DA welcomes the Youth Micro Enterprises Relief Fund (YMERF)
22 April 2020
The Democratic Alliance (DA) welcomes the initiative by the National Youth Development Agency (NYDA) to extend relief funding to youth-owned enterprises through its Youth Micro Enterprises Relief Fund (YMERF). This fund could be significant in assisting young businesses owners who will likely face financial difficulty during this Covid-19 lockdown period.
These funds could go a long way in assisting youth-owned businesses in paying employees as businesses do not have the income and in some instances have had to wait for protracted periods for other funding mechanisms to pay out.
The DA encourages all youth-owned businesses to apply for the funding which will be capped at R 10 000 for every qualifying business. More information can be found on the NYDA’s website.
We are however concerned about certain aspects of the YMERF application form which relates to the racial and gender information of employees. While the criteria for YMERF funding does not make mention of any demographic requirements, the application form requires demographic breakdowns.
The DA will therefore write to the NYDA to request clarity on the selection criteria to ensure all young applicants are given an equal opportunity to access this much-needed funding. We hope that this relief fund will be open to all races, sexes or businesses in all areas. We call on NYDA to confirm that there will be no racial criteria for determining eligibility for Government-funded relief for youth-owned businesses affected by Covid-19.
This fund could play a significant role in alleviating some of the pressures caused by the pandemic and it is therefore vital that funding is extended to all youth-business owners.
Government has, to date, implemented very limited interventions to support young people who will be excluded by the social grant system, as well as young people who are not documented in the formal sector and are therefore are not covered by TERS/UIF. It is therefore critical that funds such as the YMERF exist as they are a step in the right direction to assist young entrepreneurs across the country.
Issued by Luyolo Mphithi,DA Shadow Minister on Women, Youth and Persons with Disabilities, 22 April 2020
