MANILA, Philippines - The government and the private sector have partnered to teach millions of out-of-school youth (OSY) nationwide to become entrepreneurs to help reduce poverty incidence in the country.
The Department of Social Welfare and Development (DSWD), the National Youth Commission and the Philippine Center for Entrepreneurship-Go Negosyo have embarked on a project that aims to create a framework on mentoring out-of-school youth on entrepreneurship.
The project is funded by the Asia Pacific Economic Cooperation (APEC) with a grant of $97,610 or P4.7 million.
“The framework could be used as a guide or a reference by APEC-member countries in providing the necessary assistance for coaching the OSY,” said Gerelyn Balneg, director of the DSWD’s Policy Development and Planning Bureau.
She said part of the program is a three-day seminar workshop participated in by young entrepreneurs from the Philippines and other APEC member-nations like China, Indonesia and Japan.
Balneg said various government and non-government agencies are utilizing the framework used by the business sector in their programs for the OSY.
“We have to understand OSYs also have some peculiar needs or development requirements that may not necessarily fit in the framework used right now by the private sector,” Balneg pointed out.
There is also a need for government agencies and the private sector to develop a micro-credit mechanism that can be accessed by the OSY to finance their business proposals.
“They have high potential in being entrepreneurs…but only if the necessary support mechanisms are in place. Funding is important because while they may have the capacity to develop businesses, if they don’t have the necessary financing that would really not be realized,” she said.
Presidential Consultant on Entrepreneurship Jose Concepcion III said the only solution to fight poverty is entrepreneurship.
“The greatest problem is poverty and the only equalizer is to give these kids education,” he said.
Based on the latest data from the Department of Education, the number of OSY increased by 2.45 million between school year 2000-2001 and 2008-2009, consisting of an additional 1.62 million children aged seven to 12 years old and an additional 822,097 children aged 13 to 16 years old for a total of 4.69 million.
The International Labor Organization (ILO) reported that there were 39.2 million unemployed youth in Asia in 2005, according to Ramon Lopez, PCE-Go Negosyo executive director.