The Board of Directors of the African Development Bank Group has approved a loan of $79.08 million to the Republic of Angola to promote youth entrepreneurship and employment in the agriculture and transport sectors.
The Bank's funding will cover about 64 per cent of the $124.68 million Angola Youth Employment Project (AYEP), which is jointly financed by the Bank, the government of Angola (23.3%) and the private sector (0.4%).
The project, to be implemented over a period of five years (2025-2029), will develop demand-driven digital, technical, ecological and entrepreneurial skills, stimulate creativity and innovation among young people, and support start-ups to access innovative financing.
It will also improve the operating environment for businesses and help develop institutional capacity in public procurement.
The project will train more than 95,000 young people in digital technology and Technical and Vocational Education and Training for climate-smart agriculture and transport.
The implementation of the project will contribute to the country's National Development Plan for2023-2027, which seeks to promote a sustainable, diversified and inclusive economy, less dependent on oil revenues.
"The Bank is deeply committed to support Angola in its process of economic diversification. Our newly approved strategy identifies agriculture as the engine of growth in Angola, complemented by investment in sustainable infrastructure," said Pietro Toigo, the Bank Group's Country Manager for Angola. "This project will ensure that youth and women are not left behind by the process of economic transformation, but are equipped to compete in the labour market to secure decent jobs."
Angola has the second fastest population growth in Africa and young people make up half of Angola's 35 million inhabitants. The agricultural sector employs more than 50% of the total workforce (56.3% in 2022), while the transport sphere has the potential to create more jobs through its value chains, at a time when the country is increasingly developing into one of Africa's leading logistics hubs.
The project will be rolled out in eight of the country's provinces - Luanda, Huíla, Huambo, Benguela, Cabinda, Cuanza Sul, Bié and Malanje - all high-potential agro-ecological areas, many located along the Lobito Corridor, with emerging processing facilities and training institutions.
Since the launch of its operations in Angola in 1980, the African Development Bank Group has approved a total of over $3 billion for development projects in the country.
