By Joseph Chikalipo
Lilongwe, March 27, Mana: The European Union (EU) and United Nations Development Program (UNDP) have collaborated in an initiative called Zantchito-entrepreneurship and Access to Finance Project that will assist the youth who are struggling financially as a result of high unemployment rate in Malawi.
The project which is part of a wider programme on skills for job creation, aims at supporting youth-led enterprises as well as promoting an entrepreneurial culture and creation of decent formal jobs in Malawi.
UNDP and EU have since signed an agreement on the project.
UNDP Resident Representative, Shigeki Komatsubara, said the project will go a long way in financing the youths in entrepreneurship.
“UNDP, together with the European Union Delegation in Malawi, are partnering to support the strengthening of business incubation, the enhancement of business development services and the access to finance for small scale entrepreneurs,” he said.
He stressed that the youth are an important cog in improving the economic status of the nation hence they need to be equipped.
“Young people are energetic, and their knowledge, reach and solutions are essential for Malawi’s national development as outlined in the Malawi Growth and Development Strategy.
“74% of the population is below age 30and there is need to invest in this burgeoning young entrepreneurial base,” he said.
The project aims to support over 3, 800 entrepreneurs in the creation of new entrepreneurship ventures and in the formalization of existing enterprises with direct and indirect job creation in excess of 7, 600.
As a joint project, the EU will contribute EUR 13.5 million, and the UNDP will contribute USD 1.2 million.
The project is expected to be up and running by September 2021. All the relevant stakeholders, in particular, entrepreneurs, business incubators, business development services, financial firms, micro-lending institutions will be invited in order to inform them about how to integrate and benefit from the programme.
