Liberia Launches First African Development Bank Group Initiative to Tackle Youth Unemployment

Strategic Insights -

The Republic of Liberia, under President Joseph Nyuma Boakai Sr, has become the first country to launch an African Development Bank Group initiative aimed at tackling youth unemployment among African youth. The Youth Entrepreneurship Investment Bank (YEIB) is expected to promote private sector-led inclusive economic development by creating entrepreneurship opportunities for young Africans aged 18-35. The initiative is part of a larger effort to address underemployment and informal employment, which have long undermined Liberia's ability to harness its demographic strength.

Key Takeaways:

  • The YEIB aims to support 30,000 youth-led businesses, supporting 6,000 businesses, creating 120,000 direct and indirect jobs, contributing $80 million to government revenue through taxes, and unlocking up to $500 million in additional lending to youth-owned businesses across Liberia.
  • The initiative is expected to commence operations in early 2026, with a focus on critical sectors with immense opportunities for the youth, including agriculture, value addition with agribusiness, digital services, mining, and tourism.
  • The African Development Bank has approved youth entrepreneurship banks for Nigeria, Ethiopia, and Cote d'Ivoire, representing a growing commitment to enhancing private sector development through improved financing for entrepreneurs.
  • The Bank has invested more than $1.02 billion in 72 projects in Liberia since 1967, focusing primarily on transport infrastructure, energy development, and agricultural transformation.
  • The Bank's operations in Liberia are funded through multiple sources, including the African Development Fund, the Transition Support Facility, and various specialized funds such as the Nigeria Trust Fund.

Statistics:

  • 60% of Liberia's population is under the age of 30.
  • 3/4 of Africa's population is below the age of 35.
  • The African Development Bank has invested more than $1.02 billion in 72 projects and has an active portfolio of 18 sovereign operations worth $314.77 million as of February 2024.
  • The Bank's investments in Liberia include the Mano River Union road network connecting Liberia with neighboring countries, regional power interconnection initiatives, and programs supporting smallholder farmers across the country.
  • The YEIB aims to contribute $80 million to government revenue through taxes and unlock up to $500 million in additional lending to youth-owned businesses across Liberia.

Sources:

  • (https://mapafrica.afdb.org/en/projects/46002-P-LR-HB0-003) "Youth Entrepreneurship Investment Bank" project page on the African Development Bank's MAP Africa platform.
  • (https://www.afdb.org/en/documents/country-focus-report-2025-liberia-making-liberias-capital-work-better-its-development) "Country Focus Report 2025: Liberia" document on the African Development Bank's website.
  • (https://www.afdb.org/en/topics-and-sectors/topics/fragility-and-resilience/transition-support-facility) "Transition Support Facility" page on the African Development Bank's website.
  • (https://am.afdb.org/en/news/african-development-bank-and-nigeria-sign-500-million-protocol-agreement-extend-nigeria-trust) "African Development Bank and Nigeria sign $500 million protocol agreement" news article on the African Development Bank's website.
  • (https://www.facebook.com/share/p/1Bf3RZ2dbq/) "President Boakai's speech at the launch" Facebook post.
  • (https://www.afdb.org/en/news-and-events/speeches/speech-dr-akinwumi-adesina-president-and-chairman-boards-directors-african-development-bank-group-monrovia-liberia-july-22-2025-85593) "Dr. Adesina's speech" on the African Development Bank's website.