News:
Minister for Finance Ken Ofori Ata
November 18, 2021
Government in its quest to addressing youth unemployment is to launch a new initiative called YouStart.
The YouStart initiative is a key vehicle to create 1 million jobs in 3 years under the GhanaCARES, the finance minister Ken Ofori Ata has announced on Wednesday, November 17, 2021 at the presentation of the 2022 Budget Statement and Economic Policy in parliament.
Mr. Ofori Ata explained that the “YouStart is the vehicle for supporting young entrepreneurs to gain access to capital, training, technical skills and mentoring to enable them launch and operate their own businesses.”
Implementing Partners of the YouStart Initiative.
According to the minister, partners in the implementation of the YouStart programme would include the Ghana Enterprises Agency (GEA), the National Entrepreneurship and Innovation Programme (NEIP), and partner financial institutions.
He further indicated that entrepreneurs will be able to apply for support through a dedicated YouStart online portal. NEIP will also engage our Faith-Based Organisations as partners for the delivery of essential artisanal skills.
YouStart Products
The finance minister also disclosed that the YouStart will offer the following products:
• Soft loans of up to GH¢50,000 to help start-ups (in particular by young graduates and school leavers) and small businesses to expand;
• Starter packs (Soft loans tied to equipment acquisition) of up to GH¢50,000 for individuals and GH¢100,000 for associations and groups;
• A standardised loan package of between GH¢100,000 to GH¢400,000 at concessional rates for SMEs from financial institutions; Building a Sustainable Entrepreneurial Nation: Fiscal Consolidation and Job Creation 93.
The YouStart initiative aims to support the youth to develop commercially viable businesses. To this end YouStart is designed to instill proper commercial orientation in the beneficiaries. This will include financial institutions determining the credit metrics and GEA and NEIP providing training support especially for the standardised SME loans, he explained.
“Mr Speaker, YouStart dovetails into our overall ambitious private sector growth strategy, anchored on a revitalised financial sector, establishment of Development Bank Ghana, and converting the Ghana Amalgamated Trust (GAT) into a permanent investment vehicle. The objective is to raise long-term capital to provide equity investments to strengthen financial institutions, and restructure companies in the hospitality, education, and export-oriented industries that were devastated by COVID-19. YouStart will be operational by March 2022.”
Dominic Shirimori/Ghanamps.com