1. ENABLE Youth Agribusiness to Empower and Employ Africa’s Youth Edson MPYISI Coordinator, ENABLE Youth African Development Bank Group

2. Africa: The Young Continent
50%
65%
40%
Of over 1 billion Africans today,
420 million “youth” in Africa
(15-35 years old)
Over 65% are under the age of 35
Africa is the most youthful continent on the planet. Its youth are classified as those between the ages of 15 and 35. This category of people currently make up 40% of the continent’s population.
Africa has the world’s youngest and fastest growing population. Over 65% are below 35 years, 50% are below 25 years and 40% are below 15 years of age.
By 2050, it is expected that 1.7 billion people will be living on the continent.
Whereas the proportion of young people is projected to decline worldwide, it is also the only region in the world where the rural population will still be growing.
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50% are under 25 years

3. Africa’s Youth Employment: An Asset or A Threat?
Africa’s rapidly growing youth population could be one of its greatest assets. As at 2015, there were approximately 406 million Africans between the age of 15 and 34.
It is expected that in the next 10 years, this demography will increase by at least 25% to half a billion young people by 2025
Today, 35% of Africa’s youth, amounting to 143 million people, are either underemployed, unemployed or inactive. By 2025, there will be 181 million young people without stable employment.
Over the next 10 years it is expected that 106 million youth will enter the job market.
If harnessed properly, a growing working age population could support increased productivity and stronger economic growth. However…
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4. Why Africa’s Youth Unemployment Challenge?
Description
In Africa, the gap between wage jobs and labor market participants widens by ~8 million each year
Policy challenges such as lack of access to credit and inflexible labor markets impede job creation and hiring of young workers
There are NOT ENOUGH JOBS for Africa’s working-age population
DEMAND
Employers cite costs and challenges of identifying talent as a key bottleneck to growth
There is a mismatch between skills supplied and abilities demanded by employers
Youth have low awareness of opportunities and few networks to access them
It is DIFFICULT TO CONNECT skilled youth to employers
LINKAGES
Two-thirds of African youth do not have any secondary education, and those who do are often unprepared for the workforce due to a lack of practical training. 61.4% youth in Sub Saharan Africa lack the level of education expected to make them productive on the job
Education policies do not incentivize demand-driven curricula or support internship and apprenticeship opportunities
There are three types of interconnected challenges that contribute to youth unemployment
On the demand side, there are not enough jobs for Africa’s working-age population. Each year, there are at least 11 million new young entrants into the labour market compared to only 3 million new wage jobs are created. This is mainly because unfortunately economic growth in Africa has not been driven by labor-intensive sectors such as manufacturing. The continent’s manufacturing share of GDP remained constant over the last 30 years: around 12% from 1980 to 2013.
On the supply side, youth do not have the appropriate skills needed by employers. Two-thirds of African youth either have no formal education or have only a primary level education. Even where there have been gains in access, quality remains a challenge, leaving graduates unprepared with skills necessary for jobs. Education policies do not incentivize entrepreneurial curricula.
Therefore there are challenges in linking potential employers to qualified employees and young people are ill prepared to set up their own businesses and be employers of other young people.
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Many YOUTH DO NOT HAVE SKILLS demanded by employers
SUPPLY

5. Jobs for Youth in Africa (JfYA) Strategy
Flagship programs
Description
Rural Microenterprise
ENABLE Youth
Agro-industrialization Pipeline
provide youth with capital, skills training and mentorship to launch agriculture-based micro enterprises
help young African men and women incubate new larger scale agri-businesses and support them in accessing financing for growth of these businesses.
Agriculture
develop a pipeline of skilled labor for agro-industrial companies.
Skills Enhancement Zones
develop a skilled workforce aligned to employer needs by creating demand-led training and job placement programs within industrial clusters.
Industrial-ization
An initial set of six flagship program models have been built from best practices of other projects. The programs focus on three sectors with high potential for youth inclusion: agriculture, industrialization, and ICT (Details can be read from the slide itself)
These three high priority sectors provide opportunities for job creation across a variety of country contexts and demographic segments, creating a “menu” of project options for RMCs to choose from.
Over the next decade, additional flagship programs can be designed and implemented for other sectors
Computational Thinking
Coding Institutes
introduce digital literacy, logical thinking, and complex problem-solving curricula in secondary schools
ICT
develop premier coding academies and match graduates directly with ICT employers.

6. ENABLE Youth: Agribusiness to empower and employ Africa’s youth
ENABLING ENVIRONMENT
Policy to enable decent employment
Mindset/Attitude of agriculture as a viable business
AGRIBUSINESS INCUBATION
Training along agricultural value chain and business development; and attachment/ mentorship
FINANCING
Crowd in private investment and commercial lending
Deploy risk sharing mechanisms
Target
Intervention
USD 15 billion to support enterprise and job creation for youth and women
Investing in 30 African countries*
1.50 million agribusiness jobs in the next 5 years
300,000 agribusiness enterprises to be created in Africa
10,000 unemployed graduates (50% women)
trained and financially empowered in each country
Need to leverage USD 0.5 billion per country

7. Job Opportunities Along Agricultural Value Chains
Input Industry
Primary Production
First Level Processing
Second Level Processing
Distribution and Marketing
Input providers
Agro dealers
Mechanization, Equipment supply/hiring
Etc…
Modern farm clusters
Green houses
Livestock
Etc…
Aggregation centers
Cold storage, ripening chambers
Warehousing
Primary processing hubs,
SME value addition
Etc…
Industrial processing
Quality control
Machinery for agro-processing
Etc…
Logistics & transport
Marketing
Packaging & branding
E-Commerce platforms for agro & food products
Wholesale and retail services
Etc…
La stratégie intervient tout au long de la chaine de valeur et se focalisent sur des produit de bases prioritaires selon les zones agro-écologiques. Tel déjà indique par le directeur en côte d’ivoire les produits de bases prioritaire éventuel pourrait être : le manioc, le riz, Le cacao cafe, les noix d’acajou, bétail, et le lait.

8. Risk sharing mechanism for increased agriculture finance
Commodity and Agricultural Financing Value Chains
Risk sharing mechanism for increased agriculture finance
Public Goods support:
Roads, Irrigation, R&D, Storage, Price Stabilization, etc.
AFDB to support RMCs to setup RSF
RSF to leverage up to 10x
Systemic change in bank financing for agriculture
Finance for growth of Agribusiness
Financing agriculture as a business/ENABLE Youth
Improve the Agricultural Value Chain
Commodity
Products
Agro Dealers
Seed companies
Fertilizer companies
Agro processors
Industrial manufacturers
Trade
and exports
Farmers
Appropriate Risk Sharing Instruments along the Agricultural Value Chain
Guarantees
Interest rebates
Insurance
Technical Assistance
Seasonal
Financing
De-risk the financial value chain
Unlock commercial financing for agriculture
Term
Financing

9. Successful Agripreneur from DRC!
Noel Mulinganya
Youth Agripreneur
High quality cassava flour
From 900Kg – 14 tonnes/ week
From $600 to $10,000/ week

10. ENABLE Progress to Date… Over 30 countries have expressed interest to the Bank
Approved ENABLE Projects
USD 370 million
DRC, Nigeria, Sudan
Approved ENABLE Components
USD 150 million approved
Cameroon, Malawi, Zambia
ENABLE Under Preparation
15 countries for 2017 and 2018

11. AFRICAN DEVELOPMENT BANK GROUP
Edson Mpyisi THANK YOU / MERCI