The Iraqi Youth Initiative Helping the Youth in Iraq

Al-Sumaria News / Baghdad.

Iraq’s Acting Minister of Trade, Mr. Safadin Al-Safi, was the keynote speaker at the launch of the Iraqi Youth Initiative, a new private sector program designed by the USAID-Tijara Provincial Economic Growth Program; the Youth Initiative’s stated objective is to help decrease the number of the unemployed youth in Iraq. The Iraqi Youth Initiative component leader, Mr. Raymond Mendenilla, said his project aims to provide 2500 jobs over the next period.

Mr. Al-Safi told Al-Sumeria News, on the sidelines of the opening in Baghdad of the USAID/Tijara’s Iraqi Youth Initiative, “this project is a new private sector initiative aimed at providing jobs to Iraqi youth” and voiced hope that the project would create opportunities for Iraqis living in poor or underserved areas to acquire essential skills so that they may become owners of productive enterprises.

Mr. Al-Safi added that the latest statistics of the Ministry of Labor and Social Affairs indicate the number of the unemployed from September 16, 2003 to December 31, 2009 reached 1.5 million in all the Iraqi provinces, and pointed to the importance of activating the private sector by the commercial bodies and organizations to curb unemployment in the country.

Mr. Al-Safi lauded USAID for providing jobs – through its myriad projects - to Iraq’s youth across the country over the past seven years, affirming these projects have contributed to decreasing the jobless rate.

For his part, Mr. Mendenilla, envisions the Iraqi Youth Initiative program will benefit more than 5000 youth whose ages range from 18 to 35 years, in addition to providing 2500 jobs through the implementation of 1800 small businesses Iraq wide.

Mr. Mendenilla told Al-Sumeria News that the US Embassy in Iraq has set aside $12 million to implement Youth Initiative program, including a budget exceeding $4.45 million to offer individual loans to those who need financial support to start up their businesses. He emphasized that statistics released by the USAID show 30% of Iraqi youth are unemployed.

The Youth Initiative’s director, Mr. Mendenilla, added the program is comprised of three principal components, the first of which is providing training that will help youth develop business plans part of which is to develop strategy for their business and produce financial statements. The second section provides counseling to the youth, while the third section is represented in funding the youth enterprises.

Mr. Mendenilla noted that in Baghdad 35 youth had been trained on how to develop a business plan which allowed them to apply for Microfinance Loans, and that so far ten received such loans. Throughout Iraq over 160 out of 500 youth who took part in the program have received loans for their businesses. A private sector expert working with the USAID said the Youth Initiative is providing jobs for new graduates and support for young entrepreneurs who lacked funds.

Mr. Ali Al-Husainy, USAID’s Private Sector Development Specialist, added in an interview with Al-Sumeria that fruitful employment and a stable environment would allow youth to implement productive enterprises for themselves and their families; noting that USAID has Small Business Development Centers from which around 1600 are benefiting, 1000 of whom will be engaged in apprenticeship programs. More than 500 participants will get permanent jobs, he explained. Mr. Al-Husainy went on to say that the Youth Initiative would cover the entirety of Iraq.

Mr. Ayad Kadhum Jasim, 33, a trainee from Al-Hurriya neighborhood said he had received USAID loan through Youth Initiative after he had received training on three program component set by the project’s management. Mr. Jasim told Al-Sumeria that his business venture would sell medical appliances to meet the needs of hospitals, clinics and laboratories, and that his enterprise is compatible with the scientific expertise he has.

It is worth mentioning that the high unemployment in Iraq is attributable to many reasons including population growth rate that touches 3%, halt of small workshops and medium-size factories for reasons like power outages, deteriorating infrastructures, uncontrolled flow of foreign goods, high prices of raw materials, the closure of large factories and businesses, and capital flight of $15-20 billion according to different estimates due to economic blockade during the 1990s, in addition to the deterioration of security after the arrival of American forces in 2003.