Despite the availability of skilled and high professionals' workers, there has been misallocation of human capital\nand there is a little benefiting from it is contribution to economic transformation. In this paper I attempt to investigate the\nreasons behind human capital misallocation and how lean productivity shapes today's Sudanese productive sectors.\nA theoretical analysis is considered to quantify the correlation relationships between human capital and economic\ntransformation. Data from 2008-2014 labor force survey and National Statistics bureau survey are considered.\nBased on econometric time series data estimations over 2000-2014, we find evidence that human capital in Sudan\nis associated with lower productivity per worker and thereby lower economic growth. Results further show that labor\nmarket is characterized by a majority of workers are involved in unproductive and unpaid activities. In order for economic\ntransformation be achieved, the Sudanese authorities must enhancing the collaboration between productive sectors and\neducational institutions.
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