R2.5 billion youth fund set to transform small businesses across South Africa
The National Youth Development Agency (NYDA) has launched a R2.5 billion youth empowerment initiative aimed at supporting small businesses
Image: Henk Kruger/Independent Newspapers
The National Youth Development Agency (NYDA) has launched a R2.5 billion youth empowerment initiative aimed at supporting small businesses and tackling rising unemployment among young South Africans.
According to Deputy Chairperson Bonga Makhanya, the fund will provide financial support ranging from R750,000 to R2 million per business, focusing on sectors such as agriculture, renewable energy, industrial development, and property ownership adding that funds will be sourced locally and internationally for the next three years..
Makhanya said the initiative is designed to give young entrepreneurs access to both loans and equity support, enabling them to grow sustainable enterprises and contribute to the economy.
"We believe that with the launch of this fund, and the very important funds that we are getting from DBSA, IDC, and other institutions present here today, we will be able to have a greater impact on the SMEs in the agricultural sectors, which are traditionally very difficult to get funding," Makhanya said in an interview with broadcaster Newzroom Afrika..
"But through the creation of this fund, which has been provided in the form of a loan, we are able to provide the additional assistance that is needed. Therefore, we believe that there is definitely a net in the pool of the economic environment"
Makhanya added that the initiative will rely on strong collaboration between the government, the NYDA, and private-sector partners to maximise its impact.
"No money can be enough, but as the NYDA, we are trying as much as possible to deal with this issue. And this is why we also believe that strengthening the support of the government and strengthening the support of the government is what will help us to have a greater impact because we cannot reach that height alone as the NYDA, where we feel that we need to reach or whose youth deserve it. NYDA is with us"
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