YouWIN!

Back to Atlas

The YouWiN! (Youth Enterprise with Innovation in Nigeria) program is a Nigerian government initiative designed to support young entrepreneurs as they start up new businesses within the country.
What are the main aims and objectives?
The YouWiN! (Youth Enterprise with Innovation in Nigeria) program has several key objectives. Firstly, it aims to foster a culture of entrepreneurship amongst Nigerian youths by promoting business innovation. Secondly, it seeks to generate sustainable job opportunities to mitigate the high levels of youth unemployment in the country. Thirdly, YouWiN! strives to provide financial and technical support to entrepreneurs to boost the growth of Small and Medium Enterprises (SMEs). Lastly, it aims to increase the economic contribution of these SMEs to Nigeria's GDP. 
How does the program work?

Nigeria YouWIN! is a unique youth entrepreneurship initiative which offers 1,200 grants of 10 million Naira each (around €28,000) to young Nigerians with the aim of empowering young Nigerians to start or expand existing businesses. What is unique is that the program did not actually select the winning applicants; they were chosen randomly. 

YouWIN! was founded in 2011 to address the growing unemployment rate in Nigeria. Led by the Nigerian government, this unique initiative distributed 1,200 grants of 10 million Naira each (around €28,000) to young Nigerians with the aim of empowering young Nigerians to start or expand existing businesses. Over 24,000 hopeful entrepreneurs submitted business plans to the competition. The highest scoring plans were automatically funded, though it’s worth noting that 729 of the 1,200 winners were randomly selected from a group of 1,841 runners up. 

Individuals submit detailed business plans which are then reviewed by a panel of experts. Selected participants are granted financial rewards, often in the form of equity contributions or low-interest loans. 

The program also offers capacity-building support, providing participants with the necessary training and mentorship to successfully implement their business plans. The aim is to cultivate a new generation of entrepreneurs who can drive economic growth and employment in Nigeria. 

What is the overall cost?
There is no available information about the overall running costs of the YouWiN! Program, however, the grants alone would have cost 120,000 million Naira (approx. 33.6 million euros). This would not include the administrative cost of running the program.  
How was it implemented?

The YouWiN! (Youth Enterprise with Innovation in Nigeria) program was developed as a response to the high unemployment rates and need for job creation in Nigeria. It was launched in October 2011 by the administration of President Goodluck Jonathan. The program was structured as a business plan competition to encourage and support aspiring entrepreneurial youth in Nigeria to develop and execute business ideas. The winners of the competition would be given grants to start or expand their business. 

A partnership of several ministries, including the Ministries of Finance, Communication Technology, Youth Development, and Women Affairs and Social Development, was established to implement the program. The World Bank, DFID, and the Nigerian private sector also provided technical support. The program was designed with a gender and geographical focus to ensure wide reach and inclusivity. 

The program's design and development involved a rigorous and competitive process, which included a series of capacity-building sessions, business plan development, and a final selection made by a panel of judges comprising experienced entrepreneurs and business experts. Over the years, YouWiN! has undergone several changes and modifications to better suit the evolving needs of the Nigerian entrepreneurial landscape. 

What impact has been measured?

A World Bank Report found that this initiative was highly successful. The study found that the competition was responsible for the creation of 7,000 new jobs, meaning each job cost about $8,500 (€7,624) to create; cheaper than most other job creation policies in developing countries. 

Additionally, three years after applying, new firm applicant winners were 37 percentage points more likely than the control group to be operating a business and 23 percentage points more likely to have a firm with 10 or more workers, while existing firm winners were 20 percentage points more likely to have survived, and 21 percentage points more likely to have a firm with 10 or more workers. 

What lessons can be learned?
To some surprise, the random funding initiative was successful and can serve as model for future programs. Policymakers should consider that the selection process for startup support programs can be costly and ineffective at picking the best candidates. Furthermore, overly rigorous processes can also potentially dissuade good candidates from applying. The YouWiN! Program eloquently demonstrates that entrepreneurial spirit amongst a large cohort is strong enough to be conducted on a randomized basis.   

CURATED BY

Chris Haley

Head of Research
United Kingdom