This presentation requires the attention of Oyo State Government at the 3 tiers, the private investors, the International Communities, local communities and the general public. It advises a funding solutions to wards achieving a sustainable Youth Empowerment Scheme as a veritable tool to drive the State Economy towards a private sector led economy aiming at wealth creation, employment generation and Domestic Resource Mobilisation.

1. Sustainable Financing of
Youth Empowerment
Scheme in
Oyo State Nigeria
A Panacea for Poverty Reduction, Wealth Creation and Employment in Achieving
Sustainable Development Goals
Adopting Public Private Partnership Initiative
By: ONAOLAPO SULAIMAN BAYONLE

2. Background
 Economic and human development is achieved when there is an
improvement in the material status of individuals.
 This entails measurable improvement in the capacity and the
capability of people to have unfettered access to basic needs in
life as well as marked abatement of individuals’ vulnerability to
economic, political and Natural disasters.
 The surest way to achieve economic and human development is
through a systematic programme of empowerment that will
ensure that individuals are gainfully trained and empowered in
providing for their basic needs in the areas of Feeding,
Education, Health, Accommodation and Transportation while
they therefore improve on their socio-economic condition.

3. Sustainable Development Goals and
Human Development – Goals 1 & 2.
 To be sustainable, economic growth must be constantly nourished by the fruits of
human development such as improvements in workers’ knowledge and skills along with
opportunities for their efficient use: more and better jobs, better conditions for new
businesses to grow, and greater democracy at all levels of decision making

4. Background
 Oyo State Government have taken steps towards this by establishing
Youth empowerment scheme (YESO) but has not yielded the
expected result of reducing poverty and unemployment rate.
 Despite, the developmental challenges being faced by the people in
Nigeria is manifested in the persistence rise in unemployment indiex
of the nation and which stood at 7.5% in Q1 ‘15 and increased to
8.2% in Q2 ‘15 from 6.4% in Q4 ‘14
 In the light of the United Nations’s deep concern for the widespread
and scourging poverty, the Oyo State Government needs to
transform its existing Youth Empowerment Scheme into a bankable,
Public Private Partnership model for an enduring solution to
combating unemployment and poverty as well as creation of wealth
for all and sundry in the State.

5. Objectives of this presentation
This presentation requires the attention of Oyo State
Government at the 3 tiers, the private investors, the
International Communities, local communities and the general
public as it is directed towards:
 Providing a sustainable socio-economic empowerment solution to the
developmental challenges of the Government.
 Providing a strategic approach to developing the local economy and
increase the IGR generation, assist the government in its Domestic
Resource Mobilization efforts.
 Suggesting a Public Private Partnership approach to sustainable funding
of Youth Empowerment.

6. Sustainable Development Goals and
Youth Empowerment
Goal 1.
End poverty in all its forms everywhere
Goal 2.
End hunger, achieve food security and
improved nutrition and promote sustainable
agriculture

7. Challenges with the Existing Youth
Empowerment Scheme in Oyo State
 Dwells majorly on providing welfare support for the candidate
with a very low impact on the productive economy.
 Candidates were employed into provisioning of community
development services
 The Scheme Costs the State Government monthly allowances of
the candidates in the sum of N200million
 Challenge of conveniently and continuously paying the
candidates Salaries.
 The scheme is currently and solely being funded by the State
Government as a political pet project

8. Challenges with the Existing Youth
Empowerment Scheme in Oyo State
 Ranked 24 in sustainability measure
 Average Monthly revenue is N5.6bn
with IGR represents 24%.
 Monthly recurrent expenditure is
N7.32bn
 A shortfall of N1.63bn monthly
 The state will not be able to sustain
the financing of the Youth
Empowerment Scheme (YESO)

9. The Way Outs
 Establish a platform through which the candidates could
continuously improve on their skills through the Scheme
 Trainings conducted for the youths should focus on capacity
building
 Ensuring an enabling environment for successful application of
the acquired skills into economic activities
 The necessity to involve the local community and establish a
formidable partnership and cooperation
 Forge Partnership and Cooperation with Private Sector, Local
and Foreign Organizations and Development Partners in the area
of sustainable funding of the scheme.
 Adopt innovative financing solution in implementing the project

10. Our Value Proposition
 Convert the existing State Government Funding of the Scheme
from a recurrent and consumptive nature into a capital
investment nature.
 Transform the Youth Empowerment Scheme in Oyo State into a
veritable tool towards stimulating the State economy while
contributing to the achievement of the Sustainable Development
Goals of the United Nations.
 Establish a sustainable empowerment platform for sustainable,
constructive & gainful employment of the youths
 Sustainable funding of the youth empowerment schemes
 Sustainable wealth creation, employment and Domestic Resource
Mobilization

11. The Model

12. How can these be achieved?
YES-O
• Reengineer the Scheme to focus on the harnessing of the
State resources by engaging the Private Sector with the YESO
scheme in training and empowerment programme to meet the
basic needs of the people.
SEDEV
• Establish Sustainable Economic Development Villages
(SEDEV), a new community and free trade zone, where local
economic development activities is largely carried by the
graduates of the empowerment progamme
Funding
• Adopt a Public Private Partnership funding solution in the
implementation of the Empowerment Scheme and the SEDEV

13. Re-engineering the YESO Scheme
 Youths would be selected from existing Government empowerment
program, for enrolment into an months entrepreneurship programme,
adopting a strategy referred to as “SITED” (Select, Inspire, Train,
Empower & Dispose).
 Trainings will focus on the use of local resources in their immediate
environment to provide for basic human needs through which they are
able to get employed or establish their self-managed enterprises.
 The graduates are empowered and housed in the SEDEV to continue
their economic activities.
 This serves as an exit strategy for the Government from existing
empowerment programme.

14. Establishing SEDEV
SEDEV is a free trade zone and economic community where the graduate
entrepreneur carry out economic activities in harnessing or local resources
along value chain activities including, raw materials production, processing,
packaging, branding, storage, conservation and marketing.
A SEDEV will comprise of the following components.
• Crop Plantations
• Agro-allied Industries
• Aquaria & Fish Processing Centre
• Animal Ranch and Abattoir
• Sustainable Economic Empowerment &
Learning (SEEL) Centre
• SEDEV Market & Exchange
• SEDEV Enterprises & Incubation Centre
The infrastructure required to be developed around
in each SEDEV may include any or combination of:
• Power,
• Mini-roads,
• Schools,
• Health Centers,
• Housing & accommodation,
• ICT etc.

15. Financing the Empowerment Project
The main funding solutions hereby proposed are to:
 Get the government convert the existing ₦200 million monthly
salary payment from a monthly recurrent expenditure to a
Development Grant that will be used to attract Development
Partners who will bring about the necessary investments that
will create the IGR opportunities to repay back the grant
 Win the support of the Informal sector to donate by signing up
to a funding platform referred to as “Fast4Development”.
Through this people will be to encourage to fast a day per week
and donate the amount of the missed meal through a digital
platform on phone and web. The fast is introduce to make the
low income earner fit in the scheme.

16. Financing the Empowerment Project
These funding approach will now
be utilized to form a blend finance
from both public sector and private
sector.
The findings will be used to crowd-in
other funding supports from Local and
foreign funding organizations and NGOs.

17. Financing the Empowerment Scheme
PROJECTS Finance Providers Expense to Finance
TRAINING
Government • Costs of Training Centre,
• Training Resource Persons
• Training Materials
• Training Allowances
Donor Organizations
Local Community/Individuals
EMPOWERMENT
Private Investors • Machines
• Equipment and Tools
• Working Capital
• Salaries & Wages
Donors
MDBs
SEDEV
Private Investors
Government
MDBs
• Cost of Basic Amenities, Health, Education
• Infrastructure-Water, Electricity, Mini-
roads, ICT
• Factories, Agro-allied Manufacturing plants,
Crop plantations,

18. Financing Requirement and Sources
Finance Providers Who are they? What to Finance? Strategy
Public Sector Federal, State
Government & Ministries
& Agencies
Training Costs,
Water, Electricity,
Land
Use the monthly
recurrent funding to
crowd-in other fund
from other sources
Private Investors Pension funds, Sovereign
Bonds
Machineries, Tools,
Equipment, Working
Capital
Part-finance the
Government and MDBs
funding
Donors Bill Melinda Gates, Ford
Foundation
Training Costs,
Machines,
Equipment, Tools
Informal Sector Individuals,
Entrepreneurs,
Cooperatives
Water, Solar
Electricity, Land
Fast4Development
Foreign Funding
Institutions
World Bank, IDB, AfDB
etc
Protecting the Private
sector against lost of
investment

19. Financing Strategies and the Instruments
Finance Sources Strategies Instruments
Government Convert the existing State Government
Funding of the Scheme from a recurrent
and consumptive nature into a capital
investment nature.
Grants, Concessionary
Loans
Private Investors Loans, Leasing, Hire
Purchase
Donors – Bill Melinda
Gates, GAVI
Guaranteeing the Private Sector
investments
Debt-buy down, grants
Local Community Fast4Development – Observe a day fasting
per week and donate the amount saved
from a missed meal towards the project
through ICT platform
Web Money/Mobile
Money
Foreign Funding
Institutions
Provide Guarantees for the Investment of
Private Sector in the Project.
Grants, Concessionary
Loans

20. Conclusion
 Sustainable Development would be achieved through a
sustainable human capital empowerment program
 The Government needs to transform their empowerment
programs into a veritable economic focusing on harnessing local
resources in providing human needs by establishing SEDEV
 Government needs to convert recurrent funding into capital type
as matching fund to crowd-in further funding from other sources
 This would lead to wealth creation, employment opportunities
and Domestic Resources Mobilization