Youth in Construction and Property Summit KZN JOINT

Youth in Construction and Property Summit KZN JOINT SMME RISK FUND AND YOUTH DEVELOPMENT PROGRAMMES Mr. Muntu Dube 10 June 2009

1. Presentation Outline q DEDT Key Programmes q Youth Economic Empowerment objectives q YEE Programmes q KZN Joint SMME Fund q KZN DEDT/ PUBLIC WORKS q Contacts q Conclusion

2. Key Programmes (DEDT) • Business support – access to markets • Business Finance – Cooperatives and SMME Programmes • Training and Capacity Building • Sector Development • Local Economic Development

3. Youth Economic Empowerment (YEE) • To ensure meaningful youth participating in the mainstream economy- KZN • To ensure stakeholder collaboration for youth economic empowerment in KZN • To continuously develop and implement policies and strategies for Youth economic Empowerment in the Province

4. Programme focus areas (YEE) • Youth Enterprise Development – Establishment and continuous support of the Provincial Youth Chamber the KZN Youth Chamber of Commerce (KYCC) – Advising and Referrals on Access to Markets and Finance • Employment Programme – Provincial Employment Readiness and Placement Project – Unemployed graduates register on the database – Training and placement on available opportunities, AS AND WHEN THEY BECOME AVAILABLE

5. Programme focus areas (YEE) cont • Information Dissemination and Capacity Building – YEE DVD available – www. kznyouthbiz. co. za

6. Programme focus areas (YEE) cont • Leanerships, New Venture Creation and Training – KZN Youth Technical Skills Training • Refrigeration and Air-conditioning and Construction (Full for 2009)

7. KZN Joint Risk SMME Fund Objectives • Risk mitigation for SMME’s • Enable access to finance • Encourage increased bank participation in SMME finance

8. PARTICIPATING FINANCIERS To capture viable business proposals which may be lost through normal banking (lending) criteria, the department concluded separate funding agreements with: § Ithala § Standard Bank of South Africa § ABSA

9. RISK SHARING • The department and banks contributed jointly towards a Risk Fund • In case of default (after exhausting normal options) risk to be shared equally

10. SERVICE PROVISION DEDT is finalising service provision appointment towards subsidised business planning, presentation to banks and business support

11. KZN DEDT/ PUBLIC WORKS Formalising partnership towards the development of the Funding and Business Support programme targeting emerging contractors (including Youth) in Kwa. Zulu Natal

12. ACCESSING THE FUND Contact Ø Department of Economic Development Ø One Stop Shop Business Centres Ø District Managers Ø Banks- currently centralised loan processing Ø Ithala Ø Standard Bank of South Africa Ø ABSA

Youth Programme contacts Mr. Thami Zondi Tel: 033 264 2500 zondit@kznded. gov. za visit www. kznyouthbiz. co. za Charlene (Ifihlile Training Academy) Tel 031 369 0300

KZN Joint SMME Fund Contact Mr Muntu Dube or Ms Jabu Mngoma 270 Jabu Ndlovu Street Pietermaritzburg 033 264 2500

THANK YOU