The African Development Bank (AfDB) has announced plans to establish a Youth Entrepreneurship Investment Bank for Nigeria, as part of its commitment to support young people in the country. The bank will provide financial and technical assistance to young entrepreneurs, aiming to foster economic growth and reduce youth migration.
AfDB President, Akinwunmi Adesina, made this announcement on Friday in Abuja while delivering a keynote address at the 90th birthday lecture of former Head of State, General Yakubu Gowon.
“I am delighted to announce here today that just three days ago, the African Development Bank’s board of directors approved $100 million for the establishment of the Youth Entrepreneurship Investment Bank for Nigeria,” Adesina said.
Adesina highlighted the importance of this initiative, underscoring the AfDB’s determination to support the country’s youth, whom he described as crucial to Nigeria’s future development.
“This new bank will support the business of the youths in Nigeria using technical assistance, business incubation, and invest equity, quasi-equity,” he explained.
The announcement was made before an audience that included former President Olusegun Obasanjo, governors, ministers, and other top dignitaries.
Adesina praised the move as marking “a new day for Nigeria” but also raised concerns about the growing trend of Nigerian youths emigrating in search of better opportunities, commonly referred to as the “japa” phenomenon.
“The rate and speed at which Nigerians are leaving the country – the so-called japa syndrome – risks undermining Nigeria’s economic drive for economic rejuvenation and positioning for global dominance,” Adesina warned.
He linked the exodus to difficult economic conditions but emphasized that Nigeria has the potential to reverse this trend by leveraging the digital revolution.
“Nigeria is well-poised to take advantage of these opportunities,” he said, adding that “Nigeria also has five out of the top seven unicorn fintech companies in Africa.”
Adesina pointed to the success of young Nigerian entrepreneurs as proof of the country’s potential. “So, when you have young Nigerians – five out of seven with companies doing that – that tells you the potential that we have to take over the world.”
He concluded by stressing that the future of Nigeria’s youth lies in the country’s growth, not abroad.
“Don’t get me wrong, but I don’t believe Nigeria’s youth or Africa’s youth lies in Europe, America, China, or anywhere else. It lies in Nigeria growing very well with equitable growth, and Africa doing the same; able to create jobs for its young people,” Adesina remarked.
The establishment of the Youth Entrepreneurship Investment Bank is seen as a significant step toward addressing the socio-economic challenges facing Nigeria’s youth and boosting economic development through innovation and entrepreneurship.