gig workers aim to improve their skills, while also earning an income. While technical and digital skills are important, youth also highlight the importance of learning communication and time management skills to be successful as gig workers.
How can we help address potential challenges of online gig work?
While online gig work holds immense potential, most online gig workers – like other informal jobs in developing countries – do not have adequate social protection. While most young gig workers lack access to health insurance or old age benefits, they aspire for more than just traditional social security benefits; they are keen to develop their skills and want financial support for work-related needs such as computers and devices, highlighting the need for targeted social protection programs.
Despite challenges, most young gig workers aspire to grow their careers as online freelancers and want to earn more by freelancing full-time or starting their own agencies. Policymakers also have an opportunity to partner with online platforms to design innovative programs that expand social protection coverage for informal workers and meet the evolving needs of this dynamic workforce, shaping the future of work.
This blog is part of a Short Notes series that explores findings from the World Bank report “Working Without Borders: The Promise and Peril of Online Gig Work.”
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The Promise and Peril of Online Gig Work in Developing Countries
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This piece originally appeared in the Financial Times.
The world’s poorest countries are in a development crisis and need greater access to affordable financing (Opinion, October 1; and Letters, October 11).
IDA, the World Bank’s concessional financing facility for these countries, has a proven track record for providing this support and its upcoming replenishment is a moment for the international community to match their stated concern with a stepped-up financial contribution. We urge finance ministers of the G20 countries to lead this effort and increase contributions to the 21st replenishment of the International Development Association (IDA21).
We live in a world where the risks of pandemics – particularly with zoonotic origins – are
growing, driven by climate change, deforestation, changing land use patterns, food systems, water shortages, and urbanization. As the WHO has warned, the question is not if there will be another pandemic, it’s when.
Your Excellencies, Presidents, Distinguished Guests, Ladies and Gentlemen,
I am pleased to participate in today’s Summit, which is taking place at a critical juncture for the Central African Economic and Monetary Community (CEMAC). I join with you in expressing my condolences on the death of President Deby to his son and the Chadian people.
The World Bank Group and the International Monetary Fund urge official bilateral creditors to provide immediate debt relief to the poorest countries facing COVID-19. Read the statement.
Go deeper: Learn how the World Bank Group is responding to the COVID-19 (coronavirus) pandemic. Explore our multilingual portal. Click, bookmark and come back for update.
Thank you, Prime Minister Abe, for being such a gracious host. 
It is a great pleasure to be here during the new era of Reiwa, “Beautiful Harmony.” And it’s a true pleasure that the World Bank and Japan have maintained harmony since the early 1960s, notably when the World Bank made a loan to help fund the construction of the bullet train ahead of the 1964 Tokyo Olympics. I’ll ride that train tonight as I go to Tokyo. The bullet train and Japan’s many other advances enhanced connectivity and helped lead to Japan’s fast growth and its successful graduation from World Bank lending soon after the Olympics in 1966.
HAMBURG, Germany, July 8, 2017—On the occasion of the G20 leaders’ summit, the 
World Bank Group today announced the creation of an innovative new facility that aims to enable more than $1 billion to advance women’s entrepreneurship and help women in developing countries gain increased access to the finance, markets, and networks necessary to start and grow a business.
The United States initiated the idea for the facility and will serve as a founding member along with other donor countries.
Netherlands for the World Bank 
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