Introduction
Youth unemployment, environmental degradation, and climate change are among the most pressing global challenges of the 21st century. Young people, particularly in developing and emerging economies, face limited access to decent employment opportunities, entrepreneurial ecosystems, and financial resources. At the same time, the transition to a green economy presents unprecedented opportunities to create sustainable livelihoods while addressing environmental challenges such as climate change, pollution, biodiversity loss, and resource depletion.
This proposal, Green Entrepreneurship and Start-Up Support for Youth, aims to empower young people (aged 18–35) to become drivers of sustainable economic growth by supporting green start-ups and environmentally responsible enterprises. The program will provide targeted capacity building, access to finance, mentorship, incubation support, and market linkages to enable youth-led green businesses to thrive. By integrating entrepreneurship development with climate action and sustainable development goals, the initiative seeks to create long-term social, economic, and environmental impact.
Problem Statement
Across many regions, youth unemployment and underemployment remain persistently high. Traditional job markets are unable to absorb the growing youth population, leading to economic insecurity, migration, and social instability. Simultaneously, environmental challenges are intensifying, with climate change disproportionately affecting vulnerable communities through extreme weather events, food insecurity, and health risks.
Despite their creativity and willingness to innovate, young people face multiple barriers to entrepreneurship, including:
- Limited access to start-up capital and credit
- Inadequate entrepreneurial and business management skills
- Weak exposure to green technologies and sustainable business models
- Lack of mentorship, incubation facilities, and professional networks
- Limited access to markets and value chains
Green entrepreneurship—business ventures that generate economic value while delivering environmental benefits—offers a powerful solution to these interconnected challenges. However, without targeted support systems, youth-led green start-ups struggle to survive and scale. There is an urgent need for structured interventions that enable youth to transform innovative ideas into viable, sustainable green enterprises.
Project Goal and Objectives
Overall Goal
To promote inclusive, sustainable economic growth by empowering youth to establish and scale green enterprises that contribute to environmental sustainability and climate resilience.
Specific Objectives
- To enhance entrepreneurial, technical, and digital skills of youth in green business sectors.
- To support the creation and growth of youth-led green start-ups through incubation, mentorship, and seed funding.
- To improve access to markets, value chains, and investment opportunities for green enterprises.
- To promote innovation in environmentally sustainable products, services, and technologies.
- To generate decent green jobs and strengthen local green economies.
Target Beneficiaries
- Primary Beneficiaries
- Youth aged 18–35, with a focus on:
- Unemployed and underemployed youth
- Women and young entrepreneurs
- Youth from rural, peri-urban, and climate-vulnerable areas
- Youth aged 18–35, with a focus on:
- Secondary Beneficiaries
- Local communities benefiting from green products and services
- Micro, small, and medium enterprises (MSMEs) integrated into green value chains
- Local governments and institutions supporting sustainable development
Key Focus Areas and Green Sectors
The project will prioritize high-impact green sectors aligned with local needs and market potential, including:
- Renewable energy (solar, biogas, energy-efficient technologies)
- Sustainable agriculture and agro-processing
- Waste management and recycling
- Circular economy solutions
- Eco-friendly products and green manufacturing
- Water conservation and sanitation solutions
- Climate-smart services and digital green innovations
Project Activities and Implementation Strategy
- Outreach and Youth Engagement
- Awareness campaigns to promote green entrepreneurship opportunities
- Youth innovation challenges and business idea competitions
- Community and institutional partnerships to identify promising youth entrepreneurs
- Capacity Building and Training
- Entrepreneurship and business management training
- Green technology and sustainability-focused technical training
- Financial literacy, accounting, and investment readiness workshops
- Digital skills development, including e-commerce and digital marketing
- Incubation and Mentorship Support
- Establishment or strengthening of green business incubation hubs
- One-on-one mentorship with industry experts and successful entrepreneurs
- Business plan development and validation support
- Legal and regulatory guidance for business registration and compliance
- Access to Finance and Seed Funding
- Provision of seed grants or revolving funds for start-up development
- Facilitation of access to impact investors, green funds, and microfinance institutions
- Support in developing bankable business proposals and pitch decks
- Market Linkages and Scaling Support
- Market research and value chain integration support
- Linkages with buyers, suppliers, and distributors
- Participation in trade fairs, exhibitions, and green innovation forums
- Support for scaling successful enterprises and regional expansion
Gender and Social Inclusion
The project will adopt a strong gender and social inclusion approach by:
- Ensuring at least 40–50% participation of young women entrepreneurs
- Providing tailored mentorship and flexible training schedules
- Addressing barriers faced by marginalized and disadvantaged youth
- Promoting safe, inclusive, and youth-friendly entrepreneurial spaces
Environmental and Climate Impact
The initiative directly contributes to environmental sustainability by:
- Reducing greenhouse gas emissions through clean energy and low-carbon solutions
- Promoting sustainable resource use and circular economy practices
- Reducing waste and pollution through recycling and eco-innovation
- Enhancing community resilience to climate change
Each supported enterprise will be required to demonstrate measurable environmental benefits as part of its business model.
Expected Results and Outcomes
Outputs
- Youth trained in green entrepreneurship and business skills
- Green start-ups established and incubated
- Seed funding disbursed to viable youth-led enterprises
- Partnerships established with investors and market actors
Outcomes
- Increased youth employment and income generation
- Growth of sustainable, youth-led green enterprises
- Improved adoption of green technologies and practices
- Strengthened local green economies
Long-Term Impact
- Contribution to climate change mitigation and adaptation
- Reduced youth unemployment and poverty
- Promotion of sustainable and inclusive economic development
Monitoring, Evaluation, and Learning (MEL)
A robust MEL framework will be implemented to track progress and impact:
- Baseline and end-line assessments
- Regular monitoring of enterprise performance and job creation
- Environmental impact indicators (emissions reduction, waste diverted, energy saved)
- Learning workshops and knowledge sharing
Data-driven learning will inform adaptive management and continuous improvement.
Sustainability and Exit Strategy
The project is designed for long-term sustainability through:
- Strengthening local incubation ecosystems
- Building lasting partnerships with financial institutions and investors
- Promoting reinvestment of profits into enterprise growth
- Encouraging policy engagement to support youth and green entrepreneurship
Graduated enterprises will continue operating independently, contributing to local economies beyond the project period.
Partnerships and Stakeholders
Key stakeholders include:
- Government agencies and local authorities
- Private sector and green technology providers
- Financial institutions and impact investors
- Academic and research institutions
- Civil society and youth organizations
Collaborative partnerships will enhance impact, scalability, and sustainability.
Budget Overview
The total project budget will cover:
- Training and capacity building
- Incubation and mentorship support
- Seed funding and financial facilitation
- Staffing, monitoring, and administration
A detailed budget breakdown will be provided separately based on donor requirements.
Conclusion
Green entrepreneurship represents a powerful pathway to address youth unemployment while accelerating the transition to a sustainable, low-carbon economy. By investing in youth-led green start-ups, this project will unlock innovation, create decent jobs, and deliver measurable environmental benefits. The Green Entrepreneurship and Start-Up Support for Youth initiative aligns with global development priorities, including climate action, decent work, and sustainable economic growth, and offers a scalable, high-impact model for inclusive development.
