21 November 2023 Young entrepreneurship as key to a just transition

Speech by Federal Minister Svenja Schulze at the conference “Shaping the future with Africa: Young entrepreneurship as key to a just transition”

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Excellencies,
Young entrepreneurs,
Guests,

This week is all about the cooperation between German and African actors. Yesterday I was at the Compact with Africa Summit that brought together heads of state and international organisations.

But the real summit is taking place today. Here, with you.

And when I say you, I am talking about the roughly 40 entrepreneurs from 15 African countries who are here with us. Because they, as young entrepreneurs, are the continent’s future. The world needs their ideas and innovations.

We need ideas like that of Reham Yahia from Egypt.

With her start-up she develops biofertilisers from agricultural waste that are customised for different types of soil and crops. She thus helps to improve food security and mitigate the negative environmental impacts of agriculture.

We need ideas like that of Geraldine Mupandanyama from Zimbabwe. With her advisory firm for pre-seed stage businesses, she supports start-ups in the climate-tech sector. By providing technical assistance and funding for young entrepreneurs, she empowers them so that their innovative solutions create a significant impact. For instance when start-ups in the energy sector improve access to electricity and at the same time create jobs in the renewables sector.

We need ideas like that of Arielle Kitio Tsamo from Cameroon. She set up an education centre for children that encourages children to embrace digital technology from a young age, and in this way promotes digital entrepreneurship.

We need ideas like that of Eden Tadesse from Ethiopia. Her technology-based careers platform connects refugees and internally displaced people with opportunities for work, digital education and entrepreneurship. This creates new prospects for the people and supports their integration.

All these business ideas show one thing: When young people become entrepreneurs they not only generate an income for themselves, they also create jobs for others. And through their innovations they help solve problems in society.

For instance, by providing digital solutions to improve access to education and financial services, like Arielle Kitio Tsamo and Geraldine Mupandanyama. Or by promoting sustainable agriculture and food security, like Reham Yasia. Or, like Eden Tadesse, by supporting refugees – so they can make a contribution to society with their work and their ideas – and help to fully realize the potential of migration.

Many people see these challenges mainly as problems. You, as young entrepreneurs, see them as possibilities.

You see the opportunities that these challenges bring. Your start-ups are embedded in local markets and societies.

You know local demands and potential and are able to develop customised solutions.

You are harnessing the technologies of tomorrow. You act fast, you are agile. You have the courage to take risks. And you often have a focus on social change.

In short: with your ideas and business models you are contributing significantly to making the transition towards ecologically and socially just societies. Because this transition requires not only big money and big businesses but also small and smart businesses as well. You are a key to such a Just Transition.

That is why today’s conference will be looking at how to promote young entrepreneurship in African countries. About 40 young entrepreneurs exchanged and shared their views and ideas on this issue yesterday. Together they developed recommendations for action. I am looking forward to hearing about what you need in order to realise your ideas, grow your businesses and create jobs.

Your proposals will be included in our work.

For instance when the German development ministry works with its African and international partners to improve the environment for start-ups. This also includes improving access to financial services and promoting collaboration between businesses, incubators, chambers of commerce and higher education institutions.

We will also take up your proposals in developing our funding programmes further. For instance in the context of the DeveloPPP Ventures programme, which currently provides funding and advisory services for young entrepreneurs in Ghana, Kenya, Nigeria and Tanzania.

Yesterday, at the Compact with Africa summit, I had the pleasure to announce that we will also be supporting the emerging start-up sectors in Rwanda and Côte d’Ivoire in the future.

The programme specifically targets business models that promote the transition towards a social-ecological economy.

It supports young people in identifying solutions to local and global challenges and developing them further so they are ready for the market.

Your experience and expertise can help us become even better at that.

By the way, there is another reason why your expertise plays such an important role. I see that, in your group of about 40 young entrepreneurs and supporters of innovation, the share of women and men is very well balanced. And I am extremely pleased about that!

Because women-led start-ups tend to rely more on social and sustainable business models. They drive innovation in sectors that are important for society, such as education or health.

And we need that in order to bring about ecological and social change. As societies, we cannot afford to do without the ideas and skills of half the population – and this goes for both Africa and Europe. That is why we are focusing our support on women-led start-ups and young businesses that promote gender equality.

Ladies and gentlemen,

This conference brings together policymakers, the business sector, academia and civil society with the aim of creating a more conducive environment for start-ups.

To promote young entrepreneurship that is so urgently needed. By connecting local and global, big and small businesses, new entrepreneurs and experienced ones. As the Development Ministry, we strive to mobilise more investment for start-ups and facilitate access to customised financing options for them. We want to strengthen institutions that support entrepreneurs. That make it easier for them.

We want to support you in developing African solutions. Both for Africa and for tackling the global challenges of our times. For this, one thing is crucial: listening to you. In order to learn from you. And that is why we are here today.