Recently, the Ethiopian government has announced a new homegrown macro-economic strategy reform. While doing this, the proposed new macro-economic policy targets reinforcing the economy and create sufficient job opportunities to the vibrant youth. The presence of a large number unemployed youth remains one of the priority agendas of the government.
That is why the government has reorganized the Job Creation Commission (JCC) last year. The commission has been undertaking various measures and tasks ahead to enhance job creation.
Following this, the commission signed a partnership agreement with the Young Africa Works in Ethiopia (MasterCard Foundation). Over 10 million young people are expected to access dignified and fulfilling job opportunities in Ethiopia by 2030.
JCC Commissioner Dr. Ephrem Tekle told The Ethiopian Herald that the commission prioritizes discovering various potential Non-Governmental Organizations (NGOs) partnership to pursue means for huge job creation schemes. The Commission will continue rendering effective jobs to the youths and women through sustainable engagements with the NGOs.
Accordingly, the government has already been working hand in glove with pertinent stakeholders to create more than three million jobs this fiscal year. And to materialize this objective, the government has called on the private sector to form unreserved coordination. Thus, by mobilizing different enterprises and partners, the government is aspiring to meet the target for the budget year, he added.
“Ethiopia’s prosperity will be achieved when we individually achieve our full potential first. Creating jobs for all, particularly, youth and women, is about giving people hope, dignity and the means to build prosperous future,” he noted.
The job creation and investment committee led by Prime Minister Abiy Ahmed (PhD) was organized last year to realize this objective. The Committee members include state heads and ministers.
As to him, the agro-processing sector also sought to create numerous job opportunities.
For his part, MasterCard Foundation Ethiopia Branch Country Head Alemayehu Konde said that MasterCard Foundation has committed an initial USD 300 million to the initiative. Young Africa Works in Ethiopia is aligned with the Ethiopian government’s plan to create new jobs to spur economic growth and was designed in partnership with the government, the private sector, academic institutions, and young people, he added.
According to him, the MasterCard Foundation will work with JCC to create programs to catalyze growth in the tourism, agriculture, manufacturing, and ICT sectors. The programs will support entrepreneurs and small and medium-sized businesses to achieve greater productivity and expand income-generating opportunities.
Thus, improving the quality and relevance of training offered by academic and training institutions and ensuring youth will be successfully linked to jobs.
The Foundation announced its first phase of implementing partners, including the International Centre for Insect Physiology and Ecology (icipe), Kifiya Financial Technology, First Consult PLC and DAI Europe, Dalberg, Ministry of Innovation and Technology, and SNV.
The cumulative value of the first phase of partnerships is over USD 119 million and will see more than 1.4 million direct work opportunities contributing to Young Africa Works in Ethiopia’s goal of 10 million work opportunities by 2030.
Regarding the major focus areas of the initiative Young Africa Works in Ethiopia rely on agriculture, manufacturing, tourism and the ICT sector and the digital economy.
As a priority sector in the agriculture sector strengthening agri-food systems, supporting linkages to agro-industrial parks, and increasing access to finance and business development services for agribusinesses are fundamental to tap the maximum potential. Building a robust pipeline of skilled youth to work in Ethiopia’s industrial parks and enabling them to establish enterprises aligned with the business needs of the parks will be the then task to motivate sufficient job creation in the manufacturing sector.
The other sector expected to be a source of plenty of jobs in the tourism sector. Supporting the expansion and modernization of the tourism sector by working with the Ministry of Tourism, Culture and Sports, and Tourism Ethiopia on their strategy, and by engaging with the private sector is the priority in tourism.
The ICT sector and the digital economy in supporting the development of a national digitization strategy with the Ministry of Innovation and Technology and working with the private sector on widespread digitization of payments, financial services, and other key services. Therefore, the above major sectors are accentuated by the responsible entities to contribute tangible job opportunities created.
Mastercard Foundation President and CEO Reeta Roy said that “through my travel across Ethiopia, I’m inspired by the creativity and dynamism of young entrepreneurs and how their innovations are bringing about meaningful change in their communities”. Young Africa Works will support them by providing access to finance, business development support and skills development so they can further scale their businesses to create more jobs for young Ethiopians, she added.
As to her, Learning from its work in 34 countries on the continent, including Ethiopia, over the past decade, the Foundation will deepen its engagement in 10 African countries.
Ethiopia is a priority country because of the government’s commitment to reform the policy and regulatory environment to encourage the development of the private sector and attract foreign investment. Since 2009, the Mastercard Foundation has committed more than USD 62 million to advance financial inclusion, education, and youth livelihoods.
The Ethiopian Herald November7, 2019
BY TEWODROS KASSA
