The Deputy Minister of Works and Transport, Veikko Nekundi, has moved a motion to discuss the possibility of incentivising the Namibian Student Financial Assistance Fund loan beneficiaries to boost entrepreneurship and job creation for the youth.
The unemployment rate in the country has been reported and estimated to be increasing daily, with the youth being the most affected, even after they have graduated.
"This motion strikes at the heart of two pressing challenges facing Namibia: the persistently high rate of unemployment, particularly youth unemployment, and the weighty burden of student debt from the Namibian Students Financial Assistance Fund."
Nekundi further gave prominence to these pressing matters by writing off student debts under the provision of fostering entrepreneurship and job creation among the youth, which can open doors to transformative change.
Nekundi says because graduates are unemployed, a lack of innovation for job creation is the reason beneficiaries are unable to pay off their loans.
"On the same note, the NSFAF human capital development "value chain" has faced significant challenges at two critical junctures: first job entry and debt repayment. These challenges include the absence of a research-based industry growth plan in the labour market, unrestricted educational and career choices without professional guidance, a lack of creativity and innovation in job creation, and sufficient government-backed startup capital. These factors have exacerbated graduate and youth unemployment in our country."