FSD Africa: Jobs Framework Methodology Paper

The FSD Africa Jobs Framework provides a systematic approach to measuring employment effects by linking financial sector innovations to real economy outcomes. It focuses on gross job creation across micro (firm) and meso (sector) levels, using a 'Decent Jobs Assessment' to evaluate job quality, inclusion, and geographic need. The framework emphasizes a contribution-based approach rather than strict attribution, utilizing investment multipliers and sector-based proxies to estimate impact while avoiding macro-level induced effects.

• The framework employs a four-step process: linking interventions to job effects, estimating total jobs created and supported, assessing job decency, and performing deep-dive verifications.
• FSD Africa focuses on gross job creation rather than net job creation because estimating net effects is hindered by difficulties in measuring displacement, substitution, and deadweight.
• Employment effects are measured at two primary levels: micro-level (new jobs in direct real economy beneficiary firms) and meso-level (jobs supported in the wider supply chain using multipliers).
• Macro-level induced employment effects, resulting from increased consumer spending, are explicitly excluded from the current framework due to their short-run duration and potential for inflationary effects.
• The 'Decent Jobs Assessment' scores projects out of 100 based on three dimensions: job quality (earnings, security, employability), inclusion (gender and vulnerable groups), and geography (national-level SDG indicators).
• FSD Africa uses a 'contribution share' based on pro-rating capital invested or support provided, rather than claiming full attribution of all jobs created by an enterprise.
• The framework utilizes Full-Time Equivalents (FTE) for calculations, based on a standard of 240 working days per year.
• To validate aggregate data, the framework offers four 'deep dive' options: Value Chains for Jobs Estimation (VCJ), Economic Impact Assessments (EIA), case studies, and Lean Data Surveys.
• Income effects are measured and reported separately from employment effects because they use different metrics (headcount for income vs. FTE for employment) and serve different conceptual goals.

APA

Ripley, M., & Davies, G. (2020). FSD Africa: Jobs Framework Methodology Paper. FSD Africa. https://fsdafrica.org/wp-content/uploads/2025/05/21-01-15-FSD-Africa-Jobs-Framework.pdf

Chicago

Ripley, Matt, and Gareth Davies. FSD Africa: Jobs Framework Methodology Paper. FSD Africa, 2020. https://fsdafrica.org/wp-content/uploads/2025/05/21-01-15-FSD-Africa-Jobs-Framework.pdf.

Wikipedia

{{cite report |last1=Ripley |first1=Matt |last2=Davies |first2=Gareth |title=FSD Africa: Jobs Framework Methodology Paper |publisher=FSD Africa |date=December 2020 |url=https://fsdafrica.org/wp-content/uploads/2025/05/21-01-15-FSD-Africa-Jobs-Framework.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{ripley2020fsd, author = {Ripley, Matt and Davies, Gareth}, title = {{FSD Africa: Jobs Framework Methodology Paper}}, institution = {FSD Africa}, year = {2020}, month = dec, url = {https://fsdafrica.org/wp-content/uploads/2025/05/21-01-15-FSD-Africa-Jobs-Framework.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }