Equipping young people with the skills necessary to become entrepreneurs is essential for the success of society and for overturning the post-apartheid laws that prevented the majority from engaging in the economy.
This is according to Deputy President Paul Mashatile, who was speaking during the Harambee Youth Employment Accelerator event in Braamfontein, Johannesburg, on Friday.
Harambee Youth Employment Accelerator is a not-for-profit social enterprise that works with partners to find solutions for the challenge of youth unemployment.
Deputy President Mashatile cited the latest Quarterly Labour Force Survey, which indicated that the youth unemployment rate has now reached 56.3% in the first quarter of 2025.
This figure represents 9.2 million youths, who are not engaged in education, employment, or training.
“Most of you gathered here today know all too well what it means to be without work, locked out of the economy and unable to earn an income. It is disheartening; it is discouraging, and it takes resilience and an enduring sense of hope to overcome.
“Most importantly, it requires support from family, government, the private sector and other stakeholders,” he told attendees.
To address the nation’s youth economic crisis, Mashatile believes that initiatives to support young entrepreneurs are critical.
“As government, we are fully aware that this is not just a labour market issue but a social and moral emergency.
“I am encouraged by many of you in the audience today who remain hopeful about yours and the country’s future.”
The country’s second-in-command said he was encouraged by the several interventions currently underway in partnership with stakeholders from across society.
He also touched on the R100 billion -- through the Transformation Fund -- to support black-owned businesses and historically disadvantaged groups.
“These funds will act as a catalyst to attract other funds and make more funding available to support micro, small and medium enterprises.”
The other key initiatives include the Spaza Shop Support Fund, which has allocated R500 million to revitalise township and rural economies.
In addition, the SAYouth.mobi platform has processed 17.9 million online applications, and the Basic Education Employment Initiative has provided first jobs for 205 000 young people.
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Government also offers various programmes to support young entrepreneurs, including financial assistance, business development services, and skills training.
Other initiatives include the National Youth Development Agency’s grant programme and the Youth Challenge Fund.
“To ensure increased access to funding, we have the Innovation Fund, which has already supported over 96 start-ups since 2020,” said the Deputy President.
He announced that these strategies focus on expanding digital infrastructure, developing digital skills, and fostering digital innovation.
Deputy President Mashatile stressed that these were not handouts, but strategic investments in youth potential.
Meanwhile, he said new legislation, such as the Public Procurement Act and National Small Enterprise Amendment Bill, aims to create an enabling environment for young entrepreneurs by simplifying regulations and improving market access.
In addition, he stated that government was working with the private sector and civil society to scale up enterprise support, open procurement pathways, and remove red tape.
“As we look ahead, let us imagine a world in which every young person can make their ambitions a reality, where entrepreneurship is more than a slogan but a way of life.”
Mashatile also took the time to wish everyone a wonderful National Youth Day celebration on Monday, 16 June. The national celebration will be held in Potchefstroom, North West. – SAnews.gov.za
