Any economy with a sound SMSE will have less issue on youth unemployment. On paper, the economy of the region have invested a lot on the development of SMSE. However, the result has not change the rate of high youth unemployment, high poverty rate and high rate of inflation in the region among others.The SMSE suppose to be a reservoir of employment and economic transient unit for categories of entrepreneurs. Considering the incentives provided (fiscal and monetary incentives), the SMSE unit in the sub region is still crawling with no immediate hope of growth to maturity. My follow scientists, What is the problem? could it be raw material supply-gap or low capacity utilization? please share your thought.
Interesting questions. There can be various reasons contributing to this trend
1. Not all MSMEs are owned or employ Youth. If they do they might be extended hands in the household without ensuring full-time employment
2. The size of micro-enterprises which are the maximum by number often are 2-3 people which does not change significantly the unemployment status.
3. The older generation owning MSMEs often faces the issue of generational continuity resulting in the younger generation moving out of the country or working in the tertiary sector
4. Access to education also makes the younger generation aspire to different employment options.
5. The ratio of starting to closing MSMEs is high resulting in intermittent unemployment which somehow remains constant in long range.
- Badges
- Science topic
- Similar topics
- Econ
- Manufacturing
- Industry