Liberia Launches Africa’s First Youth Bank to Tackle Unemployment Crisis

Liberia has made history by becoming the first country on the continent to launch a Youth Entrepreneurship Investment Bank (YEIB), a flagship initiative of the African Development Bank (AfDB) Group designed to combat the escalating youth unemployment crisis in Africa. The official inauguration took place on July 22 in the capital city, Monrovia, and was attended by Liberia’s President Joseph Nyuma Boakai Sr and AfDB President Dr. Akinwumi A. Adesina.

This milestone marks a significant shift in youth-focused policy, signaling a move away from aid dependency toward empowerment through private-sector-led development. The YEIB aims to unlock the potential of Liberia’s youthful population by financing youth-led businesses, nurturing job creators, and stimulating long-term economic growth.

Youth-Centric Development Strategy

With over 60% of Liberia’s population under the age of 30, youth employment is both a developmental imperative and a strategic priority. The Bank’s Country Focus Report 2025 for Liberia highlights chronic underemployment and informality as major barriers to inclusive growth.

The YEIB targets youth aged 18–35, offering them financial support, entrepreneurial training, and access to mentorship in high-opportunity sectors such as agriculture, agribusiness, digital services, knowledge-based industries, mining, and tourism.

According to projections, the initiative is set to finance 30,000 youth-led ventures, generate 120,000 direct and indirect jobs, and unlock up to $500 million in additional lending to youth enterprises. Moreover, it is expected to generate an estimated $80 million in government revenues through taxes, making it both a social and economic catalyst.

Strategic Financing and Collaboration

The establishment of the Liberian YEIB is backed by a $15.9 million grant from the African Development Fund (ADF), the concessional financing arm of the AfDB Group, along with $1.2 million in in-kind support from the Government of Liberia. This collaboration underscores a strong public-private commitment to long-term investment in youth economic participation.

President Boakai, in his remarks, emphasized the transformational promise of the YEIB:

“This program gives hope to our young people by turning them from job seekers into job creators. It will provide financing, mentorship, and the skills they need to succeed in agriculture, technology, and other emerging sectors.”

AfDB President Adesina echoed these sentiments, asserting:

“Liberia must not watch as its best assets—its youth—falter. The future of Liberia’s youth cannot be left to ‘hustling.’”

Recruitment for YEIB staff is currently ongoing, with full licensing expected to be completed in the coming months. The bank is slated to begin operations by early 2026.

Pan-African Momentum and Broader Economic Investments

Liberia’s YEIB is the first of its kind to be launched, but similar youth entrepreneurship banks have already been approved for Nigeria, Ethiopia, and Côte d’Ivoire. This movement represents a continent-wide recognition of the need to mobilize financial systems that directly empower Africa’s youth—three-quarters of whom are under the age of 35.

The launch also reflects Liberia’s broader engagement with the African Development Bank. Since joining the Bank in 1967, Liberia has received more than $1.02 billion in funding across 72 projects. As of early 2024, the Bank had 18 active sovereign operations in the country, with a combined value of $314.77 million. These investments target critical sectors such as transport infrastructure, energy development, and agricultural transformation.

Examples include:

• The Mano River Union road network project, connecting Liberia with regional neighbors

• Regional energy initiatives to strengthen power access and interconnection

• Agricultural programs aimed at supporting smallholder farmers and boosting food security

These efforts are financed primarily through the ADF and supported by other Bank Group facilities such as the Transition Support Facility and the Nigeria Trust Fund.

A Blueprint for African Youth Development

Liberia’s launch of the YEIB is more than a national policy shift—it is a continental beacon. The model offers a replicable pathway for other African nations seeking to convert their youth bulge into a demographic dividend.

As the YEIB takes shape in Liberia, it will serve as both a financial institution and a symbol of hope, signaling that young Africans are no longer mere beneficiaries of development—they are the architects of Africa’s economic future.