The Board of Directors of the African Development Bank approved a €62.83 million loan to the Government of Senegal for implementation of the first phase of a project aimed at providing jobs for 150,000 women and youth.
Funding for the Project to Support and Enhance Women’s and Young People’s Entrepreneurial Initiatives (PAVIE I), is composed of a €14 million loan from the African Development Fund and a €48.83 million loan from the African Development Bank.
“PAVIE is intended to support the Government of Senegal’s efforts to implement the Plan for Safeguarding Jobs (PSE) to create decent work for young people and women, through the promotion of entrepreneurship,” explained Marie-Laure Akin-Olugbadé, the Bank’s General Manager for West Africa.
PAVIE was designed as a demand-driven approach to be implemented in coordination with the private sector, banks and microfinance institutions. The project will finance businesses and entrepreneurial initiatives by women and young people throughout Senegal, offering them technical support for their business plans and business management.
Serge N’Guessan, The Bank’s Deputy General Manager for West Africa, added, “Given the encouraging and promising results already achieved, the Rapid Entrepreneurship Delegation (DER) is well worth supporting. The Bank’s action will help to strengthen the DER approach based on structuring agricultural and artisanal value chains to create a multiplier effect on employment and the digital transformation of the companies it supports, to further increase their productivity and competitiveness.”
The project is expected to finance over 14,000 entrepreneurial initiatives and generate or consolidate some 65,000 direct and 89,000 indirect jobs. Of these, 60% will be dedicated to women. In addition, more than 27,000 entrepreneurs, including 15,000 women, will receive training and 2200 enterprises will have the benefit of support for their digital transformation, while a further 3500 (50% of which are headed by women) will have support for their move from the informal to the formal economy.
Adam Amoumoun, Acting Country Manager for Senegal, said, “This project is planned to be an effective and innovative response to the challenge of finding work for young people and women in Senegal which, like every African country facing the employment challenge, is seeking a sustainable and lasting solution.”
The Bank’s active portfolio in Senegal comprises 32 operations with a commitment of around €1.84 billion, or 1205 billion CFA francs. It is composed of projects in the national public sector, regional projects, and operations financed by the private sector.