GhBudget 2022: From 2022, the ‘YouStart initiative’ will create 1 million jobs for the youth.

Politics

Another effort to assist young people in starting and growing small enterprises is being launched by the government.
The project, nicknamed ‘YouStart,’ aims to create one million jobs with a seed capital of GHS1 billion starting in March 2022.
In unveiling the idea in the 2022 budget, Finance Minister Ken Ofori-Atta stated that the YouStart program will be a vehicle for assisting young entrepreneurs in obtaining finance, training, technical skills, and mentoring to enable them to create and operate their own enterprises.

“The YouStart initiative, which intends to use GH1 billion per year to stimulate an ecosystem to create 1 million employment and raise additional 2 billion Cedis in partnership with Finance Institutions and Development Partners,” he stated.
Local banks in the country have agreed to boost their SME portfolio to GHC5 billion over the next three years, according to the Minister.
“This, Mr. Speaker, results in a historic commitment of 10 billion Cedis to the private sector and YouStart over the next three years,” he continued.
The Ghana Enterprises Agency (GEA), the National Entrepreneurship and Innovation Programme, and the Ghana Enterprises Agency (GEA) will undertake the project, according to Ken Ofori-Atta (NEIP)
The initiative’s details include interested parties registering online, while the NEIP partners with Faith-Based Organizations to deliver essential artisanal skills, business competitions, feasibility studies, and introductions to financing institutions, with a commitment of up to 10% of GOG contribution to the program.

“Mr. Speaker, YouStart will deliver the following to our youth: i. Training: Entrepreneurial Support, Business Advisory Services, and Skills Development; ii. Funding: Competitive Credit and Starter Packs; iii. Enterprise Promotion: Mentoring and Market Access, including Portals to facilitate “digital linkages” between youth-led enterprises.
After 2-3 months of training, young people in the program will be eligible for District Level Loans of under 10,000 GHC and Soft Loans of up to GH50,000 to support start-ups (particularly by young graduates and school-leavers) and small enterprises flourish.
“Starter packs (soft loans connected to equipment acquisition) of up to GH50,000 for individuals and GH100,000 for associations/groups; iv. A standardised loan package for SMEs through financial institutions of between GH100,000 and GH400,000 at concessional rates,” the minister added.

“Mr. Speaker, the YouStart project is designed to assist our kids in creating financially successful businesses. YouStart is aimed to develop proper commercial orientation in the recipients in order to achieve this goal. Financial institutions will determine credit criteria, while GEA and NEIP will provide training support, particularly for standardised SME loans,” the minister noted.