Project Generate Income Opportunities For the Youths In The District Of Hambantoata.

Introduction
The project was launched in 2006 November with the co-operation of Region of Umbria in Italy. The general objective of the action consists in fighting Youth unemployment and poverty in Hambantota District. More specifically, the project targeted at generating income opportunities for Youth offering to unemployed graduates and young micro-entrepreneurs in Hambantota District and market-oriented training and funding.

Country and Region of implementation

In Sri Lanka poverty influences one fourth of the inhabitants. In the urban centers such as Colombo and the other cities attracting tourism, the majority of the inhabitants live as medium-income Europeans. However, in the rural areas, low-income population lives under bad socio-economic conditions. Hambantota district is located about 240 kilometers south of Sri Lanka’s capital Colombo. One of the country’s most remote and poorest regions, the majority of its population lead a hand-to-mouth existence surviving through fishing, small-scale agriculture, salt farming or tourism. Notwithstanding the tourists visiting the area every year, over one-third of the 533,000-strong population live below the poverty line, 26.3 percent of all households are officially categorized as poor, and youth unemployment is rampant. The district records one of the country’s highest suicides rates, mainly due to endemic poverty. In addition, Hambantota district is one of the areas worst affected by the tsunami that hit the country on December 26, 2004.


Target Group

The direct beneficiaries of the project include youngsters living in hambantota district aged between 15 and 28 that are either self-employed in their own micro-enterprise or University graduates (newly-graduated) interested in creating their own business. 100 young people (at least 40% women) from both urban and rural areas of these districts benefited from the actions proposed by this project raising their income and improving their living standards.

Indirectly, the project affected the lives of the families of the youth involved in the project and influences positively the local economy of the district as well as social, educational and institutional aspects of life in these Districts.
© 2007 SWYAA of Sri Lanka. Webmaster Akil
Project Duration
18 Months

Following were the Expected Results Of the Project
A Service Center for young entrepreneurs will be created supplying with legal, administrative, financial and marketing assistance
20 trainers will be trained
55 unemployed graduates will be trained to start up their own enterprise
70 young micro-entrepreneurs will be trained in order to become more competitive in the local market
100 trainees will receive a funding to implement an innovative business project
50 trainees will receive extra credit from local banks (credit organizations) in order to carry out their plan
2000 brochures, 600 posters, a publication and a video will disseminate the project’s activities and results
The President of the Republic of Sri Lanka will award the 3 most innovative entrepreneurs.

Following Expected Results has been achieved during the past twelve Months
A Service Center for young entrepreneurs will be created supplying with legal, administrative, financial and marketing assistance
20 trainers will be trained
55 unemployed graduates will be trained to start up their own enterprise
70 young micro-entrepreneurs will be trained in order to become more competitive in the local market
100 trainees will receive a funding to implement an innovative business project


How we achieved the Expected Results

Awareness Raising Campaign

      National Paper Advertisement
      National Radio Interview -Sri Lanka Broadcasting Co-operation
      Posters in three languages
      Brochures in three Languages
Individual Letters -for whom registered by the Small Enterprise Division, Chamber Of Commerce, G.A s office and other local NGO s.


Opening Conference
The Opening Conference was held in January 31st as the final part of the Awareness Program. Basic Information about the Program was given to the all the youths at the conference. Special Delegation From the Region Of Umbria participated in this conference and had several discussions with the Local Partners of the Project during the same day.

Training of Trainers
The Training Program for the Trainers who are going to train the Entrepreneurs was held from 1st February to 6th February 2007.

Interviews
Calling for Applicants- Application format sent to all the applicants (as agreed in the TOT) with the Interview letter.
Preliminary Interviews - The main purpose to have the interviews is to check the business idea with what he or she has written in their particular applications. (Give a chance to the youths with less writing ability but more business capability).


Selection of 125 Applicants 
Following were the main areas, which the interview committee focused when selecting 125 Applicants.
Basic Application Content
Preliminary Interviews
Age
Business Environment
Experience     
Pass mark for the interviews > 50

Apart from these aspects, Tsunami Affected persons, Special skilled persons and persons who are successful in their on going business age between 30-35 were given a preference.


Interview Committee
Interview Committee Consisted of the persons from following authorities
SWYAA Sri Lanka
Small Enterprise Division
Chamber Of Commerce


Case Studies
Case studies were done for the Applicants, which was required.

Training
Conducted by Officers of the Small Enterprise Division who participated in this TOT Program.
10 days Training Program
3 Groups of Trainees. One Group consist 40-45 Trainees.
Venue- ‘ViharaMaha Devi Kantha’ Training Centre-Mirijjawila/Hambantota
Following is provided for the Trainees during the program
Lunch
Tea
Stationary
Training allowance
Training materials

     Training Certification was given at the completion of training.


Final Project Report
After the completion of 10 days of Training, the 125 Trainees submitted a detailed Technical project Report.
First all the 125 Trainees was checked with local Network and were verified there are no Trainees who have a bad history regarding the loan payments. This list was sent to the chamber of commerce and small enterprise division for this purpose.
The Interview Committee met one day with all the 125 Project reports and selected the final 100 Applicants for the funding.

Final List was published by 30th April 2007 by
·Individual Letters And in the notice boards in
·Service Centre
·Small Enterprise Division
·Chamber Of Commerce
·NYSC
·GA’s Office


Funding Mechanism
Selected hundred youths for funding were issued a loan application with two Referees recommending them, preferably from authorities such as Small Enterprise Division, Chamber Of Commerce and GA’s office.
The selected youths were advised to open bank accounts (who are not having bank accounts) and necessary arrangements were done to provide with them relevant bank documents of particular banks.

The required loan amount were issued to the particular loan applicant by a ‘Pay Order’ Or
A direct fund transfer transferred the loan amount to the particular loan applicant.
On both occasions the official bank document issued by the particular bank,  
       Attached with loan application of the each applicant.

A copy of the direct transfer or the Pay Order kept with SWYAA records as proof document, which was signed by the loan applicant.


Consultancy

Six Consultants were appointed.
Consultants consisted from the people from the following authorities.
oChamber Of Commerce - One Person
oSmall Enterprise Division -One Person
oSWYAA Sri Lanka- Three Persons
oMinistry Of Youth -One Person

Two consultants form SWYAA Sri Lanka is full time available and two other consultants are available in roster basis from the other four part time consultants.

The Consultants were appointed in the sections of Legal, Finance, Marketing, Administration.


Activities Conducted during the Coming Twelve months

Recovery
·Two months grace period for new businesses and selected special existing Business.
·Two banks will be nominated and will be informed to Applicants to deposit their monthly installment.
·Installment should be deposited in first seven days of every month.
·The deposited slip should be posted or deliver by hand to the ‘Thurunu Saviya’ Service Centre.
·Monthly Payment records of each applicant will be updated in the system and will be filed in each applicant’s personal file.
·Four field officers will be appointed for the recovery process giving the responsibility of 25applicants for each field officer. They will be appointed for the twelve months period starting from month of May 2007.
·If the payment delays for two weeks than the payment date field officers will visit the applicants place and inquire their situation. And remind about the payment..
·If tow months of non-payment warning letters will be sent to the particular loan applicant.
·If the payments are not occurred call the particular loan applicant for the Mediation Board.(This is not a court procedure but this is the first step of legal procedure.)
·Finally inform the local creb (network) regarding the loan applicant bad payments.


D)9.0 Monitoring
·SWYAA will issue a ‘Thurunu Saviya’ logbook for each loan applicant. Their Payment history details, visits by the field officers and their remarks will be recorded in this book.
·Filed officers will visit the Applicants business progress every month and their visit will be marked in the logbook.
·Delayed payment applicants will be called for the Service Centre to provide the consultancy to their problems.
·If the applicants are not coming the consultants will visit their place
·Best three Youth Entrepreneurs will be selected considering the following areas.
Payment Settlement
Success Of the Business
Special skills
Business Growth
·Monthly Board Meeting will be held in every first working day of the month. The progress of the project will be discussed with the feed back from the field officers and solutions will be given to the problems raised.

Board will consist from the following persons
·Chairman -Project Manager
·SWYAA Sri Lana-Two person
·Chamber Of Commerce-One Person
·Small Enterprise Division-Two Persons
DSCF0010
DSCF0007
DSCF0036
DSCF0041
DSCF0052