The role of SA's private sector vital to empowering youth

Clive Smith

A key area that the private sector can contribute to is to promote the development of entrepreneurship and continue to vigorously empower South Africa's small, medium and micro enterprises (SMMEs); an aim that includes access to markets which is which is a major stumbling block for SMMEs which in turn gives credibility to a sustainable business model and unlocks access to finance.

"Part of the challenge is the inadequate participation of young people in the economy at any level resulting in the persistence of high youth unemployment in the country and by implication the youth are not acquiring the skills and work experience they need to further their careers and earning potential as well as contributing to the growth of the economy. It is for this reason that access to funding and opportunity for SMMEs will encourage youth enterprise development and it paves the way for developing unique support programmes to promote empowerment and youth-owned or managed enterprises," Smith explains.

Business development services should be designed to meet the specific needs of the South African youth. All South African private businesses are encouraged to emulate Tsebo's enterprise development initiatives which include an investment in community supplier projects that create new SMMEs; allocating spend its procurement spend to local suppliers. Tsebo's involvement with communities around its operational sites brings wealth, skills development and opportunities to people all over Africa.

"Africa is faced with the challenge of limited and poor participation of young people in the economy. A noticeable feature of this poor economic participation is high persistent youth unemployment, which means that young people are not acquiring the skills and work experience they need to assist in driving the economy forward. As a result, it is difficult for young people in Africa to secure business opportunities to develop their own businesses," Smith concluded.