Ton Tacr

Technical Assistance Consultants Report
Project Number: 37151 March 2009
Tonga: Youth Enterprises Development

Financed by the Japan Special Fund
Prepared by Ofa-Ki-Levuka Guttenbeil-Likiliki National Consultant Nukualofa, Tonga For: Ministry of Training, Employment, Youth and Sports (MOTEYS) Asia Development Bank, Suva Office
This consultants report does not necessarily reflect the views of ADB or the Government concerned, and ADB and the Government cannot be held liable for its contents. (For project preparatory technical assistance: All the views expressed herein may not be incorporated into the proposed projects design.
Project Number: 37151 March 2009
TONGA: Youth Microenterprise Development Project
Prepared by Ofa-Ki-Levuka Guttenbeil-Likiliki National Consultant Nukualofa, Tonga For: Ministry of Training, Employment, Youth and Sports (MOTEYS) Asia Development Bank, Suva Office
CONTENTS Page I. II. EXECUTIVE SUMMARY BACKGROUND A. Tonga Situation B. Youth Issues C. Youth Activities THE TECHNICAL ASSISTANCE A. Objectives B. Changes to Initial Design C. Implementation Arrangements and Issues D. Phase 1 Study of International Best Practices E. Phase 2 National Youth Survey F. Phase 3 Implementation Plan CONCLUSION 1 3 3 4 6 8 8 9 9 12 21 27 29
III.
IV.
APPENDIXES 1. List of Persons Met 2. Initial TA4488 TON Technical Assistance Framework 3. Revised TYMDP Work plan, November 2007 4. National TYMDP Survey Report, 2008
33 34 35 40
1 I. EXECUTIVE SUMMARY
1. With a youth population that makes up more than half of the total population, unemployment on the rise and the increase of emerging challenges in youth dynamics the Asia Development Bank (ADB) technical assistance (TA) to Tonga TA4488-TON: Youth Microenterprise Development Project (TYMDP) was readily welcomed by the Government of Tonga as a means of addressing, to some extent, the issues of youth unemployment and the lack of youth participation in economic development in Tonga. It was envisaged that designing a microenterprise program that would benefit youth would not only improve their status but would also provide training and support on key business concepts, skills and techniques that is otherwise not available in the existing formal education curricula. 2. The TA aligned with the Tonga National Youth Strategy 2007 2012 (TNYS), 1 an approach by the Government to address youth issues in Tonga. The TNYS envisages that, with the full cooperation of all involved in addressing youth issues, the young people of Tonga can look forward to a better future and the fulfillment of their aspirations and needs. Consequently the TNYS also aligns itself with the national Strategic Plan 2006/07 2008/09 (SDP-8) and its objectives and therefore it is a response at the national level and a strategic framework for addressing youth concerns and issues and hence calling for concerted efforts amongst all stakeholders.2 The vision of the National Youth Strategy is to improve the quality of life of young people through fostering an empowering environment that promotes employment creation, skills development, healthy living, community service and mainstreaming youth participation in development. 3. It is hoped that the key outcomes of the project will benefit the core youth groups identified in the TNYS, In School Youth - students (15 to 24) enrolled in secondary and tertiary level studies to gain secondary, tertiary or technical qualifications, Out-of-School Youth students (15 to 34) who have dropped out of school without qualifications and those who have completed studies and attained the appropriate qualifications, Youth with Disabilities those (15-34) with disabilities but who are able to make a contribution to family and economic activities, Young Offenders young people (especially 2030) who commit crimes and are convicted in a court of law, Deportees young Tongans deported (15-34) from overseas countries due to criminal convictions all of whom give a good representation of youth groups in Tonga. 4. One of the key issues raised throughout the implementation of the TA was the critical importance of acknowledging and working with the existing resources and partnerships which already had strong links to, and who are working with networks of young people throughout Tonga and/or who are participating in, or supporting, local enterprises. In this way, it was hoped that the TA would build on key local resources and skills when progressing with the TA implementation. 5. The implementation of the TYMDP was carried out in 3 phases. Phase I was a study of international good and innovative practices in youth enterprise development, Phase II involved a national survey on the current situation of youth identifying their knowledge of microenterprise, economic and literacy skills and leadership potential and Phase III was the development of an implementation plan aimed at a country-wide roll out.
When the project commenced in 2005 the TNYS was not yet developed, however when the TNYS was launched it showed clear links to the TA4488 TON TYMDP project objectives. 2 Tonga National Youth Strategy 2007 2012, (2007)
2 6. Phase I clearly identified a wide-range of international best practices as well as programs and initiatives whose goals, characteristics and operations might be particularly relevant to the Tongan context and in response to the ideas raised in the Inception Report. The summary of such practices include those from both the Pacific and internationally: (i) (ii) (iii) (iv) (v) (vi) training resources and materials, access to markets and the ability to get products and services to buyers (local and regional export), access to appropriate vocational/skills training; exposure to new ideas and concepts, access to appropriate financial services (credit for working capital, deposit accounts for security of cash, insurance, etc.), planning, record keeping, bookkeeping, budgeting, cash flow, etc. ongoing mentoring, advice and support by experienced, successful business people
7. Further analysis reiterates the differences in economies and infrastructures, whereby Tonga is clearly at a disadvantage with regards to available resources, trained personnel, key supporting agencies and well established systems and processes. An attempt to rectify this concern is discussed under Phase III with the proposed development of youth microenterprise support project hubs. 8. Phase II the national youth survey provided an indication of youth experiences, their skills and perceptions on microenterprise and their general understanding of how they see the business environment in Tonga. One of the main concerns identified by the survey was that the majority of respondents lacked basic financial literacy, confidence in their leadership skills and were wary of trying microenterprise development in the fear of failing due to a lack of knowledge of how to start up and/or maintain a small business. The inspiration to dream about owning a business was even a difficult task for most to imagine. Also highlighted was the inability of a large number of respondents to maintain a savings account with a bank. The survey clearly identified and validated the need for the strengthening of financial literacy training, the exposure to new ideas and concepts of microenterprise development and more pressing the need to introduce more entrepreneurial concepts and ideas into the earliest stage of child development as possible (school curricular) and eventually the development of a Youth in Business Awards to promote and encourage participation in this area amongst youth. 9. Phase III presents the proposed implementation plan as collated amongst key stakeholders throughout the TA implementation. A key component of the plan is based on the idea of creating hubs amongst key stakeholders.3 It propose to bring together partners whose services and support are required to develop successful youth microenterprises in Tonga and whose goals are complementary to the TAs overall objective. Due to delays in the implementation of TA activities, key stakeholders have changed, priorities and initiatives have shifted and commitments and support for the TA has had mixed responses. The momentum and impetus shown at the very beginning of the project has lessened which has impacted the achievement of the overall objective of the TA.
These hubs are detailed in section IV (c)
3 10. The final TA activity was a Stakeholders Workshop4 which reiterated to stakeholders of the overall objective of the TA and highlighted the work already undertaken by the Ministry of Finance and the Ministry of Training, Employment, Youth and Sports (MOTEYS) with support from the ADB TA. The presentation by MOTEYS discussed: the TAs background, objectives and outcomes; work undertaken during the initial inputs; issues arising around where to from here; and an opportunity for stakeholders to make recommendations on the way forward. 11. It was particularly encouraging to note that the national consultant contracted under the TA has been retained by MOTEYS5 and has continued to conduct trainings and workshops on basic financial literacy and the concept of microenterprise. The training materials used to conduct these trainings was developed under the TA. In addition, the national youth survey is being used by to prepare a comprehensive report to guide the development of policies6 and proposed activities to increase the participation of youth in microenterprise commencing from the early stages of the school curricular through to secondary level linking key subject areas to vocational studies and entrepreneurship. 12. Whilst these resources are being used for ongoing and follow on initiatives and despite the loss of momentum during the prolonged implementation, the overarching idea of providing young people in Tonga with the opportunity to participate in microenterprise activities is still manifested in peoples minds. Whilst it is accepted that it is not the only answer or response to youths economic inclusion, it is however supported as an option that should be made available to our youth and supported by the relevant stakeholders. II. A. Tonga Situation BACKGROUND
1. The Kingdom of Tonga has 3 large island groupings: Tongatapu and Eua, Vavau and Haapai and the Northern Island group of Niuafoou and Niuatoputapu. Located in the South Central Pacific, the Kingdom consists of 171 low-lying coral and volcanic islands of which 36 are inhabited. The total land area is approximately 747km stretching over 360,000km of sea within the South Pacific Ocean. 2. The November 2006 Population Census of Tonga shows a 0.34% increase, with a total population of 101,134 compared with 97,784 recorded in 1996. The gender breakdown shows 50.6% are male and 49.4% are female. The largest portion lives on the main island of Tongatapu (71,260) followed by the Vava' (15,485), Haapai (7,572) Eua (5,165) and the Niuas (1,652). More than half the total population is under the age of 34 as illustrated in Table 1 below:
4 5
Stakeholders Workshop, March 2009 After the completion of her contract with the TA4488 project she is continuing as daily paid staff 6 In their National Youth Strategy Policy Document
4 Table 1: Population distribution by broad age group, dependency ratio, median age and sex ration
Divis ion Proportion of population by broad age group (in %) 0-14 15-24 25-29 60+ 39 38 39 38 40 40 40 38 39 40 42 38 20 19 21 20 18 17 17 18 20 18 16 16 33 35 33 35 33 34 33 34 34 34 34 35 8 8 7 8 9 9 10 10 7 8 8 10 Age dependency ratio (15-59) 88 86 85 83 97 96 101 91 85 91 101 96 Media n age (years) 19.9 21.0 19.9 21.2 19.6 20.2 20.3 20.9 19.9 19.7 18.9 21.5 Sex ratio (males per 100 females) 103 103 102 102 105 104 102 107 114 108 100 101
TONGA Tongatapu Vava'u Ha'apai 'Eua Ongo Niua
1996 2006 1996 2006 1996 2006 1996 2006 1996 2006 1996 2006
Source: Tonga Statistics Population Census 2006 Analytical Report Volume 2.
This is further reiterated in the Tonga National Youth Strategy7, where it notes that 73% of the total population is under the age of 34. The strategy identifies youth as young men and women between the ages of 15 and 34 years 3. Tonga has a non-monetary economy, with remittances from relatives and friends living abroad recorded as its largest income8. Private remittances from up to 100,000 Tongans living abroad are a crucial source of additional income for the resident population. A recent World Bank study showed that total remittances were official recorded as being equivalent to 42.5% of GDP in 2004, with 91% of households receiving cash remittances averaging US$3,067 per household and US$753 per capita. 9 Remittances supported consumption and investment in assets and education, as well as significantly improving average incomes of the poorest households. Remittance income is also relatively stable, countercyclical offsetting the high vulnerability of the economy to fiscal contraction, natural disasters, crop diseases and fluctuations in world markets.10 B. Youth Issues
4. The changing dynamics in youth culture in Tonga is becoming more evident with emerging youth related issues steadily increasing over the last 10 years, coupled with the overarching issue of widespread youth unemployment becoming more and more of a problem. Emerging issues such as the increase of deportees mostly from the Tongan diaspora living in New Zealand, the United States of America and Australia has seen scores of on-going challenges faced by Tongan families and societies who are often ill-equipped to cope with the
Tonga National Youth Strategy 2007-2012, (2007) Economy: Tonga 10/07 < www.state.gov/r/pa/ei/bgn/16092.htm - 46k -> 9 World Bank 2006. Pacific Islands At Home & Away: Expanding Job Opportunities for Pacific Islanders Through Labor Mobility. 10 An index of output volatility calculated by the Commonwealth Secretariat for 111 countries during the period 198092 placed Tonga as the fourth most volatile on the list, attributing this high volatility to economic exposure through a narrow export base, which currently consists mainly of squash and fish exports. Tonga suffered 16 natural disasters between 1950 and 2004, with economic losses averaging 14.2% of GDP during the disaster years. (Atkins, J.P. and Mazzi, S. 1999. Small States: A Composite Vulnerability Index. Joint Commonwealth Secretariat/World Bank Task Force Conference on the Small States, St. Lucia, West Indies, 17-19 February 1999. World Bank 2006. Not if but when: Adapting to Natural Hazards in the Pacific Islands Region. Washington).
8 7
5 social, economic, cultural and political demands required by this particular group of youths, to the steady increase of teenage unplanned pregnancies and sexually transmitted infections (STIs). School drop out rates are also steadily on the rise. 5. Tonga does not have a Social Welfare Department or Ministry neither the capacity to holistically deal with the wide ranging social issues faced by the youth population (teenage unplanned pregnancy, single mums, drugs and alcohol, deportees, school drop outs, attempted suicide, unemployment). With approximately half the population under the age of 20, government is committed towards the achievement of universal basic education and improvements to both primary and secondary school education providers. 11 Early Childhood Education is not compulsory12, Primary School Net Ratio in 2000 was at 89.4%13, survival rate to grade 5 in 2000 was at 92.5% and a total Secondary School Net Enrolment Ratio of 67.7% of which 61.2% are male and 75.0% are female.14 Compulsory attendance at school is between the ages of 6-14 years with a recent proclamation by King George V encouraging an earlier start at the age of 5 years and increasing the leaving age to 18 years15. 6. Early school drop out and unemployment rates among youth are on the rise. Government owns 99% of Primary Schools and 44% of Secondary Schools (majority owned by the Church). Higher education is available which includes the Queens Salote Nursing College, Atenisi University, Teachers Training College, Unuaki O Tonga Unitech, Tonga Institute of Higher Education (TIHE), University of the South Pacific Extension Tonga and a number of private, church and government owned technical and agricultural schools. However, most higher education is pursued overseas, particularly in Australia and New Zealand. 7. According to the Youth and Mental Health Situation Analysis Tonga Report (2009), unemployment has remained the number one priority area out of ten priority areas of the Tonga National Youth Congress over the last decade. For many unemployed youth the desire to migrate overseas to find work has become the solution for many, thus resulting in the increase in illegal immigrant statistics particularly in New Zealand, Australia and the U.S.A. One parent commented,
I had to send my son to the US because none of us here work. My older son who lived in the US had passed away and he was the one we depended on to send money home, so I had to take my youngest son with me to the funeral knowing that I would return and leave him behind to stay on and look for work.my son was 15 at the time I left him in the states and he is now 18 years old and has not yet got his paper to legally reside over there16
8. The same report notes that for most of the youth who remain in Tonga unemployed are faced with a whole range of issues. For example, young females choosing to get married earlier than expected because they feel useless staying at home and not being able to contribute financially. Alternatively, they find comfort in marrying a person who has a job in the hope that he would contribute to her familys economic needs. Others find solace in drugs and alcohol (using and selling) and for male youths in particular they leave home to live with other boys in either a village hut or another friends home hoping that it would be better off for their immediate
11 12
This commitment is made by Government in the SDP-8 and Tonga Education Support Program Tonga Situational Analysis of Children, Youth and Women, 2006 13 Pacific Regional MDG Report, 2004 14 UNESCO/UIS Database, 2004 15 King George Tupou V Speech Opening of Parliament 2007: The intention is that within the next 3 years, 60% of school leavers shall be accepted into institutions of higher learning, technical and vocational training and within 5 years, 90% 16 Youth and Mental Health Situational Analysis Tonga Report, 2008
6 families with one less mouth to feed. Others find themselves involved in criminal activities based on the mindset survival of the fittest. 9. An approach to address these youth issues is evident in the Tonga National Youth Strategy (TNYS), 200717 The vision of the TNYS is to improve the quality of life of young people through fostering an empowering environment that promotes employment creation, skills development, healthy living, community service and mainstreaming youth participation in development18. Consequently, the TNYS sets out 5 key objectives to achieve over the 2007 2012 timeframe; (i) Employment Creation economic hardship is eliminated through targeted and equitable employment and income generating opportunities (ii) Skills Development all young people are provided with educational opportunities which develop their talents and abilities, and help ensure a prosperous future for individuals and communities (iii) Healthy Living all youth of Tonga are empowered to practice healthy lifestyles and behaviour through accessing high quality health education, life-skills training and youth-friendly health services. (iv) Community Service the value of community service is recognized at all levels of society and encourage young people to play an active role in community development. (v) Participation and Advocacy the value of community service is recognized at all levels of society and encourage young people to play an active role in community development. 10. The Ministry of Training, Employment, Youth and Sports (MOTEYS) is the national coordinating body for the implementation and monitoring of the TNYS where it notes that although its timeframe is set for the period 2007 to 2012, the strategies and strategic actions set out in the TNYS will have long-term impacts on the lives of young people. C. Youth Activities
11. A number of youth development projects are currently underway in Tonga. Several have previous or existing components which provide useful reference points for the TYMDP. The Tonga Fisheries Project has a Special Incentives Fund and a Community Fund, both are microcredit funds specifically aimed at fisherman. The Solid Waste Management Program has had good experiences mobilizing youth (particularly in schools) by using drama groups to promote their message. The Program tried to have recycling messages introduced into school curricula but found that to add or amend elements of the existing curriculum would take considerable time and effort. Instead, it was decided to gain permission from schools to run special workshops and displays. These were very successful and recycling messages are now being included in some school programs in addition to the existing official curriculum.
The Strategy was developed in 2006 through the joint efforts of the Ministry of Training, Employment, Youth and Sports of Tonga and the Tonga National Youth Congress with the guidance of the Pacific Youth Bureau of the Secretariat of the Pacific Community. 18 Tonga National Youth Strategy, 2007
17
7 12. In addition, the MOTEYS is currently preparing to launch a 4 year TVET project19, jointly funded by AusAID and NZAID, which identifies specific vocational training needs and enables international trainers with expertise in the identified area of need to come to Tonga to provide vocational training which is linked to employment. Wherever possible and/or appropriate, TYMDP could seek to coordinate with these training activities. 13. At present, the Tonga National Youth Congree (TNYC) is the key organization working with youth on youth-related issues in Tonga. Almost all of its programs are donor-funded and apparently self-initiated or in response to donor requests. TNYC receives very limited government funds (currently T$10,000 pa) but appears to be very little coordination or direction from government in terms of TNYC's policies and programs. 14. Currently, TNYC programs include: organizing an annual youth parliament (funded by the British High Commission, AusAID and NZAID), Pacific Life Skills (UNICEF and SPC-funded), Tonga National Volunteers (with AusAID, NZAid and UNDP funding) and a very small microfinance program (funded by the British High Commission). Excepting two staff who is specifically working on funded projects, all others are unpaid volunteers. TNYC has only recently received funding (via an organizational strengthening grant from NZAID) to cover the salary of its Director. It receives dues (T$300 pa per youth group) from youth group members but no other funding to support core operations. 15. TNYC has strong, island-wide networks of youth groups. It has basic infrastructure and both Tongan volunteers and seconded Peace Corps volunteers in place on all the main islands. For TYMDP, the National Youth Congress would play an important role by using its existing island-wide networks of youth groups to mobilize young people and build awareness of the youth microenterprise development program and microenterprise training opportunities. Their network of volunteers would also provide ongoing support, motivation and direction to young people who may indicate interest in developing a microenterprise and would be able to link them to the TYMDPs various service providers. 16. TNYCs strengths include: access to Tonga-wide youth networks, basic infrastructure on all islands, Peace Corps links and support, prior experience working with young Tongans to initiate, support and implement microenterprises. Its weaknesses are seriously limited physical resources (training materials and supplies, computers, vehicles, etc.), disjointed project management and monitoring experience, a young and currently inexperienced (but keen) leader and, apart from a few of its Peace Corps volunteers, workers with very limited actual business experience. 17. TYMDP, if continued in a nationwide roll-out implementation, would plan to work with TNYC to strengthen their existing microenterprise support programs specifically via (i) assistance in developing and delivering a financial literacy training program, and (ii) a basic microenterprise training skills program. This has also been supported by the majority of stakeholders who had been consulted under the TA4488. It is hoped that both of these initiatives could benefit from existing materials and programs in use around the Pacific albeit with some adjustment for the Tongan context. TNYC is currently staffed largely by volunteers and it is expected that TNYC would need to contract in trainers to assist them with developing and delivering financial and business literacy programs. It had been proposed earlier that the TYMDP consultants (international and domestic) would provide technical assistance to ensure good practice in the content and delivery of training. However as both these consultants have
19
July 2009
8 moved on to other work, a request could still be made to the ADB to complete Phase III as according to the stakeholder recommendations at the recent workshop held in March.
18. The primary focus of Phase III, would be to initiate microenterprise, i.e. micro businesses. It is therefore very important to ensure that the project has a business-like approach in its microenterprise development activities. By linking to and incorporating private enterprise, the project would aim to provide young microentrepreneurs with examples of business operations and, hopefully, to provide experience of the practical realities of running a business. (This might include exposure visits and perhaps, work experience opportunities within private enterprises.) 19. There are a number of successful Tongan-owned and operated businesses which could provide excellent role models and case studies for young Tongan microentrepreneurs. A number of these business people have expressed interest in acting as mentors to young people wishing to start microenterprises. The TYMDP could work to incorporate these mentors into training and support programs matching mentors from specific industries (e.g. arts, agriculture and tourism) so that young Tongans wanting to start microenterprises in those industries might have tangible local examples as inspiration and support. 20. However, although there appears to be considerable verbal support from young people for income-generating opportunities, in reality the demand for, and involvement in, microenterprise activities may be very different. The existence of extended family networks to provide for basic living needs, the ability to access passive income from remittances, a lack of aspirations, and prior experience with unsuccessful project attempts make implementation of the project, with the target group, a challenge. Careful piloting and close monitoring will be a critical part of the projects implementation. While social and community development are important components in the projects implementation and outcomes, ensuring TYMDP has a clear business-like brand, purpose and accountability will be crucial in order to distinguish it from other youth projects with more social/community-related outcomes. 21. Consequently, the TNYC is severely under-resourced in terms of physical, operational and management capacity. They would require close mentoring and monitoring and assistance with the establishment of suitable project management and monitoring systems. Training of trainers will need to be undertaken to ensure that TNYC volunteers are able to implement financial literacy and basic microenterprise training programs consistently. These are real challenges that must be taken into account in the future implementation of proposed activities. III. A. Objectives THE TECHNICAL ASSISTANCE
22. The overarching goal of TA4488-TON: Youth Microenterprise Development Project (TYMDP) 20 was to provide young people in Tonga with the opportunity to participate in microenterprise activities. TYMDPs purpose was to develop a youth microenterprise development program based on proven models and capable of countrywide implementation. The TA outcomes was therefore aimed to (i) train young people and increasing their financial literacy, knowledge, skills, and experience in developing microenterprises, (ii) establish pilot microenterprises in various locations throughout Tonga, (iii) publish and disseminate a set of sound practices in microenterprise development, and (iv) encourage the development of a government-endorsed implementation plan for the rollout of a youth microenterprise development program.
20
TA4488-TON: Youth Microenterprises Development Project approved in December 2004 for $250,000
23. The TA was borne from a direct request from the Government of Tonga in 2003 to the Asian Development Bank (ADB) during a Country Programming Mission. The request for assistance was to address concerns regarding the problem of young peoples economic and social exclusion. It was also in direct reference to social indicators identifying the increase of unemployed youth, petty crime, teenage pregnancy and substance abuse. ADB fielded a factfinding mission in April 2004 to discuss the rationale, scope, cost estimates, implementation arrangements and financing plan for the TA. 24. The Inception Report highlighted that consultations with various stakeholders confirmed the need for a microenterprise project, specifically aimed at youth, which is activity-based with practical and tangible outcomes. The possibilities raised in the inception report included: handicrafts - finding new markets (both internal and external) for Tongas handicrafts, identifying new product ideas and designs, contemporizing handicrafts without losing traditional techniques; eco-tourism - particularly village-based home stays and day tours opportunities; agriculture enabling accessibility to land and markets; investigating new markets (both internal and external) and new products; investigating value-added opportunities for traditional and new agricultural products, creating supply networks (perhaps via youth cooperatives) using tracts of available land. 25. The TAs outcomes therefore aimed at training young people with increased financial literacy, knowledge, skills, and experience in developing microenterprises; the establishment of pilot microenterprises in Eua, Haapai, Niuas, Tongatapu and Vavau, publication and dissemination of a set of sound practices in microenterprise development; and a governmentendorsed implementation plan for the rollout of a youth microenterprise development program. The initial Technical Assistance Framework is attached (Appendix 2) It basically identified the four following objectives; (i) To pilot microenterprises in agricultural sector (ii) Identify young people and provide training to increase knowledge, skills, and experience in microenterprise development (iii) To publish and disseminate set of good practices in microenterprise and distribute (iv) To develop an implementation plan for the roll out of country wide implementation (endorsed by government) B. Changes to Initial Design
26. Whilst a range of activities was undertaken during the initial stages of the TA4488 TON, revised TYMDP Work Plan, November 2007, attached (Appendix 3) the substantive TA activities was re-organized under three main phases; a. Phase I The identification of international and regional best practices in the area of microenterprise b. Phase II Conducting a national survey amongst youth looking at youths skills, experience and perception of microenterprise c. Phase III The development of an implementation plan that is capable of a countrywide roll out C. Implementation Arrangements and Issues 27. The initial implementation plan had originally identified the Ministry of Educations Shortterm Training Centre (STTC) as the TAs implementing agency. At the time, the STTC had 5 staff that was fully utilized on other existing operations and programs. Office space was limited
10 and existing human and physical resources were generally linked to the funding and requirements of specific donor programs (e.g. the jointly funded AusAID and NZAID vocational training project). There was very little capacity for dealing with any additional monitoring or operational requirements of the TYMDP and therefore it was noted that the TYMDP project needed to be structured so as to be largely self-sufficient. In addition, although there was a provision in the TYMDPs local counterpart budget for transport costs, the STTC did not have a vehicle. The ability to travel to youth group meetings and to monitor microenterprise activities in areas outside the main towns will be an important part of the TA so the potential lack of transport was a concern. 28. The TA was temporarily re-assigned to the Ministry of Finance and eventually transferred to the Ministry of Training, Employment, Youth and Sports (MOTEYS) established in 2007. The new ministry was given the mandate for youth affairs and is working with the TNYC and other stakeholders to achieve the vision and objectives set out in the TNYS, and to also take the lead in partnering with the ADB in carrying out and completing the TYMDP. 29. The TAs anticipated implementation plan was set to effectively commence in February/March 2006 with the project finalization expecting to take place 20 months later in October/November 2007. Table 2: Summarized Project Timeline, Activities and Deliverables
Trip 1 INCEPTION Summary of Key Project Activities Design of framework for microenterprise model Study of international experience in youth enterprise development 2 IMPLEMENTATION Study of agriculture and other business opportunities Selection of opportunities for initial microenterprise development Develop enterprise hub concept Design content and delivery of training and microenterprise support Design microfinance component Develop pilot implementation program 3 4 5 6 Project Monitoring Project Monitoring Mid-Term Project Review Evaluation Project Monitoring Project Monitoring Mid-Term Project Review Evaluation of technical, entrepreneurial and other related training and experience for participants and/or NGOs Development of Sound Practice Guidelines & Implementation Program Roll-out Monitoring Report Monitoring Report Mid-Term Review Report Evaluation Report Apr/May 2006 Aug 2006 Oct 2006 Mar/Apr 2007 Deliverables Inception Report Study Report Implementation Progress Report Commencing Feb/ Mar 2006 Expected Timing Nov/Dec 2005
Guidelines and Implementation
Sound Practice Guidelines Program Implementation Report
Aug 2007
FINALIZATION
Finalize Project
Finalization Report
Oct/ Nov 2007
30. However, there have been several contributing factors to the delay of the TYMDP project wrapping up approximately a further 20 months later. The first issue was the change to the initial design as noted in B1 (Phase II). This change included the conduct of a national youth survey which commenced in August 2007 surveying over 3,000 youths throughout the 5 main island groups. Despite tight budgetary constraints the survey went ahead with an approximate budget of US10,000. The project worked in collaboration with the Department of Statistics to
11 ensure that the survey followed normal surveying procedures. The survey was initially expected to be completed within a 3 months, including analysis and recommendations. However, the completion of the survey by enumerators took longer than anticipated due to transportation issues and enumerators dropping out during the process. The questionnaires were completed and ready for data entry by February 2008. Data entry and input was completed by the end of May 2008 and analysis commenced in June 2008. The final survey report was submitted at the end of September 2008. 31. As noted in the international consultants Progress Implementation Report21 MOTEYS had no resources available to it at the time of taking over the TYMDP project (i.e. no government budget or any other funding) for its youth division. While the employment, training and sports divisions have staff and operating infrastructure, there is no infrastructure and/or staff for implementation of youth policy or programs. In the previous report, the lack of audio-visual equipment in MOTEYS (useful for documenting and building awareness of Project activities) was discussed and the possibility of re-allocating funds from other areas within the ADB contribution budget to purchase this equipment was canvassed. However, after a meeting was held with the Minister of Finance, funds were made available for MOTEYS to purchase various pieces of equipment. 32. All three phases were completed by the end of March 2009. Whilst the first two phases are more generic and has already been used as a basis and reference for the development of resources, training materials and as guidelines for policy development, the final phase was however more challenging as it required government endorsement and commitment from key stakeholders before it can be implemented. 33. The main issue with Phase III is that the overall implementation of the TA experienced many delays. Many key stakeholders were not sure as to whether the TA was still in existence. Most of the key stakeholders have changed jobs or migrated, therefore, keeping the momentum of ongoing support by persons who understood the project in its entirety had become more and more difficult. 34. The international consultant and micro-enterprise specialist recruited under the TA could not complete her assignment. This was again due to the delays in the implementation of activities and impacted on the timely completion of TA activities and achievement of its objectives. A local consultant 22 was contracted to carry out the Stakeholders Workshop, consolidate all activities and prepare the final TA report.
21 22
June 2007 Responsible for the Survey (Phase II)
12 D. Phase 1 Study of International Best Practices
35. The first phase consisted of a study of international good and innovative practices in youth enterprise development in comparable economies which was undertaken in 2007. The purpose of this phase was to undertake a study to identify programs and initiatives whose goals, characteristics and operations might be particularly relevant to the objectives and operational context of the newly commenced Tonga Youth Microenterprise Development Project (TYMDP). As a whole, the TYMDP encompasses a range of key project components. For most of these components, the study has found current international projects and initiatives which can provide useful lessons and, in some cases, which the TYMDP might link to or contact directly for assistance and inputs. The following table gives a summary of the most relevant international projects and initiatives which has to some extent been used in the development of resource and training materials under the TA for the domestic consultant. Table 1: Key TYMDP components and relevant international programs/initiatives
Key component for successful microenterprise Identified Component of Tonga Youth Microenterprise Development Program Basic Microenterprise Training Youth entrepreneurship programs Financial Programs Literacy Relevant International Programs/ Initiatives
An understanding of how enterprise works (basic understanding of enterprise: sales, service, cash, credit, income, costs, profit, loss, laws, etc.)
National Centre for Small and Micro Enterprise Development (NCSMED) Fiji www.ncsmed.org.fj Training and business development support programs for small and micro enterprises in Fiji. See further details in the Appendix 1. Know Your Business, Food and Agriculture Organization of the United Nations (FAO) www.fao.org Training package including curriculum, games and materials suitable for microenteprise training in developing countries and for rural and agricultural enterprises Know About Business (KAB), Organization (ILO) www.ilo.org International Labour
KAB is a training package including curriculum, games and materials suitable for microenterprise training in developing countries. The specific objectives of the KAB package are to create awareness of enterprise and income generating opportunities for young people and to build knowledge of how to operate a successful enterprise. The KAB training package is directed towards teachers and instructors in vocational and technical training institutions but can also be used for general secondary education and higher technical education. The KAB materials are intended to be used by students in secondary education and trainees/students in vocational and technical training institutions whose learning curricula does not include these components. The typical age group would be 15 to 18 years. However, it can be adapted for tertiary education and non-formal education. [www.ilo.org]
The National Foundation for Teaching Entrepreneurship (NFTE) New York www.nfte.com
13
Key component for successful microenterprise Identified Component of Tonga Youth Microenterprise Development Program Relevant International Programs/ Initiatives
Through entrepreneurship education, NFTE helps young people from low-income communities build skills and unlock their entrepreneurial creativity. NFTE teaches entrepreneurship to young people from lowincome communities to enhance their economic productivity by improving their business, academic and life skills.
Creates innovative, experiential curricula for educators and youth Provides entrepreneurship educational training and ongoing support to educators Partners with universities, schools and communitybased organizations Offers supportive alumni services [www.nfte.com]
South Australia Young Entrepreneur Scheme (SAYES) www.business-sa.com SAYES project is an initiative of Business SA. It aims to provide young South Australians aged between 18 and 30 with the skills and confidence to develop and implement their business idea and make self employment a viable and worthwhile option. The assistance that SAYES provides helps young people to fine tune their business idea and obtain important information at first hand from successful South Australian business people who volunteer their time as mentors to the scheme. Successful applicants will be provided assistance for an agreed time in one or more the following areas: Mentoring Development of a business plan Financial guidance Legal advice Business/industry referrals Networking breakfasts Training Seminars Incubator referral Media exposure Inclusion in the SAYES On-line Business Directory Business loan from the Newmont Youth Entrepreneur Fund (providing criteria are met) [www.business-sa.com] UNDP Managing Money www.undp.org.fj A financial Literacy workbook (dealing with basic budgeting and banking information) developed by NCSMED and the UNDPs Pacific Regional office. It is now being used in Fiji (in conjunction with ANZs Rural Banking program). Money Minded and Money Minded for Youth ANZ Bank, Australia www.moneyminded.com.au MoneyMinded is a comprehensive adult financial education program developed to help financial counselors and community
14
educators assist people, in particular those on low incomes, to build their financial knowledge and make informed decisions about their money. [www.anz.com.au] See Appendix 1 for further details. Consumer and Financial Education in Australian Schools. Report for the Commonwealth Department of Treasury, Australia Detailed study of financial literacy education options in schools (primary and secondary) prepared by the Curriculum Corporation, Australia for the Consumer and Financial Literacy Taskforce www.MicrofinanceOpportunities.org Financial Literacy programs 2 The ability to establish an enterprise without too much official or bureaucratic difficulty (business registration, rules, laws, etc.) NCSMED Fiji www.ncsmed.org.fj Conducted study of business environment in Fiji particularly barriers to entry and costs of doing business; lobbying of government; support for and input to drafting of legislation for regulatory and supervisory environment for small and micro enterprise in Fiji Pakistan Microfinance Group www.pmn.org.pk Industry group established by group of microfinance organizations in Pakistan with the aim of improving standards for the delivery of microfinance services by establishing national benchmarks, encouraging sustainability, lobbying government to improve the operating, regulatory and supervisory environment, training, providing a repository for information and disseminating information. 3 The ability to develop saleable skills and/or new products and ideas (support for developing new products or services; access to appropriate vocational/skills training; exposure to new ideas and concepts) Links to vocational training Identifying gaps in vocational training opportunities Small EnterprisE Development (SEED) www.ilo.org Research work and findings in the Series on Youth and Entrepreneurship from the InFocus Programme on Boosting Employment through Small EnterprisE Development Job Creation and Enterprise Development (ILO) interesting research on
Support and mentoring
Providing access to new skills/ideas training and workshops
Aid to Artisans www.aidtoartisans.org Aid to Artisans, a non-profit organization, is also a global community of people. We offer practical assistance worldwide to artisans who work with us as partners to foster artistic traditions and cultural vitality, to improve livelihoods and to keep communities healthy, strong and growing. We work with our artisan-partners to develop products with the appeal to compete successfully in new markets around the world and to improve their business skills so that the changes we achieve as partners are enduring. Our goal is simple: a world community of entrepreneurcraftspeople who have the ability to improve their own lives, the lives of their families, the communities in which they make their homes, and their livelihoods.
15
[www.aidtoartisans.org] See Appendix 1 for further details. Action for Enterprise www.actionforenterprise.org Action for Enterprise (AFE) is a leader in the field of private sector / enterprise development. Since 1991, AFE has developed state-of-the art training programs, implemented cutting edge field programs, provided technical support to programs throughout Africa and Asia, and authored numerous publications. AFE offers a range of technical assistance including:
subsector/value chain analysis business solution/service assessments program design resulting in commercially viable solutions and sustainable impact capacity-building of facilitators and providers of commercial solutions long and short term program implementation training programs and consultancies that use state-ofthe-art tools and methodologies [www.actionforenterprise.org]
See Appendix 1 for further details. 4 Accessibility to markets and the ability to get products and services to buyers (local and export) Linking microenterprises to trade associations and marketing bodies Identifying new markets potential SEEP Network www.seepnetwork.org The Small Enterprise Education and Promotion (SEEP) Network is a membership association of over 50 North American organizations that support micro and small enterprise development programs around the world. The SEEP Network has carried out the significant research and provides a number of good resources on identifying and establishing new markets for micro- and small enterprise products See Appendix 1 for further details.
Global Crafts www.globalcrafts.org Our Mission is to offer income-generating opportunities to craftspeople in developing countries by following fair trade practices including paying in advance at least the market price for items, ensuring that craftspeople receive payment, and ensuring that the craftspeople work in fair working conditions. We work directly with artisans, craftspeople, and producer groups to achieve these goals. [www.globalcrafts.org] Fair Trade Associations/Catalogue Sales/Retail Outlets and Online Shops International Fair Trade Association (IFAT) www.ifat.org A global network of fair trade organizations. Attempts to
16
support disadvantaged producers by linking and promoting Fair Trade organizations. Incorporates a Catalogue of Catalogues for wholesale buyers to search for products from fair trade member suppliers. See Appendix 1 for further details (Note: There are also various regional and country-specific Fair Trade Associations including for Australia & New Zealand.)
The Body Shop www.thebodyshopinternational.com Fair Trade Sales: Catalogue, on-line and retail shop and buyer of raw materials Retailer
The Body Shop has a Community Trade programme that creates sustainable trading relationships with disadvantaged communities around the world. The goal is to help build livelihoods and to explore trade-based approaches to supporting sustainable development by sourcing ingredients and accessories from socially and economically marginalized producer communities. Through this programme, The Body Shop sources raw materials for inclusion in some of its best-selling products, from cocoa butter in Cocoa Butter Hand & Body Lotion to babassu oil used in White Musk Body Lotion, as well as accessory items including massagers from India and loofah products from Honduras. The Body Shop trades with over 35 suppliers from some 25 countries. The Body Shop Foundation www.thebodyshopfoundation.org Grants available for projects in support of fair trade.
OXFAM/CAA Fair Trade Sales: Catalogue, on-line and retail shop www.oxfamshop.org.au Apart from operating retail, catalogue and online shops which sell Fair Trade goods from producers in developing countries, Oxfam also has a Producer Partners program. Through this program, Oxfam works with small scale producers to develop new products, increase their production skills, improve their quality control systems and business knowledge and to understand how to access export markets. Ebiza www.eziba.com Online Shop Described as a virtual bazaar. Operates via a network of buyers and agents who cover more than 70 countries. Stock about 1,500 items, ranging in price from <US$20 to >US$1,000. Also produces a companion monthly mail-order catalog. The mission is to help sustain artisans and their traditions through fair pricing and cooperative product development. Novica www.novica.com Online Shop Another virtual shop (affiliated with National Geographic). Described as an online marketplace representing 10,000 craftspeople worldwide. Has Novica arts and technology teams (staffing Novica offices in Brazil, Ghana, India, Indonesia, Mexico, Peru and Thailand) interview each artist, photograph
17
their artwork, post the interviews and photographs online, and handle all packing and shipping on behalf of the artist. International couriers deliver the artwork directly to customers, eliminating numerous middlemen and transferring the savings to creator and customer alike. Pure Fiji www.purefiji.com Manufacturer and Retailer Very successful example of a Pacific business that has worked with local communities to source its raw products from local communities (introducing appropriate new production technologies and quality control standards), manufacturing incountry to add value and selling to highly competitive international markets via both physical and online retail. Pauanesia (Auckland, NZ) Retailer A retail shop in the centre of Auckland which combines traditional materials and handicraft techniques with new designs to create interesting and innovative jewellery, home wares and hand-crafted gifts and souvenirs from New Zealand and the Pacific islands. GROK (Australia) Retail www.grok.com.au A retail shop in Sydney with a specific mission to support sustainability and to source products (art, crafts, oils, etc.) from communities in developing countries.
The Fiji Retail Enterprise Engine (Free Shop) Fiji Retail Cooperative A shared retail space in a shopping precinct which provides microentrepreneurs who might not otherwise be able to afford a retail space with the opportunity to display and sell their products and designs. The concept began as a UNDP project.
Eco-Tourism initiatives: Fiji Lodging Ecotourism Listings www.fiji.pacificresorts.com/lodging Green Turtle Tours www.pacific-resorts.com/fiji/greenturtletours Green Turtle Tours operate tours around Fiji using local guides and arranging overnight accommodation in traditional village housing hosted by local families. Navala Village Balous Retreat www.pacificresorts.com/fiji/navala-village Balous retreat is a tourism homestay program located close to a traditional village. Guests stay in traditional thatched bures and are hosted by local families. Activities guided by local villagers.
Eco Tourism Society of Kenya www.esok.org A useful site for gathering knowledge and resources particularly in relation to good practice, ratings systems, information and
18
the experiences of other agencies and organizations attempting to work with communities to establish eco tourism projects. Responsible Travel www.responsibletravel.com This website provides links to eco- and responsible tourism ventures which, in some cases, are either run by or work closely with local communities. Based around nature, cultural and artistic themes, these ventures may provide useful ideas and examples for similar initiatives in Tonga. See Appendix 1 for examples of existing operations
Food and Agriculture Organization (FAO) www.fao.org Research and documentation of Agricultural Support Systems division. E.g. Market Research for Agro processors; Guidelines for Small-Scale Fruit and Vegetable Processors; Management of Fisherfolk Microenterprises GtZ www.gtz.de Public-Private Partnership (PPP) program Private companies in PPPs profit from GTZ's contacts, experience and its global network of experts. At the same time, private sector involvement helps achieve development policy goals by creating jobs, introducing technological innovations in developing and transition countries, and improving production processes. One of GTZ's partners in the PPP programme is the German Coffee Association (Deutsche Kaffee-Verband DKV). As a result of GTZ/DKV cooperation, a code of conduct has been produced, the Common Code for the Coffee Community, which is now internationally observed. The code covers social and ecological factors as well as quality improvements within the international coffee sector, thus guaranteeing high-quality coffee for the companies on a long-term basis. At the same time, the living conditions of suppliers, most of who are smallscale farmers, are sustainable improved. [www.gtz.de] Department for International Development (DfID), UK www.dfid.gov.uk Value Chain and Enterprise Cluster research. Publications on the role of the private sector in eliminating poverty and disadvantage. ADB Institute Making Markets Work for the Poor (MMW4P) www.adbi.org Value Chain and market research aimed at identifying and creating market structures to support small producers. 5 Access to appropriate financial services (credit for working capital, deposit accounts for Providing young microentrepreneurs with introductions to financial institutions and support in their Tonga Fisheries Project provides an example of a local project working with an established financial institution and a donor (via the funding and establishment of a credit guarantee fund) to enable lending to individuals who would not otherwise have qualified for credit and to whom the bank would not have been able to lend without contravening the banks lending
19
Key component for successful microenterprise Identified Component of Tonga Youth Microenterprise Development Program dealings with financial institutions Relevant International Programs/ Initiatives
security of cash, insurance, etc.)
rules. (e.g. Lending and Credit Guarantee program)
Traditional Credit Union Australia www.tcu.org.au Working with banks to design training programs Working with banks to design and implement sustainable, appropriately tailored financial services (microcredit, deposit accounts, etc.) A savings and lending program working across very remote areas in Northern Australia with individuals with severely limited access to banking services and very low financial literacy.
Westpac Bank Australia Step-Up Loan. www.westpac.com.au A loan product/linkage program. Westpac Bank Australia developed a step-up loan product for clients who were graduating from a non-profit lending program.
ANZ Rural Banking www.anz.com.au ANZ have very successfully piloted a mobile banking service to remote and rural areas in Fiji and are now seeking to pilot the same service in Tonga. This would provide increased access to financial services for Tongans living in outlying areas.
Access to appropriate, affordable business support services (business planning, record keeping, bookkeeping, budgeting, cash flow, etc.)
Linking young microentrepreneurs with appropriate business support for their microenterprises at an affordable cost
Tonga Business Development Services (BDS) Project The possibility of linking young micro-entrepreneurs from the TYMDP to the existing support services facilitated (at subsidy) via the Tonga Business Development Services program (established and funded by the ADB) should be investigated.
Accion International www.accion.org ACCION ABCs of Business program is a Microenterprise Training program designed to provide microentrepreneurs with practical business management and development skills. See Appendix 1 for further details.
Start and Improve Your Business (SIYB), Small Enterprise Development (SEED) program www.ilo.org To encourage competitiveness, business growth and employment creation, SEED assists partners in building national and local capacity in cost-effective and sustainable business development services; such as management training, access to finance, information on technologies, export and domestic markets access, and inter-firm linkages. To date, the ILO has introduced the "Start and Improve Your Business" methodology in more than 80 countries, most recently to help rebuild war-torn economies in the Balkans. Planned are the development of an interactive CD-rom version of SIYB, a new Expand Your Business product for growth oriented enterprises and a renewed effort to measure employment efforts of SEED. [www.ilo.org]
20
See Appendix 1 for further details.
The Small Enterprise Education and Promotion (SEEP) Network www.seepnetwork.org The Small Enterprise Education and Promotion (SEEP) Network is a membership association of over 50 North American organizations that support micro and small enterprise development programs around the world. The Business Development Services Working Group, comprising SEEP members, seeks to advance and disseminate learning about services that help the poor benefit from global markets. [www.seepnetwork.org]
USAID Microlinks www.microlinks.org Valuable site for relevant case studies, research and findings on microenterprise market development issues, value chain analysis, enterprise cluster and provision of sustainable business development services.
Others: NCSMED (as previously discussed) 7 Ongoing mentoring, advice and support by experienced, successful business people. Day-to-day, ongoing support and monitoring Mentoring Business proposals from potential entrepreneurs are welcome directly or through vocational schools, entrepreneurial training institutions and well established grass root and NonGovernmental Organizations (NGOs). We give assistance to help formulate these proposals. The screening process, done by an Entrepreneur Selection Panel, (ESP), comprises of experts from the industry in marketing, finance, management, etc. On approval of the proposal by them, we provide a whole range of Business Development Services along with a Mentor, who gives guidance until the venture takes off. See Appendix 1 for further details. Business and Youth Starting Together www.bystonline.org Business and Youth Starting Together is an Indian organisation linking young entrepreneurs with business mentors.
21 E. Phase 2 National Youth Survey
.I have thought about starting up a little business like sewing school uniforms and clothes for children but it's too hard because I dont own my own sewing machine and I dont know anyone who would give me one to use until I can buy my own and then give it back to them.23
36. The second phase was a national survey to help better understand the current situation of youth in Tonga; and to identify and assess their interests, skills, needs and qualifications and for this information to be used when developing a unique and purposeful microenterprise development program for the youth of Tonga. The total number of respondents who took part in the TYMDP Survey was 3,680 throughout the Tongatapu, Vavau, Haapai, Eua and Niua groups. The sample size was estimated at 10% of the age group population size (19-34 years) as directed and assisted by the Department of Statistics which was 3,055. The final result was a total of 3,680 respondents. The survey set out to answer the following key questions: (i) What is the current economic situation of Tongan youth? (ii) What levels of education, skills and training do Tongan youth have? Do they have the ability to participate in enterprise? (iii) Are young Tongans capable of managing their own money? What is the general level of financial literacy? (iv) What do young Tongans know about enterprise? Are young Tongans interested in running their own enterprises? Who are their business role models in Tonga? (v) Do young Tongans have ideas about business opportunities? (vi) What are the aspirations and hopes of young Tongans in relation to their economic futures? 37. For example, one 24 year female respondent shared about how she chose to marry at 20 years of age because she felt she was a burden to her family. The second of 5 children, she had completed high school at Form 6 with the hope of continuing education at tertiary level, however due to financial constraints she knew that it would be impossible to continue her educational plans. She thought that by getting married she would be able to help her parents by having one less mouth to feed, more importantly, she would be able to give some of her husband's earnings (a delivery truck driver) to her parents. A 22 year old male respondent stated that the reason why he is living apart from his family is because he feels ashamed that he is not able to help his parents financially. He noted that his parents are finding it difficult to provide daily meals for his 6 younger siblings and because he didnt do well in school; he thought it best to leave home and live with friends. 38. The thought about looking for part time employment to pay for continuing education, for many youth, is a very new concept. For many, this concept is not considered during the process of mapping out their life options. Some youths also questioned the availability of part time work in Tonga and thought that the lack of it was also a contributing factor as to why youth did not seek it. A closer study of 5 local businesses on Tongatapu, for the purposes of the TYMDP survey report showed the following;
23
Survey Respondent, Vahe Loto District. She had taken part in the Tonga National Council of Churches Sewing Class over a 12 month period.
22 Study of 5 Local Business Part Time Work Availability:

Business Hours Part Time Work Available YES / NO Time Yes shift rotation Pay Rate Per Hr
Business 1
24 hours
TOP1.50
Business 2
6:00am 11:00pm
No
Family Business
NIL
Business 3
11am 2:00am
Yes
5pm 2am
TOP2.00
Business 4
6am 10pm
Yes
4pm10pm
TOP1.50
Business 5
8am 5pm
Yes
Weekends
TOP1.75
39. Based on the information sought from the businesses listed above, the average rate per hour available for part time work is TOP1.50 TOP1.80. The hours required under the part time work availability is approximately 7.5 hours per shift with an average weekly take-home-pay of TOP45.00 TOP55.00 per week. It is also important to note that when the businesses were contacted, more than half agreed that they did not consider offering part time work to students as the hours offered would have an impact on the students studies. They were more in favour of offering work to youths who had no other study commitments 24 . One local employer for example noted that it was impossible to offer a form 6 and 7 student part time work because the nature of his business required that all employees be multi-skilled in receptionist work and bar work. However, one employer thought that the culture of part time work availability should be an area of development that both the Government and Private Sector should work towards improving and even suggested that the Ministry of Labour, Industry and Commerce develop a minimum pay rate and age for youths looking for part time work. 40. Another interesting point-of-reference is the fact that most young women who are still in the formal schooling system are not encouraged to find part time work because of the risks25 involved in taking up after-hour employment. The majority of after hour employment available locally is heavily focused in the hospitality and tourism industries and shops mainly owned and operated by the Chinese or family businesses. Therefore, the option of looking for part-time work at least for the younger female populous is out of the question. This in itself reduces the economic opportunities available, particularly, to young Tongan females. 41. One female respondent noted that she had asked her mother if she could find some part time work in the weekends while she was in Form 7 and the response from her mother was
24
Some employers were more in favour of employing youths who had no study commitments because from past experience the students took too much time off for study and exams and often missed their shifts and were unrealiable. 25 For many young girls parents would not be in favour of them working after hours in fear of something negative happening to their daughters, e.g. getting pregnant
23 largely based on societal expectations, .look for work in an office somewhere, work that involves computers, isnt that what you learn at school? Dont go and get work in a shop or something like, I didnt send you to school to get an education to work as a shop keeper. For other types of work such as carrying out odd jobs around the community or village (cutting grass, gardening, baby sitting) is largely perceived as economic fundraising activities for local youth groups and the latter does not have a high demand in Tonga amongst the youth. Child caring job opportunities are largely taken up by Fijians and older Tongan women. 42. Thinking about saving money is therefore a non-reality for the majority of youths who participated in the survey and discussions. Many highlighted that even if they had an opportunity to undertake part-time work; the pay earned at the end of the week would most probably either go to their parents or caregivers to help with the financial needs of the family or would be just enough to cover for weekly costs with next-to-nothing left over for savings. This was evident where the majority of participants indicated that they did not have an account with the local banks and those who had accounts were quick to highlight the fact that the balance was almost next-to-nothing. The foremost reasons being that fact that they had no paid job or too many demands not being inline with the actual wages received from their place of employment. 43. Going further as to suggest considering options of starting up a small business is treading on foreign ground for the majority of the youth who participated in the survey. The term business for most - transcends the scope of opportunities available for youth. Most respondents believe that starting up a business requires a certain set of skills, knowledge-base and financial capacity which many of them indicated that they did not acquire, moreover, had never (prior to participating in the TYMDP survey) contemplated on trying out. 44. The perceptions about what a business is, i.e. relating it only to well-known commercial entities such as SiI Kae Ola, Western Union, Cowley Bakery and Chinese Shops highlighted the self-perceptions of smaller businesses such as selling food crops by the road side, selling small handicrafts, washing clothes or providing cleaning services was not seen as an ideal business type amongst the youth. The understanding of entrepreneurship and the way they perceive their own socioeconomic status was not articulated and it became evident during the survey project that it was more favorable for one to secure permanent employment than to venture out in an attempt to start a business. 45. For the youth, many of them link economic opportunities to the availability of employment. Having a secure job with an assured wage or salary surpasses the opportunity available to start up a small business.
..to start a small business, I would have to get some money to help me start it and then I would have to register my business and get equipment [mechanic business] and then I would have to advertise so that people would know and make space behind my home to fix the cars and then I would also have to have money to be able to pre-order car parts otherwise Ill end up waiting and waiting for the customer to buy it and then if the customer is my relative, I most probably wont get paid what I should be paid. So for me its much better to just keep working where I am and that way at least I know that I have wages to look forward to every two weeks..I have 4 children so I cant afford to get a loan. Its much better that I work. (Male Respondent, 28)
46. There were also the spirited minority who communicated their entrepreneurship skills detailing business ideas and plans that they had either contemplated in the past or were currently thinking about pursuing. These ideas range from operating a small home-based shop to operating a T-Shirt Printing business. One youth in particular highlighted the fact that she was
24 determined to start a string of backpacker's accommodation throughout Tonga, even as far reaching to the two Niuas. The majority of survey respondents who indicated that they were interested in starting up a business resulted heavily in the shop-operation sector. The view of operating a home-based shop meant that they could open for business according to their timeavailability rather than the demand from the consumer as they had other obligations to take care of, for example community activities, child raring and church commitments. Operating a small home based shop also meant that they did not have to pay for rent or employ someone to work. However, at the same time the majority of the respondents also indicated that one of the most successful businesses in Tonga were the Chinese-owned and operated shops because they are cheaper compared to other shops and more importantly they were open for service almost 24 hours a day, even on Sabbath day (behind closed doors), when all other shops were closed for business. 47. Loaning and borrowing money is also common practice amongst youth, however in its varying forms. For example, although some indicated that they applied for loans in a formal process, i.e. banks, financial institutions and community/village credit union groups, many also indicated that they had borrowed or loaned money informally from friends who had paid jobs and relatives both here in Tonga and those residing abroad. It was interesting to note that the majority of those who had borrowed money informally resulted in non-repayments because the pressure of paying it back was minimal compared to formal loans. For example, one 28 year old female commented that she had borrowed money from her brother ($150.00) to help pay for her visitors visa application to NZ and has never paid it back because as she simply put it, .because hes my brother and so he doesnt expect me to pay it back Moreover, many youths noted that when they need money for something they usually just ask their parents (for those who are not married) or siblings who are working or simply just peni-peni26 from various people until they get the required amount. So the culture of just asking people for money, rather than looking for part time work or taking the incentive to look for odd jobs for the purposes of earning some money, is very visible amongst the youth, as noted by one of the respondents, .you dont have to go far, especially in town, youths are peni-peni all the time asking for money from anyone passing bymostly its just for buying cigarettes or food 48. It is clear that to have any type of influence on the youth with regards to their economic development and participation, it needs to start at the earliest possible stage - not only the formal schooling curricular, but also encouraged in both the village/community and family settings. There are still some obvious gaps in the area of economic opportunities for youth to develop and participate in. Whether its the private sector developing its part-time employment industry through to the provision of business entrepreneurship sessions built into the formal education curriculum (in the subject areas of economics and life-skills career development) to the development of a savings account program introduced at the primary school level where children can save from 5 cents to $1.00 per week in collaboration with the local banks. 49. Addressing the issue of young women who want to start a career in business development is also an area that needs to be strengthened and supported vigorously because of the current nature of the land tenure system and its connection to collateral and security required by the banks. A research titled Sustaining the Momentum: An Economic Forum on Women Entrepreneurs Summary Report27 noted the following which is very true of the Tongan women experience with business entrepreneurship;
26 27
Beg for money

Asia-Pacific Economic Cooperation, the European Union, the Organisation for Economic Cooperation and Development (OECD), the African Development Bank and the United Nations Economic Commission for Europe.
25 50. The research found that women business owners cite common barriers to firm growth, including: (i) lack of start-up financing; (ii) lack of management skills and access to business network opportunities; (iii) lack of opportunities to learn the practical issues of starting, surviving and growing their own enterprises; (iv) lack of adequate daycare; and (v) lack of awareness among young women of entrepreneurship as a career option. 51. As a result, women business owners were found to start relatively smaller businesses, operate younger firms with fewer employees, and grow more slowly and to lower levels. Consistent with Canadian findings, women: (i) are less likely to export; (ii) have less formal management experience; (iii) are more likely to rely on personal networks for advice; (iv) are less likely to "identify with" entrepreneurship as a career option; (v) perceive additional constraints such as less social capital, lack of access to resources and increased family responsibilities; (vi) operate firms that have lower levels of capitalization; and are under-represented users of small business support services 52. It is hoped that the outcome of the survey report will encourage strengthened support and activities towards a more proactive business and economic environment that will address youths: (i) access to capital; (ii) access to education/information/training; (iii) access to networks; (iv) access to markets; and (v) recognition as a contributor to economic vitality and growth. 53. The key findings of the TYMDP survey as discussed above has generated the following recommendations as key guidelines, for any future youth strategy development and strengthening of the existing TNYS, in the area of youth and microfinance: (i) To introduce key business concepts and entrepreneurship into the school curricular, taking into account alternative proven methods such as the use of drama and essay competitions, in light of the process and time it takes to change curricular. However both these methods can be short-term and long-term goals, (ii) To introduce key savings concept and culture into the earliest sage of education as possible. For example a savings program within the schools to encourage children at the earliest age as possible to open savings accounts and to save from as little as 5 cents a week to encourage students to adopt the culture of putting money away and to show that even as little as 5 cents a week eventually adds up overtime. This initiative should also be supported by the local banks with innovative programs and incentives created to encourage and maintain students to save money. There should also be information readily available for students to guide and show them how much they can save for specific amounts of deposits on a weekly, bi-weekly, monthly basis. (iii) Budgeting should also be introduced into the school curricular at the senior secondary level. The budgeting resources and information should be developed and delivered according to the Tongan social and economic context. This is particularly crucial as social and economic obligations for Tongans can be the extreme opposite to what youth are experiencing elsewhere in the world.
26 (iv) Any further strengthening or development of new microenterprise programs for youth should be well equipped with the appropriate resources, support and information base. Youth microenterprise cannot apply to all youth, however, for those who do take up an interest in this area, need to be assured the confidence that they will be able to receive all the appropriate literature, research, assistance and support they require before taking further steps. It is anticipated that if the formal school curricular introduces key business concepts, entrepreneurship and microenterprise - that this would be an added value and stepping stone for those pursuing business ideas further after leaving school. To introduce leadership, aspiration setting, goal setting skills and techniques as life skills programs within the formal school curricular. This also needs to take a more interactive and encompassing approach, whereby school career guidance counsellors and social behaviour counsellors are available for students to access. There also needs to be more practical experiences available for students to undertake, particularly in the private sector, to encourage and motivate young and upcoming entrepreneurs. To develop a Youth Entrepreneurship Business Award, reinforcing that youth can and are able to participate in business
(v)
(vi)
These recommendations should also take into account objective one of the TNYS which is already in place by enhancing the existing action plans and avoiding duplication of activities; 53.1. TNYS Strategic Actions 2007-2012
Youth Enterprise Development (i) (ii) (iii) (iv) Design and implement a country wide program for the development of youth enterprises Strengthen youth participation in small-scale fisheries, aquaculture, eco-tourism and micro-business Strengthen youth participation in spots as a means of employment Create the capacity (institutionalization) for youth to actively develop their creative and artistic talents and participation in both social and economic activity as means of generating income
Resource Mobilization (i) Establish the Tonga Youth Development Trust Fund to support sustainable youth enterprises Public Awareness (i) Design and implement a national public awareness and communication strategy for information dissemination on youth enterprises (ii) Establish an Annual Youth Festival to showcase entertainment, trade and career Opportunities (iii) Enforce national employment registration of unemployed youth to improve employment referral Equality of Opportunity (i) Ensure equal access and opportunities for youth with disabilities in all employment sectors (ii) Ensure gender equality in all initiatives
27 The full survey report is attached (Appendix 3) F. Phase 3 Implementation Plan
54. The original project design foresaw that microenterprise hubs would be designed around particular industries, e.g. an agricultural microenterprise hub; a handicrafts hub; etc. It is recommended however that the hubs should not be formed around a particular industry on the basis that the core financial and enterprise skills and training required are the same regardless of the particular industry focus. By creating generic entry points for basic services, it is hoped that unnecessary replication of scarce resources might be avoided. In addition, as the original project design foresaw each hub being located on a different island, making each hub have an industry focus might mean that young entrepreneurs in a particular location whose microenterprise ideas did not fit within that industry, would be excluded from participating. Instead, once young microentrepreneurs have identified the industry they would like to work in, the hub mechanisms would then direct them to an industry-focus cluster incorporating the most appropriate partners working in that industry, e.g. trade associations, business mentors, and government extension programs. 55. As embodied within successful microenterprise models worldwide, the ability to implement a microenterprise program effectively relies on the integration of a range of key components. These are likely to include: (i) an understanding of how enterprise works (basic understanding of enterprise: sales, service, cash, credit, income, costs, profit, loss, rules, regulations, taxes, laws, etc.); the ability to establish an enterprise without too much official or bureaucratic difficulty (business registration processes, rules, laws, etc.); the ability to develop saleable skills and/or new products and ideas (support for developing new products or services; access to appropriate vocational/skills training); accessibility to markets and the ability to get saleable products and services to keen buyers (local and export); access to financial services and an understanding of how those services work (credit for working capital and/or purchase of equipment, etc., deposit accounts for security of cash, insurance, etc.); access to appropriate, affordable business support services (business planning, record keeping, bookkeeping, etc.); if possible, ongoing mentoring, advice and support by experienced, successful business people. equal access to enterprise opportunities regardless of gender.
(ii) (iii)
(iv) (v)
(vi) (vii) (viii)
56. The proposed significant outcome of the TYMDP was the establishment of youth microenterprise hubs, bringing together partners whose services and support is required to develop successful youth microenterprises and whose goals are complementary to the projects overall outcomes. Figure 1 provides an illustration of the hub concept. NB. The hubs were, to a large extent, virtual in the sense that the partners involved will not be housed in one physical space. Given the spread of young people throughout Tonga and the lack of services in some areas, it would be impossible to ensure full representation in all places. Instead, the hubs will represent a single point of entry for young people to enable access to whatever services are required regardless of where he or she or the group may be based. Even in locations less well-
28 served than, say Tongatapu and Vavau, the TYMDP-supported hub could facilitate and direct support, e.g. design workshops for handicraft makers, where a need has been identified.
Figure 1: Example of Youth Microenterprise Support Project Hubs Steering Committee/Advisory Board Agriculture Tourism
Trade Associations Market Advisors Other Development Projects Private enterprise
Industry-focus Clusters
Handicrafts
Government Extension Services Trade Associations Local business mentors
Government Extension Services
Youth Microenterprise Support Project Hub
Market Advisors
Private enterprise Local business mentors
Other Development Projects
Financial services: credit & savings Business Support Services from skilled service providers Banks Vocational/Skills Training
Microenterprise Training: Identifying new markets and products, estimating demand, sales and service, business planning, record keeping,
Financial literacy & awareness of enterprise opportunities
Program Awareness Youth mobilization and motivation Ongoing support and direction for young people Basic financial literacy programs
29 IV. CONCLUSION
57. The TYMDP has undergone several phases with various partnerships namely, the Ministry of Education28, Ministry of Finance, the Ministry of Labour, Commerce and Industries and more recently the Ministry of Training, Employment, Youth and Sports (MOTEYS). The latter, although keen and supportive of the TYMDP initiative and was actively involved particularly with carrying out Phase II of this project, has indicated that they will be using the TYMDP baseline data from the survey as a guideline for policy development particularly in the areas of youth development in agriculture, fisheries, financial management and vocational training as noted in the National Strategic Development 8. Implementing a country-wide TYMDP program at this stage is secondary to a pilot initiative currently supported by MOTEYS in a bilateral project partnership with Australia and New Zealand TVET program which is a 4 year eight million dollar project with the core rationale of linking training to employment at all levels. As earlier stated, the project is to commence in July 2009. A. The Way Forward 58. The TYMDP however is anticipated as the next step. With the TVET program kick starting in July 2009 - the MOTEYS will be using the TYMDP survey results to produce their own report as a guideline for the further development of the TNYS and its core actions and plans. Moreover, the MOTEYS is still very keen to look into the implementation plans of the TYMDP following the pilot project with the TVET, There is also however much interest shown from other key stakeholders; namely the following who participated and attended the final wrap up stakeholders workshop in March, Ministry of Finance and Planning Civil Society Forum of Tonga On The Spot NZ Tongan Business Association Tonga Development Trust Tonga National Youth Congress MORDI Tonga Leti Association Tonga Development Bank Tonga Street Boys Tonga Life Line Tonga Family Health Association Tonga Chamber of Commerce Tongatapu Youth Groups and District Officers Vavau Youth Groups and District Officers Eua Youth Groups and District Officers Haapai Youth Groups and District Officers Niuafoou Youth Groups and District Officers Niuatoputapu Youth Groups and District Officers
59. The stakeholder's workshop identified key organizations that are willing to support an integrated Youth Microenterprise Program (YMP) in Tonga. It became apparent that the ideal approach is to ensure how each organization can share resources in supporting the initiative as proposed in figure 1 the Youth Microenterprise Support Project Hub (YMSP) diagram. Some of the key recommendations made, based on the survey findings;
28
Now Ministry of Education, Womens Affairs and Culture (MEWAC)
30 The following recommendations were made; (i) The need to establish a Youth Microenterprise Centre either based at the Tonga National Youth Congress or the Ministry of Employment, Training, Youth and Sports (MOTEYS) to coordinate and implement activities based on the Youth Microenterprise Support Project Hub (YMSP) diagram is still supported by most of the key stakeholders. (ii) Boosting Youths Goals and Visions: need to start at the foundation basis as indicated on the YMSP Hub diagram commencing with youth mobilization and motivation through ongoing support and direction for young people and providing basic financial literacy programs at the earliest possible stage (primary school), getting parents more involved to understand basic financial literacy as well and the implications of falling into debt whether its debts incurred from banks and financial institutions or through borrowing money from relatives and friends, promote a culture of saving within the school system, workplace and community based groups,
(iii) Providing Financial Literacy and Awareness of Enterprise Opportunities: Incorporating Enterprise Awareness at the senior secondary curriculum level where key subjects such as economics can include major assignments / assessments around entrepreneurship and developing key business concepts, Having available comprehensive vocational and practical subjects within schools, covering a wide range of key business sectors in Tonga (services, manufacturing, tourism, fisheries, agriculture) and linking these vocational studies to business and marketing plan developments, Establishing a Youth Enterprise Centre as the national centre for information about youth and microenterprise by providing: publications on local businesses in Tonga (newsletters etc), training on microenterprise and financial literacy including providing information to students on accredited courses available locally and regionally for those who wish to pursue on going training, for example if a student is searching for information on pearl farming when can she/he receive further training the centre should be the main point of contact This should also cover identifying new markets and products, estimating demand, sales and services, business planning and record keeping linkages to business support services from skilled service providers referrals to Vocational skills training available in country library holding the most extensive specialist information on local business annual reports and reading materials on youth and microenterprise projects throughout the pacific region and international best practices (iv) An Integrated Implementation Approach:
31 60. In the YSMP diagram it proposes industry focus clusters and a Steering Committee or Advisory Board. The general feeling of the stakeholders was that there are too many steering committees / advisory boards in Tonga that have more or less the same membership of organizations. However it was agreed that an integrated approach to the TYMP was essential for the initiative to work and capable of countrywide implementation. The following example was made on how an integrated system could be developed:
Stage One: Application STEP ONE Compulsory attendance at a Youth Microenterprise Training hosted by the Youth Microenterprise Centre (YMC) STEP TWO Invited to develop a project proposal assisted at a 10 day workshop, form inception though to costing (YMC)* STEP THREE Submission of proposal to YMC who screens applications and shortlists. Applications submitted to MOTEYS for final screening STEP FOUR Submission of selected applications to local bank under the YM scheme for financial support STAGE FIVE Successful applicant advised and contract signed between him/herself, the bank and the YMC
Note that the workshop under step two will include other training service providers and not just
limited to microenterprise such as (Gender, Human Rights, Good Governance)

Stage Two: Monitoring and Evaluation STEP SIX Compulsory attendance at 2 day implementation schedule workshop (YMC) STEP SEVEN Funds received by recipient and implementations begins STEP EIGHT Following first 3 months site visit by YMC officer to the recipient and report submitted by recipient (assisted by YMC) STEP NINE Six month review and mid review report submission (assisted by YMC) FINAL 12 month report submission and evaluation completed for YMC, MOTEYS and Bank.
61. It was agreed that if such an approach was undertaken, that within 5 years of its implementation that the YMC could host an annual Youth in Business Award in partnership with the local bank initiating the TYMDP loan scheme, whereby highlighting small successful businesses and raising youth business owners profiles. However it was also noted that potential drivers of the project not only be limited to those involved in the stages of application and monitoring and evaluation but that church and community leaders also take ownership in promoting healthier economies through the youth. B. CONCLUSION 62. Despite the projects prolonged timeframe, it has however achieved a significant amount of achievement. Phase I has successfully provided a list of best practices from around the region and internationally that can be used for the purposes of developing a microenterprise program in Tonga aimed at youth. These best practices can also offer models that any future program in Tonga may want to adopt and trial. Phase I have provided a wealth of information in this area and has also successfully provided a thorough account of the key economic areas of potential in Tonga that youth can tap into, for example, agriculture and handicrafts. New and emerging areas of entrepreneurship have also emerged as a result of this project such as the Arts, Sports and Music. 63. Phase II, despite its challenges, has provided a strong knowledge-base of how youth are actually dealing with the economics around them The results of the survey has raised some red flags, where areas of the school curricular could be amended or improved to allow for
32 the economic development of children at the earliest stage possible. The results have also been able to give a real picture of what youth are lacking especially in the area of leadership, vision, aspiration and goal setting, saving money and budgeting which are fundamental attributes towards becoming successful entrepreneurs. The survey has also been critical for the MOTEYS to assist them in developing a report that will use the findings as key motivators for the development of on-going action plans and activities in the area of youth and microenterprise. 64. Phase III has successfully at the end of the project, managed to sustain stakeholder interest in carrying out an implementation plan under a Youth Microenterprise Committee (YMC). As noted earlier in the report, the MOTEYS will be kick-starting a TVET program with NZAID and AUSAID in July 2009. This is a 4 year project which aims at linking training to employment addressing the number one youth issue which is unemployment. While the TVET program takes place over the next four years, it is anticipated from the other key stakeholders, that initial recommendations take place almost immediately as noted under the survey recommendations and the way forward of this report. For example, liaising with the banks to develop Savings Programs within the schools, the development of resources aimed at high school students (pamphlets, brochures, school diaries, TV/Radio Spots) that provide information on why its important to save. Develop budgeting and financial literacy resources that target both youth and parents. Creating short leadership courses that students can attend (both in school and out of school youth). All these recommendations can start almost immediately under ADB assistance, particularly with resource development. Eventually the creation of a YMC would be ideal to cater for the preparatory stages that have initially been undertaken as a result of this report. 65. Although Project TA4488 has protracted at various stages of its implementation, it has in the end, provided an essential support base for much future work that has yet to be planned, strategized, developed and implemented. It is imperative that although the project has come to an end, the information gained from the project keep its momentum and not be shelved like many other project reports. Particularly in light of the global financial crisis and the effects that the recession is having at all levels throughout the globe, including Tonga, where remittances get the hardest-hit. It is crucial that some of the more pressing recommendations from this report are supported almost immediately, so to ensure the changing of attitudes and behaviors for example, towards money Why Should I Save the development of such resources and introducing key concepts in creative and innovative ways that can capture a youth audience can be successfully implemented as a preparatory stage of a longer term goal setting up the YMC and a full-fledged microenterprise fund for youth.
33 APPENDIX 1 List of Persons Met Ministry of Finance and Planning Civil Society Forum of Tonga On The Spot NZ Tongan Business Association Tonga Development Trust Tonga National Youth Congress MORDI Project Tonga Leiti Association Tonga Development Bank Tonga Street Boys Tonga Life Line Tonga Family Health Association Tonga Chamber of Commerce Tongatapu Youth Groups Tongatapu District and Town Officers Vavau Youth Groups Vavau District and Town Officers Eua Youth Groups Eua District and Town Officers Haapai Youth Groups Haapai District and Town Officers Niuafoou and Niuatoutapu Youth Groups Niuafoou and Niuatoputapu Town and District Officers
34
APPENDIX 2 Initial TA4488 TON Technical Assistance Framework

Design Summary Goal Participate of young people in economic activity Performance Indicators/Targets PI: Youth microenterprise development program in operation PI: Reduction in youth unemployment rates PI: Reduction in youth social exclusion PI: Government endorsement of models, lessons learned, and expansion of program supported by the Government and NGOs by project completion Target: 6-10 microenterprises in 'Eua, Ha'apai, Niuas, Tongatapu, and Vava'u by project completion Monitoring Mechanisms Government statement budget Assumptions
Purpose Youth microenterprise development program based on proven models and capable of countrywide implementation Outputs 1. Pilot microenterprises in agriculture sector established
Government labor market statistics Reports from NGOs working with youths (e.g. National Youth Congress) Government budget statement
Government commitment to rollout of youth microenterprise development program Economic downturn
2. Young people knowledge, skills experience microenterprise development
with and in
Target: 60-100 young people participating in pilot microenterprises and receiving training
3. Set good practices in youth microenterprise development program identified and disseminated 4. Implementation plan for rollout of youth microenterprise development program
PI: Good published disseminated completion
practices and by project
Youth microenterprise development program financial statements and business plans; project reports; ADB mission reports; government department reports; NGO reports Before and after surveys of participants; project reports; ADB mission reports; government department reports; NGO reports Project reports; ADB mission reports; government department reports; NGO reports Project reports; ADB mission reports; government department reports
Changes in agriculture sector impact viability of enterprise (e.g. collapse in market price of produce)
Youth participants remain involved long enough to evaluate success of training
PI: Implementation endorsed by government
plan the
Government continues to consider youth issues a priority
APPENDIX 3 TONGA YOUTH MICROENTEPRISE DEVELOPMENT PROJECT WORKPLAN Updated: June/July 2007
Activities
Tasks
Outcome
Done by
Expected Start Date November 2005
A study of international experience in youth enterprise development that might have relevance for Tonga. A study of possible business opportunities in various industries: Agriculture, Tourism, Handicrafts, Services, Arts/Culture/Music, Media, Sports.
1. Desk review of international youth enterprise initiatives 2. Where possible, visits to relevant projects 1. Obtain and review background information (policies, projects, contacts) from relevant Ministries including: - Ministry of Agriculture, Food, Forestry & Fisheries (MAFFF) - Ministry of Labour, Commerce & Industries (MLCI) - Ministry of Tourism - Ministry of Education, Womens Affairs & Culture - Ministry of Finance & Economic Planning 2. Obtain relevant reports from external agencies and consultancies (trade, markets, industry & economic development) 3. Identify and interview relevant business owners/managers from the private sector 4. Identify and interview heads of relevant trade/representative associations (e.g. Tonga Chamber of Commerce; Small Business Association;
1. Report on international youth enterprise initiatives which may have relevance for Tonga. 1. Report on results of interviews and information gathering 2. Identification of potential business opportunities 3. Identification of barriers to establishing potential business opportunities 4. Useful network of Tongan business and government enterprise initiatives 5. Library of documents
Int. consultant (IC)
Expected Finish Date Completed December 2005
Progress
Report 2005
completed
December
IC, Domestic consultant (DC), Tonga counterpart (TC) MoTEYS
February 2007
November/De cember 2007
Ongoing. A large amount of investigatory, background work has been done. Many meetings (with individuals and entrepreneurs representing a number of industries and organizations private sector and government) have been undertaken. Work will not be completed until the report and analysis from the national survey (reflecting aspirations and ideas from Tongan youth) have been reviewed and, wherever relevant, included as potential business opportunities.
35
36
Squash Growers Association; Tonga Handicrafts Association) 5. Interview organizations and individuals with experience of, or working with, Tongan youth on enterprise activities 1. Identify survey partners 2. Design Survey (methods, logistics, sample size, research questions, translation) & Survey Guide for interviewers 3. Train pilot test survey interviewers/focus group leaders 4. Pilot test survey questionnaires 5. Review pilot test survey results 6. Revise survey methods as necessary 7. Train interviewers/focus group leaders 8. Conduct surveys 9. Collect, collate and analyze data 1. Identify training needs (from Survey results and background interviews/information) 2. Identify existing training materials for youth microenterprise development - in Tonga - in the Pacific - international 3. Identify gaps in training materials. Design training materials (arrange translation as necessary)
36
A National Survey of Tongan Youth.
1. Survey questionnaires/focus group guides 2. Trained local survey interviewers/researchers 3. Report/analysis of survey results
IC, DC, TC, MoTEYS, Survey CoCoordinator, interviewers, Dept of Statistics
May 2007
September/Oc tober 2007
3 phase workplan proposed to commence July/August 2007 to enable detailed costin for overall survey to be determined.
Design, delivery, and evaluation of technical, enterprise and other related training.
1. Curriculum of modules and training materials to support the development of young Tongan microentrepreneurs 2. Trained local trainers in 5 island groups (Tongatapu, Haapai, Vavau, Eua, Niuas) 3. Network of training support 4. Evaluation of training takeup, outreach, effectiveness of training materials and delivery
IC, DC, TC, MoTEYS
May 2007
Work ongoing to create a curriculum supported by internationally recognized, best practice training materials (translated in Tongan and amended, wherever necessary to suit Tongan context). Work will not be completed until results and analysis of survey of Tongan youth to ensure training matches needs.
Design of a framework for a youth microenterprise development model.
and method of delivery country-wide. 4. Design basis of evaluation of training 5. Identify training partners 6. Train small core of trainers for pilot test of training materials 7. Pilot test training materials 8. Review pilot test results and, if necessary, revise materials, method of delivery, etc. 9. Identify and train network of trainers 10. Deliver training 11. Evaluate training materials and method of delivery; level of outreach 1. Meet with and interview relevant government Ministries and agencies, private enterprise, development projects, nongovernment organizations, churches, and community organizations. 2. Organize and facilitate industry-specific Forums to discuss economic, trade and market development to support enterprise within those industries 3. Develop or create and strengthen links to supportive organizations, enterprises, government agencies/initiatives; identify successful Tongan business people (particularly young Tongan entrepreneurs); produce case studies; and
1. Ongoing network of local organizations and initiatives to support youth microenterprise development: 2. Information from industryfocused Forums (involving relevant Ministries and private enterprises) to establish existing and likely market and trade opportunities. 3. Establishment of a mentoring and recognition program for young Tongan entrepreneurs 4. Case Studies of successful Tongan entrepreneurs 5. Establishment of annual Young Tongan Entrepreneur Award 6. Firm links with established microfinance program within an existing, established local financial institution.
IC, DC, TC, MoTEYS
November 2005
November/De cember 2007/ongoing
Ongoing. Numerous meetings have been undertaken with representatives from all sectors, industries and organizational types. Awareness of the TYMDP and its aims has been raised and links have been established with many individuals and organizations that are keen to participate. The current focus is on: (1) the organization and running of a series of industry-focused Forums to establish existing and likely market and trade opportunities; and the development of a listing of successful Tongan entrepreneurs who would be willing to (a) be Case Study subjects, and (b) potential mentors for young entrepreneurs participating in the TYMPD.
37
38
develop mentoring program. 4. Work towards establishment of an annual Tongan Youth Entrepreneur award to build awareness of, and acknowledge, successful young Tongan entrepreneurs. 5. Develop links to existing microfinance opportunities for Tongan microentrepreneurs. If necessary, help to establish a microfinance program within an existing financial institution (e.g. within Tonga Development Bank). 6. Establish links with proposed Business Development Support Services program within the Tonga Chamber of Commerce. 7. Develop TYMDP evaluation methodology 1. Review: - international experience in youth microenterprise - experience of other business enterprises in Tonga and in the Pacific - trade and marketing development initiatives by government and private enterprise - results from youth Survey 2. Identify potential opportunities for microenterprise 3. Investigate potential opportunities to determine: 7. Links to enable referral of TYMDP participants to local program providing access to business development support services. 8. Youth microenterprise development support/information base established in the MoTEYS 9. Evaluation methodology established.
38
Selection opportunities microenterprise.
of for
1. Identification of potential opportunities for microenterprise 2. Identification of barriers to establishing potential business opportunities 3. Establishment of pilot microenterprises in Tongatapu, Haapai, Eua, Vavau and the Niuas
IC, DC, TC, MoTEYS, Survey respondents
May 2007
Ongoing. Completion of this activity is likely to be ongoing (depending on the emergence of new opportunities as the project progresses). However, in the immediate term, it is expected that the selection of opportunities will occur after the completion of Activities 2, 3 and component within Activity 5.
Evaluation of microenterprise models and the pilot youth microenterprise development project. Development of a set of sound practices.
cost/benefit; likelihood of success; barriers to entry; SWOT analysis 1. Mid-term and final evaluation of microenterprise models and project 1. Review international sound practice 2. Document lessons learned from project implementation in Tonga 3. Develop set of sound practices 4. Disseminate set of sound practices
1. Evaluation report
IC, DC, TC, MoTEYS
September 2007
June 2008
Not yet commenced.
1. Lessons learned 2. Development of set of sound practices 3. Dissemination of sound practices country-wide.
IC, DC, TC, MoTEYS
November 2005
June 2008
Ongoing. Lessons learned are being noted during project implementation.
Development of an implementation program for country-wide roll-out of youth microenterprise development
1. Plan for implementation microenterprise program.
country-wide of youth development
IC, DC, TC, MoTEYS
November 2005
June 2008
Ongoing. The Projects implementation is being undertaken with a view to ensuring its ongoing sustainability within the Tongan operating context. Lessons learned during implementation are all contributing to the development of a country-wide implementation.
39
40 APPENDIX 4 National TYMDP Survey Report
CONTENTS
Executive Summary 1 Background to the TYMDP Survey 1.1 The National Context 1.2 The Issues Context 1.2.1 Status of Youth & Micronenterprise 1.2.2 Complimentary Programs and Initiatives 1.2.3 Review of Terms of Reference 1.2.4 Review of Methodology Key Findings 2.1 Research Plan and Process 2.1.2 Data Entry and Analysis 2.1.3 Results >Village / District / Division / Age >Religion / Gender / Marital Status >Level of Education / Employment Status >How do I see Things in the Business World >How Am I Coping Financially >Am I Saving? >What Do I know About Business Setup or Enterprise? >My Qualities, My Aspirations 2.1.4 Summary of Findings Recommendations Short Term Recommendations Long Term Recommendations Appendices
2.
3.
4.
41 Executive Summary .I have thought about starting up a little business like sewing school uniforms and clothes for children but it's too hard because I dont own my own sewing machine and I dont know anyone who would give me one to use until I can buy my own and then give it back to them.29 As noted in the Tonga Youth Microenterprise Development Project (TYMDP) documents, the goal of the TYMDP is to provide the young people of Tonga with the opportunity to participate in microenterprise activities. The key word here is opportunity. During the course of undertaking the TYMDP survey project, one point-of-reference that was articulated by the youth, was their belief that there is very little opportunity for youth to develop their potential to the fullest in Tonga. For many youth, their belief in the lack of youth development opportunities had resulted in their opting for the other path that perhaps could have been avoided if they had more options open to them. For example, one 24 year female respondent shared about how she chose to marry at 20 years of age because she felt she was a burden to her family. The second of 5 children, she had completed high school at Form 6 with the hope of continuing education at tertiary level, however due to financial constraints she knew that it would be impossible to continue her educational plans. She thought that by getting married she would be able to help her parents by having one less mouth to feed, more importantly, she would be able to give some of her husband's earnings (a delivery truck driver) to her parents. A 22 year old male respondent stated that the reason why he is living apart from his family is because he feels ashamed that he is not able to help his parents financially. He noted that his parents are finding it difficult to provide daily meals for his 6 younger siblings and because he didnt do well in school; he thought it best to leave home and live with friends. The thought about looking for part time employment to pay for continuing education, for many youth, is a very new concept. For many, this concept is not considered during the process of mapping out their life options. Some youths also questioned the availability of part time work in Tonga and thought that the lack of it was also a contributing factor as to why youth did not seek it. A closer study of 5 local businesses on Tongatapu, for the purposes of the TYMDP survey report showed the following; Study of 5 Local Business Part Time Work Availability:
Business Hours Part Time Work Available YES / NO Time Yes shift rotation No Family Business Yes 5pm 2am Yes 4pm10pm Yes Weekends Pay Rate Per Hr TOP1.50 NIL TOP2.00 TOP1.50
Business 1 Business 2 Business 3 Business 4
24 hours 6:00am 11:00pm 11am 2:00am 6am 10pm
Business 5
8am 5pm
TOP1.75
29
Survey Respondent, Vahe Loto District. She had taken part in the Tonga National Council of Churches Sewing Class over a 12 month period.
42 Based on the information sought from the businesses listed above, the average rate per hour available for part time work is TOP1.50 TOP1.80. The hours required under the part time work availability is approximately 7.5 hours per shift with an average weekly take-home-pay of TOP45.00 TOP55.00 per week. It is also important to note that when the businesses were contacted, more than half agreed that they did not consider offering part time work to students as the hours offered would have an impact on the students studies. They were more in favour of offering work to youths who had no other study commitments 30 . One local employer for example noted that it was impossible to offer a form 6 and 7 student part time work because the nature of his business required that all employees be multi-skilled in receptionist work and bar work. However, one employer thought that the culture of part time work availability should be an area of development that both the Government and Private Sector should work towards improving and even suggested that the Ministry of Labour, Industry and Commerce develop a minimum pay rate and age for youths looking for part time work. Another interesting point-of-reference is the fact that most young women who are still in the formal schooling system are not encouraged to find part time work because of the risks 31 involved in taking up after-hour employment. The majority of after hour employment available locally is heavily focused in the hospitality and tourism industries and shops mainly owned and operated by the Chinese or family businesses. Therefore, the option of looking for part-time work at least for the younger female populous is out of the question. This in itself reduces the economic opportunities available, particularly, to young Tongan females. One female respondent noted that she had asked her mother if she could find some part time work in the weekends while she was in Form 7 and the response from her mother was largely based on societal expectations, .look for work in an office somewhere, work that involves computers, isnt that what you learn at school? Dont go and get work in a shop or something like, I didnt send you to school to get an education to work as a shop keeper. For other types of work such as carrying out odd jobs around the community or village (cutting grass, gardening, baby sitting) is largely perceived as economic fundraising activities for local youth groups and the latter does not have a high demand in Tonga amongst the youth. Child caring job opportunities are largely taken up by Fijians and older Tongan women. Thinking about saving money is therefore a non-reality for the majority of youths who participated in the survey and discussions. Many highlighted that even if they had an opportunity to undertake part-time work; the pay earned at the end of the week would most probably either go to their parents or caregivers to help with the financial needs of the family or would be just enough to cover for weekly costs with next-to-nothing left over for savings. This was evident where the majority of participants indicated that they did not have an account with the local banks and those who had accounts were quick to highlight the fact that the balance was almost next-to-nothing. The foremost reasons being that fact that they had no paid job or too many demands not being inline with the actual wages received from their place of employment. Going further as to suggest considering options of starting up a small business is treading on foreign ground for the majority of the youth who participated in the survey. The term business for most transcends the scope of opportunities available for youth.
30
Some employers were more in favour of employing youths who had no study commitments because from past experience the students took too much time off for study and exams and often missed their shifts and were unrealiable. 31 For many young girls parents would not be in favour of them working after hours in fear of something negative happening to their daughters, e.g. getting pregnant
43 Most respondents believe that starting up a business requires a certain set of skills, knowledgebase and financial capacity which many of them indicated that they did not acquire, moreover, had never (prior to participating in the TYMDP survey) contemplated on trying out. The perceptions about what a business is, i.e. relating it only to well-known commercial entities such as SiI Kae Ola, Western Union, Cowley Bakery and Chinese Shops highlighted the selfperceptions of smaller businesses such as selling food crops by the road side, selling small handicrafts, washing clothes or providing cleaning services was not seen as an ideal business type amongst the youth. The understanding of entrepreneurship and the way they perceive their own socioeconomic status was not articulated and it became evident during the survey project that it was more favorable for one to secure permanent employment than to venture out in an attempt to start a business. For the youth, many of them link economic opportunities to the availability of employment. Having a secure job with an assured wage or salary surpasses the opportunity available to start up a small business.
..to start a small business, I would have to get some money to help me start it and then I would have to register my business and get equipment [mechanic business] and then I would have to advertise so that people would know and make space behind my home to fix the cars and then I would also have to have money to be able to pre-order car parts otherwise Ill end up waiting and waiting for the customer to buy it and then if the customer is my relative, I most probably wont get paid what I should be paid. So for me its much better to just keep working where I am and that way at least I know that I have wages to look forward to every two weeks..I have 4 children so I cant afford to get a loan. Its much better that I work. (Male Respondent, 28)
There were also the spirited minority who communicated their entrepreneurship skills detailing business ideas and plans that they had either contemplated in the past or were currently thinking about pursuing. These ideas range from operating a small home-based shop to operating a T-Shirt Printing business. One youth in particular highlighted the fact that she was determined to start a string of backpackers accommodation throughout Tonga, even as far reaching to the two Niuas. The majority of survey respondents who indicated that they were interested in starting up a business resulted heavily in the shop-operation sector. The view of operating a home-based shop meant that they could open for business according to their timeavailability rather than the demand from the consumer as they had other obligations to take care of, for example community activities, child raring and church commitments. Operating a small home based shop also meant that they did not have to pay for rent or employ someone to work. However, at the same time the majority of the respondents also indicated that one of the most successful businesses in Tonga were the Chinese-owned and operated shops because they are cheaper compared to other shops and more importantly they were open for service almost 24 hours a day, even on Sabbath day (behind closed doors), when all other shops were closed for business. Loaning and borrowing money is also common practice amongst youth, however in its varying forms. For example, although some indicated that they applied for loans in a formal process, i.e. banks, financial institutions and community/village credit union groups, many also indicated that they had borrowed or loaned money informally from friends who had paid jobs and relatives both here in Tonga and those residing abroad. It was interesting to note that the majority of those who had borrowed money informally resulted in non-repayments because the pressure of paying it back was minimal compared to formal loans.
44 For example, one 28 year old female commented that she had borrowed money from her brother ($150.00) to help pay for her visitors visa application to NZ and has never paid it back because as she simply put it, .because hes my brother and so he doesnt expect me to pay it back Moreover, many youths noted that when they need money for something they usually just ask their parents (for those who are not married) or siblings who are working or simply just peni-peni32 from various people until they get the required amount. So the culture of just asking people for money, rather than looking for part time work or taking the incentive to look for odd jobs for the purposes of earning some money, is very visible amongst the youth, as noted by one of the respondents, .you dont have to go far, especially in town, youths are peni-peni all the time asking for money from anyone passing bymostly its just for buying cigarettes or food It is clear that to have any type of influence on the youth with regards to their economic development and participation, it needs to start at the earliest possible stage - not only the formal schooling curricular, but also encouraged in both the village/community and family settings. There are still some obvious gaps in the area of economic opportunities for youth to develop and participate in. Whether its the private sector developing its part-time employment industry through to the provision of business entrepreneurship sessions built into the formal education curriculum (in the subject areas of economics and life-skills career development) to the development of a savings account program introduced at the primary school level where children can save from 5 cents to $1.00 per week in collaboration with the local banks. Addressing the issue of young women who want to start a career in business development is also an area that needs to be strengthened and supported vigorously because of the current nature of the land tenure system and its connection to collateral and security required by the banks. A research titled Sustaining the Momentum: An Economic Forum on Women Entrepreneurs Summary Report33 noted the following which is very true of the Tongan women experience with business entrepreneurship; The research found that women business owners cite common barriers to firm growth, including: lack of start-up financing; lack of management skills and access to business network opportunities; lack of opportunities to learn the practical issues of starting, surviving and growing their own enterprises; lack of adequate daycare; and lack of awareness among young women of entrepreneurship as a career option. As a result, women business owners were found to start relatively smaller businesses, operate younger firms with fewer employees, and grow more slowly and to lower levels. Consistent with Canadian findings, women: are less likely to export; have less formal management experience;
32 33
Beg for money

Asia-Pacific Economic Cooperation, the European Union, the Organisation for Economic Cooperation and Development (OECD), the African Development Bank and the United Nations Economic Commission for Europe.
45 are more likely to rely on personal networks for advice; are less likely to "identify with" entrepreneurship as a career option; perceive additional constraints such as less social capital, lack of access to resources and increased family responsibilities; operate firms that have lower levels of capitalization; and are under-represented users of small business support services It is hoped that this research report will encourage strengthened support and activities towards a more proactive business and economic environment that will address youths: 1 access to capital; access to education/information/training; access to networks; access to markets; and recognition as a contributor to economic vitality and growth.
Background to the TYMDP Survey 1.1 The National Context
The Kingdom of Tonga has 3 large island groupings: Tongatapu and Eua, Vavau and Haapai and the Northern Island group of Niuafoou and Niuatoputapu. Located in the South Central Pacific, the Kingdom consists of 171 low-lying coral and volcanic islands of which 36 are inhabited. The total land area is approximately 747km stretching over 360,000km of sea within the South Pacific Ocean. Tonga's November 2006 Population Census shows a 0.34% increase, with a total population of 101,134 compared with 97,784 recorded in 1996. The gender breakdown shows 50.6% are male and 49.4% are female. The largest portion lives on the main island of Tongatapu (71,260) followed by the Vava'u (15,485), Haapai (7,572) Eua (5,165) and the Niuas (1,652) Women have a higher life expectancy rate than men: women (71.7) men (69.8) Infant mortality rates per 1,000 live births under 1 year has increased from 15.7 in 2004 to 19.0 in 2007, however this still remains relatively low compared to some of her pacific neighbors such as Tuvalu with an infant mortality rate of 51 and Kiribati at 67 per 1000 births34. (update from the recent HDI). Both male and female literacy rates are high in Tonga between the ages of 15-24 years Males 24.4% and females at 23.6% with a 1.1 ratio of females to males literacy rate within that age bracket. A non-monetary economy, with remittances from relatives and friends living abroad is recorded as its largest income35. The Labour Force Survey of 2003 shows an increase in the total number of employed wage and salary earners from 13,195 in 1993 to 15,597 in 2003 of which 9,861 were male and 5,736 female. Labour Force Participation Rates (over 15) showed a slight increase for males from 74.2% in 1993 to 74.6% in 2003 whilst women had a much higher increase rate of participation with 45.4% in 1993 to 52.7% in 2003. Youth unemployment rate between 15-24 yrs during the same year noted an increase for males with
34 35
1999 Human Development Report Economy: Tonga 10/07 < www.state.gov/r/pa/ei/bgn/16092.htm - 46k ->
46 41.2% in 1993 rising to 54% in 2003, and female unemployment rates dropped from 63.9% in 1993 to 37.4% in 2003. Females are mainly employed in the Industry sector whilst males are largely employed in the Agricultural sector. According the ADB Tonga Poverty/Hardship Report 2001, approximately 5% of Tongan households were living below a Food Poverty Line of $TOP703 per head per year, whilst 22% received an income below a Basic Needs Poverty Line of $TOP1,466 per head, per year which resulted in episodes of hardship throughout the year. In 2003, 16 communities participated in the ADB Participatory Poverty Assessment which reported that many people living in both urban and rural areas still lacked adequate access to some essential basic services had a hard time maintaining a steady income whilst many claiming that they were unemployed. Moreover, community consultations held by the Central Planning Department in 2005 during the development of the Strategic Development Plan 8 (SDP-8) raised issues of concern from community members about high unemployment rates and the lack of income-earning opportunities available. Migration from the outer island groups to the main island of Tongatapu is rapidly increasing, particularly into the capital city of Nukualofa - the urban pull that offers a blend of Tongan and Western lifestyle patterns, economic opportunities and educational development. Over the last decade there has been an increase in women joining the workforce and changes to the extended family lifestyle are also apparent, particularly in the capital. Young couples are opting for more nuclear-based family living and are moving away from the traditional concept of the village and extended family setting of helping each other with raising children, sharing food and material possessions and the age-old notion of whats yours is mine.
Tonga Population Census 2006
Kingdom of Tonga
101,991
Tongan
98,516
Part-Tongan
1,681
Others
1,794
Annual Growth Rate
0.4%
Median Age
21.0 years
Sex Ratio
103.0
Source: Department of Statistics
47 1.2 The Issues Context
1.2.1 Status of Youth and Microenterprise
The changing dynamics in youth culture in Tonga is becoming more evident with new emerging youth related issues steadily increasing over the last 10 years, coupled with the overarching issue of widespread youth unemployment becoming more and more of a problem. New emerging issues such as the increase of deportees mostly from the Tongan diaspora living in New Zealand, the United States of America and Australia has seen scores of on-going challenges faced by Tongan families and societies who are often ill-equipped to cope with the social, economic, cultural and political demands required by this particular group of youths, to the steady increase of teenage unplanned pregnancies and STIs. School drop out rates are also steadily on the rise. Tonga does not have a Social Welfare Department or Ministry neither the capacity to holistically deal with the wide ranging social issues faced by the youth population (teenage unplanned pregnancy, single mums, drugs and alcohol, deportees, school drop outs, attempted suicide, unemployment)
Source: Department of Statistics, 2005 Male 0-4 5-9 10-14 15-19 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65+ 6.011468 6.068125 6.256655 5.940159 5.413643 3.83214 2.791806 2.835764 2.370789 1.955632 1.707515 1.420324 1.351945 3.095603
Female 5.626593 5.657852 5.677389 5.184085 5.092262 3.693429 2.75664 2.741987 2.389349 2.150023 1.90679 1.612761 1.428139 3.031132
With approximately half the population under the age of 20, government is committed towards the achievement of universal basic education and improvements to both primary and secondary school education providers. 36 Early Childhood Education is not compulsory 37 , Primary School Net Ratio in 2000 was at 89.4%38, survival rate to grade 5 in 2000 was at 92.5% and a total Secondary School Net Enrolment Ratio of 67.7% of which 61.2% are male and 75.0% are female.39 Compulsory attendance at school is between the ages of 6-14 years with a recent proclamation by King George V encouraging an earlier start at the age of 5 years and increasing the leaving age to 18 years40.
36 37
This commitment is made by Government in the SPD-8 and Tonga Education Support Program Tonga Situational Analysis of Children, Youth and Women, 2006 38 Pacific Regional MDG Report, 2004 39 UNESCO/UIS Database, 2004 40 King George Tupou V Speech Opening of Parliament 2007: The intention is that within the next 3 years, 60% of school leavers shall be accepted into institutions of higher learning, technical and vocational training and within 5 years, 90%
48 Early school drop out rates and unemployment rates among youth are on the rise. Government owns 99% of Primary Schools and 44% of Secondary Schools (majority owned by the Church) Higher education is available which includes the Queens Salote Nursing College, Atenisi University, Teachers Training College, Unuaki O Tonga Unitech, Tonga Institute of Higher Education (TIHE), University of the South Pacific Extension Tonga, St. Josephs Business College, and a number of private, church and government owned technical and agricultural schools. However, most higher education is pursued overseas, particularly in Australia and New Zealand. According to the Youth and Mental Health Situation Analysis Tonga Report (2008); Unemployment has remained the number one priority area out of ten priority areas of the Tonga National Youth Congress over the last decade. For many unemployed youth the want to migrate overseas to find work has become a desired solution for many, thus resulting in the increase in illegal immigrant statistics particularly in New Zealand, Australia and the U.S.A. One parent commented,
I had to send my son to the US because none of us here work. My older son who lived in the US had passed away and he was the one we depended on to send money home, so I had to take my youngest son with me to the funeral knowing that I would return and leave him behind to stay on and look for work.my son was 15 at the time I left him in the states and he is now 18 years old and has not yet got his paper to legally reside over there41
The same report notes that the youth who remain in Tonga, unemployment has resulted in a whole range of issues. For example, young females choosing to get married earlier than expected because they feel useless staying at home and not being able to contribute financially. Alternatively, they find comfort in marrying a person who has a job in the hope that he would contribute to her familys economic needs. Others find solace in drugs and alcohol (using and selling) and for male youths in particular they leave home to live with other boys in either a village hut or another friend's home hoping that it would be better off for their immediate families with one less mouth to feed. Others find themselves involved in criminal activities based on the mindset survival of the fittest.
1.2.2
Complimentary Programs and Initiatives
There are no current microenterprise projects specifically focusing on the youth apart from the microenterprise project of the Tonga National Youth Congress (TNYC) in a joint venture with the Tonga Development Bank. The TNYC is currently considering revitalizing its microenterprise project however the details at the stage of writing this report was not finalized. Other microenterprise initiatives fall under the AUSAID and NZAID Community Development grass root schemes where youth participate as part of a community project for example, small piggery farm projects / vegetation projects however it is not focused specifically for youth.
1.2.3
Review of Survey Terms of Reference
41
Youth and Mental Health Situational Analysis Tonga Report, 2008
49 Goal: To consult with a representative sample of Tongan youth (age: 15 to 35 years) using participatory processes to ensure comprehensive coverage and involvement of youths (males and females) country-wide. Purpose: To answer key questions as follows: 1. 2. 3. 4. 5. 6. What is the current economic situation of Tongan youth? What levels of education, skills and training do Tongan youth have? Do they have the ability to participate in enterprise? Are young Tongans capable of managing their own money? What is the general level of financial literacy? What do young Tongans know about enterprise? Are young Tongans interested in running their own enterprises? Who are their business role models in Tonga? Do young Tongans have ideas about business opportunities? What are the aspirations and hopes of young Tongans in relation to their economic futures?
Methodology: 1. 2. 3. Develop survey format and focus group discussion guides Establish representative sample numbers in 5 island groups (Tongatapu, Vavau, Haapai, Eua, Niuas. Contact relevant community leaders to introduce TYMDP and explain that a survey is being undertaken and what the purpose is. Ask for their cooperation and assistance in publicising the TYMDP and the undertaking of the survey to all youth. Identify a main contact/coordinator in each village/district. Ask that person to organise the required number of respondents and a suitable space for interviews/focus groups to be carried out.
4.
Outcomes: 1. 2. Comprehensive report summarising survey findings and analysing results. Focus group discussions/workshops to present and discuss findings with key groups (youth, government, non-government, private enterprise). 1.2.4 Facts: Survey (available in both Tongan and English) Throughout Tonga (Tongatapu / Vavau / Haapai / Eua / Niuas) Sample Size 10% of the total age population (19-34 years) 3,055 targeted respondents Out of school youths only to be surveyed (out of formal schooling) Review of Methodology
50 The following is report from the Stakeholders Meeting TYMPD Survey42 Content & Structure Review: 30 stakeholders were invited to attend a review of the TYMPD survey draft held at the Basillica Conference Room on Monday 23 July. 15 out of the 30 invited stakeholders attended the meeting and the following comments and recommendations were made; General Comments: Questions in the survey are too similar to that of the 2006 CENSUS Structure and format also set out like a CENSUS form Close ended questions is leading the respondent and not allowing room for expression and views Other critical information at the introduction part of the survey is missing such as gender and religion There are translation discrepancies between the English and Tongan forms Focus of the actual survey is not clear seems as if we are just after general statistical information need to be more forthwith in what we are trying to achieve Sample size is too small (1,900 5%) need to increase this number and ensure that the representation is representative of all groups / districts General Recommendations: Need to use more open ended questions to allow respondents to express their views Ask more why based questions Ask questions that look at/identify leadership qualities amongst this age group Get translation checked that both the English and Tongan versions coincide Increase sample size to 10% (3,214) or 15% (4,821) TYMPD team to work closely with current youth projects to ensure that survey is truly representative of the youth in Tonga
The above recommendations were then combined with the outcome comments of the TYMPD pilot run during the development of the final TYMDP survey paper. TYMDP Pilot Run Preparation Stage: Prior to the TYMDP Pilot Run, a call-out for interested researchers to apply for a short-term research project with the TYMDP, was sent out to all youth based organizations and projects during the month of July. The response was of very good quality. The 8 researchers contracted for the TYMDP Tongatapu research were as follows;
NAME PAST EXPERIENCE YES/NO YES YES YES YES YES YES YES YES RESEARCH AFFILIATION
1. 2. 3. 4. 5. 6. 7. 8.
Inoke TAUFA Talaivosa PULU Moana Kioa Uikelotu VUNGA Ichikawa POLOVILI Siuivaha FANGUPO Kalesita FOTU Lofi KAIVAHA
Maalahi Youth Project Tonga National Youth Congress National HIV/AIDS committee Tonga Trust Maalahi Youth Project Tonga FAMILY Health Association Maalahi Youth Project Salvation Army
42
Annex 2 Original TYMDP Survey
51 The two researchers for Vavau: (+ 3 TYMPD staff)

NAME PAST RESEARCH EXPERIENCE YES/NO YES YES AFFILIATION
1. Afu PANGAI 2. Alaipuke ESAU
Vavau National Youth Congress VNYC / Peace Corps
For Haapai, Eua and the Niuas it was agreed that the TYMPD staff undertake the research during their outer-island duty travel. The TYMPD Researchers Debrief: A one day researchers debrief was held on Thursday 26 July at the MOTEYS Training Rooms, Vaiola Motua. The 8 Tongatapu researchers including one Vavau researcher attended this debrief. The objectives of the debrief; 1. 2. 3. 4. 5. To raise awareness of the overall TYMDP amongst the researchers To review the TYMDP research plan To discuss the TYMDP survey content & structure To allocate sample size and geographical location amongst researchers To introduce the TYMDP team and researchers to each other
The Pilot Run: The purpose of the pilot run was to test the revised survey content and structure43. Each researcher was instructed to undertake 7 surveys each during the pilot run covering only the pilot districts of Kolofoou and Kolomotua. The total sample size, including the Coordinators 7 pilot surveys, was 70. This was undertaken over a period of two working days, Friday 27 and Monday 30 July. The outcomes of the pilot run are as follows; (with reference to the TYMDP Survey Paper) English version is much more clearer than the Tongan version (e.g. 7.2) Some of the questions are repetitive (e.g. 5.1 & 3.1) Some of the terms/acronyms used are unclear, (e.g. IGA ) Using IGA is confusing should either stick to IGA or business enterprise There are other options under industry, such as music/entertainment Why do we need boxes as we can just circle What about youths who are 20 and still in school Can we start age at 19?
43
Annex 2 Revised Survey
52 We need to leave more space for individual comment Should we also perhaps ask how much they earn? Numbering of questions are too confusing Questions are too bland and boring and respondents end up just saying yes or no and there is no room for expressing their own views We ask them if they have hopes and aspirations but we dont go further to find out what these are Finding out about financial background cannot this taken from the latest census, so that we can have room to ask more focused questions? We need to ask gender and religion Most of the areas in the survey are skipped because they are not applicable - therefore survey looks empty Need to reduce the options and choices Options and choices are too census based Simplify translation e.g. koe ha ae tuunga fakaako naa ke lava? Some of the questions do not match the choices given e.g. 5.1 Some vital questions are not being asked, questions are too standard and looks like a census
The TYMDP Survey Questionnaire was then revised based on the above recommendations and findings, and was again discussed at a follow up TYMDP team meeting where it was passed and the final translation was also agreed upon with approval from the MOTEYS CEO44. The actual survey run in Tongatapu was scheduled over a 10 day period. The Outer Islands was spread over a three week period. Village, church and community leaders were informed of the survey, the researchers allocated to their respective areas, time and place prior to the survey commencing.45 The final sample size agreed upon was increased to 10% of the total population sample age group 19-34 years. A total of 3,055 respondents 2 Key Findings
2.1.1 Research Plan & Process

The TYMDP Research Plan and Process was carried out under the umbrella of the Ministry of Training, Employment, Youth and Sports (MOTEYS) in close collaboration with Micro-enterprise specialist Robyn Cornford. As part of the government restructure in 2007, the Ministry of Training, Employment, Youth and Sport was created. A primary objective of the new ministry is to address the rising problem of youth unemployment in the Kingdom. One of the ministry's current projects aimed at address the unemployment problem is the ADBs youth micro-enterprise development project. The project was initiated in 2004 as part of ADBs efforts to improve employment prospects of Tongas youths and is expected to be completed by 2008. It developed a youth micro-enterprise development program based on proven models which can be implemented countrywide. Target age group is 18-28 years of age and aims at providing them with an opportunity to participate in micro-enterprise activities. The TYMDP Research is part of this process.
2.1.2
44 45
Data Entry and Analysis
Annex 3 Final Survey Version Tongan and English Annex 4 Survey Plan and District Allocation
53
Data entry and analysis was completed in close collaboration with Mr. Feleti Wolfgram (Senior Statistician) from the Department of Statistics who provided on-going support and advice regarding the survey structure, methodology and data collection and input method that was used. 2.1.3 Results
The total number of respondents who took part in the TYMDP Survey was 3,680 throughout the Tongatapu, Vavau, Haapai, Eua and Niua groups. The sample size was estimated at 10% of the age group population size (19-34 years) as directed and assisted by the Department of Statistics. A total of 3,055 were agreed upon. The final result was a total of 3,680 respondents.
Table 1: Respondents by Gender Gender Male 2033
Female 1647
Grand Total 3680
The majority or respondents were male (2,207) Male respondent rate was higher particularly due to the fact that most of the surveys were conducted during the evenings and were easier to access during those times. Table 2: Respondents by Age and Gender
Age group 17-21 22-26 27-31 32-36 37-42 TOTAL Male 648 697 444 234 10 2033 Female 539 627 321 157 3 1647 Grand Total 1187 1324 765 391 13 3680
The majority of respondents were noted in the 22-26 age group range followed by the 17-21 age groups. Very few respondents from the 32+ age group participated. A few respondents indicated over 35 years of age and less than 18 years of age which both fall out of the TYMDP sample age range of 19-34 years. Table 3: Respondents by Group District
District Tongatapu Vavau Haapai Eua Niuas No. of Respondents 2,784 465 55 320 56 Grand Total
3,680
The largest respondents by district grouping were from the Tongatapu group. The sample size was allocated as follows; Table 4: Sample Size Allocation for TYMDP Survey
Tonga Actual pop. Sample % No. select 30,553 10.0 3,055 Ttapu 22,568 74 2,257 Vava'u 4,507 15 451 Ha'apai 1,305 4 131 'Eua 1,609 5 161 Niuas 564 2 56 %
100.0
Based on the respondent returns as shown in Table3, Haapai was the only group which fell short of its 10% sample size as according to the sample age group 18-24 years. The sample size allocation for
54
Haapai was 131; however the TYMDP survey return for Haapai was only 55. All the other groupings achieved the allocated required sample size. Table 5: Respondents by Employment Status and Gender
Gender Female Male Home 474 585 1059 Govt 210 165 375 NGO 233 165 398 Church 84 66 150 Private 281 163 444 Studying 206 235 441 Unemployed 545 268 813 Grand Total 2033 1647 3680
The majority of the respondents indicated that they were not formally employed but were carrying out daily tasks at home. This covered house work, child care, going to the bush and/or undertaking small micro enterprise projects such as making school lunches to sell or handicrafts to market. Income in this bracket is not steady and regular. On the other hand, 813 respondents indicated that they were unemployed and were not undertaking any form of paid or unpaid work. Table 6: Respondents by Level Education and Gender
Gender Female Male Level of education Primary Secondary 76 1257 37 935 113 2192 Vocational 523 517 1040 Degree 97 87 184 None 80 71 151 Grand Total 2033 1647 3680
The majority of the respondents indicated that they had completed Secondary School (Form 1-Form5/6). This was followed closely by 1,040 respondents indicating that they had completed vocational studies (certificate/diploma). A small number indicated that they hadnt undertaken any education or had failed to complete primary school level. Table 7: Respondents by Marital Status and Gender
Marital Married Never Married Separated/Divorced Defacto GENDER Male 456 1498 31 48 2033 Female 371 1234 28 14 1647 Grand Total 827 2732 59 62 3680
The majority of respondents indicated that they are single and have never been married (2,732) with 827 respondents indicating that they are currently married.
55
Table 8: Respondents by Religion and Gender GENDER Religion Male Female Free Weslyan / Methodist 869 696 Catholic 415 384 Tokaikolo 39 46 Free Church of Tonga 221 169 Church of Tonga 98 46 Mormon 233 200 69 40 7th Day Adventist Anglican 9 14 Bahai Faith 18 18 Salvation Army 2 5 Assembly of God 30 15 New Life 6 4 Jihova Witness 5 1 Others 19 9 2033 1647
Grand Total 1565 799 85 390 144 433 109 23 36 7 45 10 6 28 3680
The majority of respondents indicated that they are members of the Free Weslyan Church which is also the leading faith in Tonga based on the 2006 Census. A large majority of respondents also indicated their membership with the Catholic and Mormon Faiths. Section One: How do I see Things in the Business World? This section of the TYMDP Survey presented the respondents with 10 myths about the business world in order to get an indication of the type of perception there is amongst youth when it comes to starting up a business. The following details the responses to the myths presented: Table 9: (a) Starting up a business can only be done by adults 35+
GENDER Male Female True 444 374 818 False 1399 1067 2466 Not Sure 190 206 396 Grand Total 2033 1647 3680
Table 10: (b) One must have a business degree or some type of business training before starting up a business
Table 11: (c) One must have collateral and lots of cash before starting up a business
Table 12: (d) One has to be from a well-known family in order for his/her business to be a success
GENDER Male True 179 False 1744 Not Sure 110 Grand Total 2033
56
Female 92 271 1457 3201 98 208 1647 3680
Table 13: (e) its no use having a great business idea in Tonga because only a very few succeed
Table 14: (f) There are too many family, community and church obligations that my business would be a flop
Table 15: (g) Its better to be married when you start a business, rather than being single
Table 16: (h) its easier for men to start up a business than it is for women
Table 17: (i) Only foreign-owned businesss that survive and do well in Tonga
Table 18: (j) It's better to find a normal job rather than start up a business. The shame of failing is too hard to handle:
57
What is your definition or understanding of What is a Business? The respondents were given an opportunity to describe what they understand a business to be. The majority of respondents indicated that it is an organization or person who is trying to make a profit either from selling goods and services. The following lists the summarized conclusions from the respondent's responses to this question: I. II. III. IV. V. VI. VII. VIII. IX. Person or organization trying to make a profit from selling goods and services A way to make more money A way to improve ones standard of living Exports and Imports Trading A person who wants to be rich A person or organization who wants to help people I dont know Blank
Section Two: How Am I Coping Financially This section of the survey looks at how the respondents are coping financially. expenditure. Table 19: How much money do you typically earn at the end of each week?
GENDER WEEKLY INCOME By $ amount 0-99 100-199 200-299 300-399 400-499 500-599 600-699 700-799 800-899 1000-1099 1200-1299 1500-1599 2400-2500 Male 934 728 240 64 18 23 5 7 4 9 1 2033 2 1647 Female 811 554 169 45 18 26 5 2 4 9 2 Grand Total 1745 1282 409 109 36 49 10 9 8 18 2 1 2 3680
Form earnings to
The majority of respondents indicated that they earn under TOP$99.99 per week (1,745) with 1,282 respondents indicating that they earn under TOP$199.00 per week. Very few indicated that they earned more than TOP$399.00+ per week. For those who indicated over the TOP$1,000 threshold were respondents who calculated their weekly earnings based on bulk payments earned from farming (agriculture), handicraft sales (big pieces of tapa and mats) and/or calculated based on a monthly income.
58
Table 20: Where Do You Earn This Money From?
GENDER Male Female Employment 650 470 Self Employed 602 358 Sell 182 114 Remittances 281 344 Ask 201 206 Family 2 8 Other 115 147 Grand Total 2033 1647
1120
960
296
625
407
10
262
3680
The majority of respondents (1,120) indicated that they earned their weekly income from paid employment. 960 indicated that they earn their weekly income from self employment (mainly farming / handcraft) A large number of respondents (625) indicated that they relied heavily on remittances sent from relatives living abroad. Table 21: Which of the following bills are you responsible for paying or contributing towards at home?
GENDER Male Female Water 501 326 827 Electricity 386 312 698 Telephone 80 82 162 Food 548 456 1004 Mix Bills 326 247 573 No Contribution 77 77 154 Other 115 147 262 Grand Total 2033 1647 3680
The majority of respondents (1,004) indicated that they contributed or were responsible for paying food bills. 827 contributed towards water bills with 698 contributing towards electricity bills. 262 indicated that they contributed towards other bills such as school fees and village / church / family contributions. 247 indicated that they contributed towards a mixture of bills and not just one. Table 22: The money that you earn either at work or by other means is controlled by: No Response GENDER Parents Friends Spouse Myself Other Grand Total 568 85 180 1042 43 115 2033 Male 459 44 104 856 37 147 1647 Female 1027 129 284 1898 80 262 3680 The majority of respondents (1,898) indicated that they were in control of their own weekly income. 1027 respondents indicated that their parents controlled their weekly income whilst 284 indicated their spouse and 262 not indicating an option.
Table 23: At the end of each week, which of the following amount of cash do you have available for your own expenditure: No Grand Response Total GENDER $100+ $50-$99 $20-$49 $1-$19 $0.00 199 276 491 545 373 149 2033 Male 152 221 322 457 313 182 1647 Female 351 497 813 1002 686 331 3680 The majority of respondents (1,002) indicated that they had under TOP$20.00 cash-in-hand after all bills and expenses paid from their weekly income. 813 indicated that they under TOP$50.00 cash-in-hand whilst 351 respondents indicated that they had over TOP$100.00.
Table 24: If you were given $1,000 to do whatever you wanted with it, you would: Spend Give to Shout Pay Start Gender Bank it it Parents Friends Bills Business Other
Grand Total
59
Male Female 907 847 1754 252 170 422 227 195 422 49 45 94 197 173 370 366 180 546 35 37 72 2033 1647 3680
The majority of respondents (1,754) indicated that they would bank it or start up a bank account if they didnt have one. While 546 indicated that they would attempt starting a small business, 422 respondents indicated that they would give it to their parents and similarly another 422 respondents indicated that they would spend it on something that they really needed. Section Three: Am I Saving Money? This section looks at the pattern of saving amongst the respondents from owning their own personal bank accounts to loans and debts that they currently have during the time the survey was undertaken. Table 25(a): Do you have difficulty saving money By Age Group:
Age group 17-21 22-26 27-31 32-36 37-42 Yes 651 668 386 216 4 1925 No 517 626 360 161 8 1672 No Response 19 30 19 14 1 83 Grand Total 1187 1324 765 391 13 3680
Table 25(b): Do you have difficulty saving money Gender:

GENDER Male Female Yes 1141 784 1925 No 847 825 1672 No Response 45 38 83 Grand Total 2033 1647 3680
The majority of respondents by age group who indicated that they had difficulty in saving money was the 22-26 age group (668 respondents) with 651 respondents from the 17-21 age group following closely indicating that they also had difficulties in saving money. However there is a close balance with both age groups indicating that they had no difficulties at all saving money. One of the reasons being that the majority of both these age groups (particularly the 17-21) are unemployed and therefore interpreted this question as having no relevance to them which resulted in a higher number also indicating that they had no difficulties saving money because there is no money to save in the first place. 1,141 Male respondents and 784 female respondents indicated they had difficulties saving while 847 male respondents and 825 female respondents indicated that they had no difficulties saving. For those who indicated that they had difficulties in saving money where given the opportunity to state why. A large number of respondents who responded to this question stated that it was mainly to do with (1) not having enough money to save after paying bills and daily expenses (2) too many other obligations to take care of, for example funerals, village and church obligations, (3) weekly income not enough to have the luxury of being able to save: Table 25(c): Why I find it difficult to save money:
Never thought of it 28 25 53 Too scared to put it away 80 87 167
GENDER Male Female
No Money 92 60 152
Cant Budget 42 20 62
Too much obligations 692 514 1206
Social life 66 16 82
No job 29 13 42
other 113 55 168
No response 891 857 1748
Grand Total 2033 1647 3680
60
Table 26: When you need to buy or pay for something and you dont have the money for it, you:
GENDER Male Female Ask Parents/Spouse/ Friend 612 521 1133 Loan 305 238 543 Save for it 296 185 481 Ask relatives Overseas 450 405 855 Leave it 301 271 572 Other 69 27 96 Grand Total 2033 1647 3680
1,133 respondents indicated that when they really need something of dollar value and had no money to pay for it they would ask their parents, spouse or a close friend. 855 respondents indicated that they would ask relatives overseas (remittances) whiles only 481 indicated that they would save up for it. 572 indicated that they would leave it if they couldnt afford to pay for it. Table 27 (a): Do you currently have your own bank account by age group:
Age group 17-21 22-26 27-31 32-36 37-42 Yes 615 715 439 256 11 2036 No 552 595 318 130 1595 Not Sure 20 14 8 5 2 49 Grand Total 1187 1324 765 391 13 3680
Table 28 (b): Do you currently have your own bank account by gender:
Gender Male Female Yes 1099 937 2036 No 897 698 1595 Not Sure 37 12 49 Grand Total 2033 1647 3680
1,310 respondents from the 22-26 year age group indicated that they had bank accounts whilst 14 from the same age group indicated that they were unsure if they had an account with any bank. 1,099 male respondents indicated that they currently have their own bank account whilst 897 male respondents indicated that they didnt. 937 respondents indicated that they currently had bank accounts and 698 indicated that they didnt and 12 indicating that they were unsure. Respondents who indicated that they didnt currently have a bank account were given the opportunity to explain why. The following summarizes the main responses: Dont have a paid income to save in the first place Current paid income is too low for me to consider starting up a bank account Too much bank fees vs. little pay Dont know how to open one up Never thought about it I had one before but it closed because I didnt have any money in it
61
Table 29: Your current balance is: [for those who have current bank accounts]
GENDER Male Female TOP$10,000+ 47 28 75 TOP$1,000+ 136 123 259 TOP$100+ 290 296 586 Under TOP$100 285 241 526 0.00 314 234 548 Other 961 725 1686 Grand Total 2033 1647 3680
The majority of respondents (1,686) indicated other which largely represented respondents not sure of what their actual current balance was at the time of responding to the survey. 586 respondents indicated that they had more than TOP$100 in their bank account, whilst 548 respondents indicated that they had a current NIL balance. Table 30:
Age group 17-21 22-26 27-31 32-36 37-42
Have you ever taken out a loan by age group:

Yes 226 371 338 210 12 1157 No 938 917 409 172 1 2437 No Response 23 36 18 9 86 Grand Total 1187 1324 765 391 13 3680
The majority (2, 437) indicated that they had never taken out a loan, whether formal or informal. Out of the 1,157 that indicated that they had taken out a loan the largest majority was from the 22-26 year old age bracket. There could be several reasons for this, one being that this is the most common age bracket for first time marriages and so the prevalence for increased costs is much higher. There was not much difference in gender responses to this question. This could also explain on-going increased family costs which continue into the next age bracket (32-36). Table 31(a): How Much by age group:
Age group 17-21 22-26 27-31 32-36 37-42 -$50 29 25 15 11 2 82 -$100 91 82 35 24 232 -$500 54 86 72 32 2 246 -$1,000 20 58 58 25 3 164 -$2,000 15 35 55 37 2 144 -$5,000 10 35 51 29 1 126 $5,000+ 4 33 30 30 97 $10,000+ 3 17 22 22 2 66 N/A 961 953 427 181 1 2523 Grand Total 1187 1324 765 391 13 3680
Table 31(b) How Much by gender:

Gender 1 2 -$50 55 27 82 -$100 119 113 232 -$500 122 124 246 -$1,000 106 58 164 -$2,000 75 69 144 -$5,000 78 48 126 $5,000+ 49 48 97 $10,000+ 42 24 66 N/A 1387 1136 2523 Grand Total 2033 1647 3680
N/A: Not Applicable The largest majority indicating how much they had loaned was from the less than $500 paanga bracket. 86 of those respondents were from the 22-26 age bracket. There was not much difference in gender response. 91 respondents (the highest number from the 17-21 age bracket) indicated that they had loaned less than $100 paanga. A total of 97 respondents indicated that they had loaned over $5,000 paanga again reflecting the 22-36 year old age brackets (increased family start up costs, obligations etc)
62
What was the loan for? The respondents were asked to briefly indicate what the main purpose of the loan was for. The following summarizes the respondent's answers;
Age group 17-21 22-26 27-31 32-36 37-42
2,637 had no response 257 said it was family obligations 186 said it was for personal reasons 89 said it was to pay for school fees 88 said it was for church fundraising 83 said it was building a new home or renovations 80 said it was for other reasons 56 said it was farming activities 55 said it was travel overseas 53 said it was to do with purchasing a vehicle 39 said it was for a funeral 24 said it was business related (handicraft / small shop) 16 said it was to pay off another loan
Financial Institution 65 125 94 28 1 313 Friend/ Relative 57 59 23 17 156 Community Group 27 22 12 7 68 No Response 3 2 3 4 12 Not Applicable 961 953 427 181 1 2523 Grand Total 1187 1324 765 391 13 3680
Table 32: Where did they get the loan from by age group:
Bank 61 150 181 151 11 554 Other 13 13 25 3 54
Table 32(b): Where did you get the loan from by gender:
Gender 1 2 Bank 328 226 554 Financial Institution 151 162 313 Friend/ Relative 95 61 156 Community Group 36 32 68 Other 31 23 54 No Response 5 7 12 Not Applicable 1387 1136 2523 Grand Total 2033 1647 3680
The majority of respondents (554) apart from the no response and not applicable indicated that they loaned from local banks while a close (313) indicated that they loaned from local financial institutions which required traditional mats as collateral. Table 33(a): Did you pay it back by age group:
Table 33(b): Did you pay it back by gender:

GENDER Female Male Yes 554 414 968 No 224 189 413 No Response 1255 1044 2299 Grand Total 2033 1647 3680
63
The majority of respondents who responded to this question (968) indicated that they paid their loans back while 413 indicated that they didnt for the following reasons: Table 34: If no, why not?
Age group 17-21 22-26 27-31 32-36 37-42 Still Paying Back 7 58 69 33 3 170 No Money/Job 20 21 16 19 76 Someone else paid/paying it off 2 4 7 2 2 17 Grand Total 1187 1324 765 391 13 3680
Other 3 5 4
12
No Response 1155 1236 669 337 8 3405
The majority of respondents (170) who had taken out loans are still paying it back. 17 indicated that someone else is paying off their loan, i.e.; sibling / parent. Table 35: Do you have a current debt:
Age group 17-21 22-26 27-31 32-36 37-42 Yes 150 234 184 124 6 698 No 964 1025 549 251 7 2796 Not Sure 73 65 32 16 186 Grand Total 1187 1324 765 391 13 3680
Table 36: If yes, how much:

Age group 17-21 22-26 27-31 32-36 37-42 -$20 31 30 18 6 2 87 -$50 28 36 24 10 98 -$100 17 26 19 17 79 -$500 22 57 52 26 2 159 -$1,000 2 14 14 18 48 -$2,000 3 13 13 11 1 41 -$5,000 2 8 7 5 22 No Response 1082 1140 618 298 8 3146 Grand Total 1187 1324 765 391 13 3680
The majority of respondents (159) who had indicated that they currently had a debt said that it was under TOP$500.00, (79) under TOP$100 and (48) under TOP$1,000. These were debts accumulated at local shops and quick loans from friends and family for daily necessities such as petrol until the next pay day or until they received money from overseas. Section Four What do I know about business set-up or micorenterprise? This section looks at the respondent's knowledge about microenterprise in Tonga or wanting to start up a small business, from training incentives to assistance with start up plans and costs.
64
Table 37(a): Do you know of any successful business in Tonga:
The majority of respondents (2,207) indicated that they were aware of some successful locally Tongan owned businesses whilst (1,363) indicated that they were not aware of any and (110) indicating that they were not sure. The following is a detailed listing of the local businesses that were identified as being successful: Table 37(b): Successful Local Businesses:
Name of Business Tevita Ota Store Cowley Bakery Airlines Toloke Enterprise TCF Store OSB Store Chinese Shops Shipping Car Yards Adiloa Store Prema Store Narottams Store Molisi Tonga Store Mosimani Store Nova Store Agriculture Fisheries Loan Institutions Handicrafts Tourism Services Restaurants Hotels / Accommodation Local banks Resorts Other No Response No. of Respondents who indicated 373 39 9 21 86 247 175 9 5 7 58 13 23 26 13 124 52 21 31 8 68 8 15 4 655 1,596
The majority of respondents (373) who indicated that they were aware of some locally owned successful businesses highlighted the top five (1) T Oto Store / Supermarket and Car YARD / Parts (2) Other (3) OSB Trading Store (4) Chinese Shops and (5) Agriculture. When asked why they thought these local businesses were successful, particularly in the case of Chinese Shops the response was related to competitive prices, accessibility over a 24 period and availability of a wide variety of products.
65
Table 39(a): As a youth do you think you could start up a small business by age group:
Wouldnt be able to 112 118 66 30 2 Tried but didnt succeed 16 13 3 12 Am currently trying 10 17 11 10 1 No Response 32 44 13 7 Grand Total 1187 1324 765 391 13
Age group 17-21 22-26 27-31 32-36 37-42
Yes 285 414 296 169 6
No 732 718 376 163 4
1170
1993
328
44
49
96
3680
Table 39(b): As a youth do you think you could start up a small business - By gender: Tried but Am Wouldnt be didnt No Grand currently Gender Yes No able to succeed trying Response Total Male 734 1023 175 24 21 56 2033 Female 436 970 153 20 28 40 1647 1170 1993 328 44 49 96 3680
The majority of respondents by age group (1,993) indicated that they would not be able to start up a small business, (970) of those respondents were female, whilst only (436) female respondents indicated that they thought they could compare with (734) male respondents who indicated that they could. (49) indicated that they were in the middle of trying to start one up and (44) indicated that they had attempted and it was unsuccessful. For those who indicated that they wouldnt be able to highlighted the following top five reasons; (1) no start up capital (2) no basic business knowledge (3) scared of failure (4) too much family and friends around and business would fail because of unpaid loans / debts (5) Am more favourable in finding myself a good job. For those who indicated that they had tried setting up a business related failure to lack of ability of keep control of incoming and outgoing expenditures and also lacked the appropriate business skills in being able to cope with the demands of maintaining a business. Table 40(a): What Type of Business would you set up by age group:
Age group 17-21 22-26 27-31 32-36 37-42 Shop 54 97 71 44 1 267 Agriculture 35 57 58 32 3 185 Handicraft 28 25 22 15 90 Loans 13 27 14 13 67 Fishing 11 22 13 6 52 Food & Beverage 11 27 14 2 54 Piggery 8 14 10 7 39 Internet CAFE 8 8 2 Other 93 116 82 52 2 345 No Response 926 931 479 220 7 2563
G T
18
Table 40(b): What Type of Business would you set up by gender:

Gender Male Female Shop 114 153 267 Agriculture 170 15 185 Handicraft 37 53 90 Loans 28 39 67 Fishing 37 15 52 Food & Beverage 31 23 54 Piggery 33 6 39 Internet CAFE 10 8 18 Other 223 122 345
No Response 135 121 256
The majority of respondents (267) by age group (apart from other) indicated that they would invest in starting up a small shop in most cases on their residential properties so that they could monitor the operations on a 24 hour basis. (185) respondents indicated that they would be interested in starting up business in the agricultural sector however 170 of those respondents were male with only 15 female respondents indicating interest in this sector.
66
Table 41(a): group:
Age group 17-21 22-26 27-31 32-36
Have you ever had any pervious training in business setup or enterprise by age
Yes 300 274 136 81 7 798 No 860 1014 605 299 6 2784 No Response 27 36 24 11 98 Grand Total 1187 1324 765 391 13 3680
Table 41(b): Have you ever had any pervious training in business setup or enterprise by gender:
A large majority of the respondents (2,784) indicated that they had never undergone any type of business training whether informal or formal. However (300) respondents out of the total (798) respondents who had indicated that they had undergone some type of training were from the 17-21 age group. This reflects those had had just completed the formal schooling system where subjects such as economics and accounting covers areas of business development. These subject areas are still fresh in the minds of this particular age group where the older age groups found it difficult to remember whether they had covered such topics during their formals school years. Table 42(a): Where did you receive the training by age group:
Age group 17-21 22-26 27-31 32-36 Government 11 23 12 10 56 NGO/CSO 51 56 41 30 178 Private Institutions School / Other 140 105 40 19 4 308 7 8 7 5 2 29 No Response 978 1132 665 327 7 3109 Grand Total 1187 1324 765 391 13 3680
Table 42(b): Where did you receive the training by gender:

GENDER Male Female Government 23 33 56 NGO/CSO 105 73 178 Private Institutions / School 161 147 308 Other 18 11 29 No Response 1726 1383 3109 Grand Total 2033 1647 3680
The majority of respondents (308) who had indicated that they had undergone previous training said it was through private institutions such as ongoing tertiary studies and community education programs and during their time at the formal schooling level (Form 3-7)
67
Table 43 What did the training cover?
Age group 17-21 22-26 27-31 32-36 37-42 Basic business concepts 13 30 22 8 73 Accounting/ Financing 12 4 6 Starting a business 44 36 15 13 108 All of the above 18 14 6 2 40 Other 2 2 2 6 No Response 1098 1240 714 366 13 3431 Grand Total 1187 1324 765 391 13 3680
22
The majority of respondents (108) who indicated what type of training they had undergone highlighted starting a business with (73) respondents indicating that they had undergone basic business concepts training. Table 44 If you were to start up a business in Tonga, do you know where to seek information or help from:
Table 45 If yes, where from:

Age group 17-21 22-26 27-31 32-36 37-42 Government 69 95 68 56 4 292 NGO/CSOs 43 57 34 21 155 Institutions 86 59 37 20 2 204 Business people 3 11 8 4 26 Other No Response 986 1102 616 290 7 3001 Grand Total 1187 1324 765 391 13 3680
(292) respondents indicated that they were aware of the Ministry of Labour, Commerce and Industries short courses and information that is available from this ministry. Very few were aware of the new Ministry of Training, Employment, Youth and Sports (MOTEYS) only recently established. Table 46 Are you aware of the courses or trainings available regarding business or enterprise in Tonga
Age group 17-21 22-26 27-31 32-36 37-42 Yes 353 372 230 132 7 1094 No 761 881 487 245 6 2380 Not Sure 33 28 19 7 87 No Response 40 43 29 7 119 Grand Total 1187 1324 765 391 13 3680
The majority of respondents (2,380) indicated that they were not aware of short courses or trainings available regarding business setup and enterprise.
68
Table 47 If you are interested in setting up and running your own business/enterprise in Tonga, what would be your ultimate business dream or aspiration by age group:
Age group 17-21 22-26 27-31 32-36 37-42 1 334 331 196 77 3 941 2 8 10 10 2 30 3 4 14 4 2 24 4 6 11 6 1 24 5 528 552 320 192 9 1601 6 62 81 49 33 225 7 13 23 6 8 50 8 28 39 16 14 97 9 9 6 2 17 10 111 148 73 31 363 11 84 115 79 29 1 308 Grand Total 1187 1324 765 391 13 3680
Key: 1 = retail / trading 2 = agriculture 3 = handicraft / arts 4 = professional services 5 = financial services 6 = something to do with real estate / building / construction 7 = mechanics / engineering 8 = labour materials (such as printing machinery for T-Shirt business) 9 = rather get a job 10 = Other 11 = No response The majority of respondents by age group (1,601) indicated that they would be interested in starting up a small loans business as they forsee that this would result in quick capital. (941) respondents indicated that they would invest in starting up a retail / trading store while only (24 - 30) indicated that they would go into agriculture or handicraft. There was not much difference in the gender response to this question apart from agriculture where out of (30) respondents only (2) were female and out of (24) indicating handicraft business only (4) were male. Table 48(a) If you were to participate in some type of business or enterprise training, which of the following topics would you like covered by age group: Age group 17-21 22-26 27-31 32-36 37-42 Grand Total 1187 1324 765 391 13 3680
1 218 224 132 54 6 634
2 42 37 25 20 124
3 71 74 26 17 188
4 81 84 54 29 1 249
5 152 100 50 18 3 323
6 55 53 19 5 132
7 58 67 57 20 202
8 413 571 343 178 1 1506
9 37 51 20 26 1 135
10 60 63 39 24 1 187
Table 48(b) If you were to participate in some type of business or enterprise training, which of the following topics would you like covered gender:
GENDER Male Female 1 353 281 634 2 72 52 124 3 108 80 188 4 147 102 249 5 173 150 323 6 78 54 132 7 116 86 202 8 771 735 1506 9 102 33 135 10 113 74 187 Grand Total 2033 1647 3680
69
Key: 1 = Financial Literacy 2 = Banking 3 = Leadership 5 = Marketing 6 = Business Communication 7 = Starting from Scratch 8 = All of the above 9 = Other 10 = No Response The majority of the respondents (1,506) indicated that they would prefer covering all of the listed areas rather than a more focused area of training. However (634) respondents did indicate that they would be interested in receiving financial literacy training which would cover basic accounting and financing skills. There was very little gender difference in the responses to training. Table 49 What do you forsee as advantages / disadvantages in setting up a business in Tonga:
Reason Respondents indicated it Advantage 2,255 is who an Respondents indicated it Disadvantage 1,230 is who a No Response
Market size
195
Export Opportunities
2,560
903
217
Value of Tongan Paanga Bank/loan interest fees 6 day only business day operation
1,350 980 2,424
2,075 2,426 960
255 274 296
Tourism
2,637
743
300
One of the biggest disadvantages highlighted by (2,075) respondents if one was to start a business in Tonga is the value of the Tongan paanga. A large majority of the respondents felt that the depreciation of the Tongan paanga over recent years was of concern to anyone trying to start an enterprise of business. Another disadvantage highlighted by (2,426) respondents was the deterrent of paybackinterests on loans. (1,230) respondents felt that the market size in Tonga was too small to support most business ideas. On the other hand (2,225) respondents felt that the market size was compatible with most business ideas in Tonga. (2,637) respondents felt that Tourism is a big advantage for the business sector in Tonga and (2,424) further indicated that the 6-day business operation system was an advantage for the business sector as it allowed time for business owners to relax and spend time with their families. Section Five My Qualities, My Aspirations
The final section looks at the qualities, skills and aspirations of the respondents who took part in the TYMDP survey.
70
Table 50(a) How do you rate your leadership skills as a young person by age group:
Age group 17-21 22-26 27-31 32-36 37-42 Excellent 337 301 196 149 5 988 Good 216 256 140 66 1 679 Alright 376 388 249 91 5 1109 Not Good 103 199 101 27 430 No Skills 122 128 57 44 2 353 No Response 33 52 22 14 121 Grand Total 1187 1324 765 391 13 3680
Table 50(b) How do you rate your leadership skills as a young person by gender:
GENDER Male Female Excellent 595 393 988 Good 309 370 679 Alright 597 512 1109 Not Good 233 197 430 No Skills 227 126 353 No Response 72 49 121 Grand Total 2033 1647 3680
The majority of respondents (1,109) indicated that they had alright leadership skills whilst (988) felt that they had excellent leadership skills. (355) respondents indicated that they had no leadership skills at all. The gender response was relatively balanced. Table 51(a) As a young person, do you think you can become a successful business person in Tonga by age group:
Table 51(b) As a young person, do you think you can become a successful business person in Tonga by gender:
Table 52 If you were invited to attend some courses / trainings on business enterprise, would you attend:
Age group 17-21 22-26 27-31 32-36 37-42 Yes 1008 1125 680 327 10 3150 No 140 135 57 49 3 384 No Response 39 64 28 15 146 Grand Total 1187 1324 765 391 13 3680
71
Table 53(a)
Age group 17-21 22-26 27-31 32-36 37-42
Which would you prefer by age group:

To get a good job 559 558 283 113 4 1517 Start a business 490 578 404 221 8 1701 Have a job & start a business 54 73 41 26 194 Not Sure 2 No Response 84 113 37 31 1 266 Grand Total 1187 1324 765 391 13 3680
Table 53(b)
Which would you prefer by gender:

To get a good job 798 719 1517 Start a business 971 730 1701 Have a job & start a business 101 93 194 Not Sure 2 2 No Response 163 103 266 Grand Total 2033 1647 3680
GENDER Male Female
Table 54
What are your two strongest skills (open question)

MALE 535 45 122 10 53 1 29 128 140 29 30 1 34 34 8 4 459 198 173 FEMALE 58 98 148 32 211 2 35 57 42 33 26 2 19 62 14 210 139
SKILL Agriculture Home Domestic Chores Communications Secretarial Handicraft Nanny / Babysitting Music Sports Technical Church Leadership Loyal / Hardworking Trustworthy Fisheries Cooking Financing / Maths Driving Other No Response
The top five identified strongest skills for the male respondents were (1) agriculture (2) driving (3) Technical (4) Sports and (5) other whilst the female respondents the top five strongest skills were (1) handicraft, (2) other (3) communications (4) Fisheries and (5) Home Domestic Chores.
72
Table 55 What is your ultimate goal for your future (open question)
ULTIMATE GOAL To be happy with my family To start a family and have children Migrate overseas Find a secure job Start a business Agriculture Work for the church Take care of my family Trustworthy and reliable Good leadership Good parent Input to the family / community Be a successful business person / entrepreneur Complete education Other No response 133 53 24 270 600 42 33 178 130 15 85 11 8 246 136 69 MALE 67 39 12 286 499 13 18 137 112 46 57 6 23 163 114 55 FEMALE
The final question in the TYMDP survey allowed the respondents to think about what their ultimate goal would be following after filling in the survey. This was an open question with no options and allowed the respondents to think and independently identify. For the male respondents the top three goals were (600) respondents indicating that they would like to start a business followed by (270) indicating that they wanted to find a secure job and (246) male respondents indicating that they wished to complete their education. For the female respondents the top three goals were (499) wished to start a business (286) indicating that they wished to find a secure job and (163) indicating that they wanted to complete their education which was very similar to the respondent from the male respondents.
2.1.4 Summary of Findings
The findings of the TYMDP Survey reflects the urgent need for more youth focused training in the are of business set up and enterprise. It is clear and evident from the respondents who took part in the research that youth in general lack management skills, access to business network opportunities, opportunities to learn the practical issues of starting, surviving and growing their own enterprises and more importantly lack the motivation to think outside the box from the normal or perhaps standard career options that are presented to them while they are in the formal schooling system and similarly when they are out of school as evident from the results of the survey. One of the most difficult sections of the survey which a majority of respondents took extra time to think about were the final two questions (1) What are your two strongest skills and (2) What is your ultimate goal or aspiration. The researchers found that the respondents started to show signs of uncertainty and where some were uncomfortable requested guidance from the researchers as to give examples of the kinds of skills there are in order to be able to think about what skills they actually did possess. To have an ultimate goal or aspiration resulted in very general responses in most cases and for those who never actually had the chance to think about business set up and enterprise actually found them wanting to experience enterprise in the near future.
73 What we found during the TYMDP survey was that at the very beginning of the survey most youths were unaware of the opportunities and possibilities available for youth in the area of business set-up and enterprise and after going through the survey with the researcher most respondents ended up pondering about the possibility of taking this up as an option. The survey also encouraged respondents to start thinking outside the box by giving examples of businesses and enterprises that have been very successful in Tonga and abroad. It was also interesting to note that a large majority of male respondents acknowledged the opportunities for business enterprise in the agricultural sector whilst the female respondents didnt share the same view. Clearly gender based roles of men and women in relation to the Tongan context play a very big part in this process of thinking for the respondents. It is therefore very critical that a gender equality-based training framework be developed in the area of business set-up and enterprise in Tonga so as to ensure that there are equal opportunities in access to information and on-going training. The response to the myths about the business world clearly showed the gender-based discrepancies where 2,543 respondents indicated that they were not sure if Its easier for men to start up a business than it is for women (608) respondents indicated that this myth was true and (529) indicating that the myth was false. Another point-of-interest is the fact that the majority of respondents (1,745) had indicated that they earned less than TOP$100 per week. This is reflected in the savings that they are not able to sustain where (1002) respondents indicated that at the end of each week the available cash they have in hand after paying for the necessary bills and costs is under TOP$20.00. It is hoped that (as earlier noted) the formal schooling system can start encouraging in-school savings program in collaboration with the local banks so that the culture of saving is embedded from childhood through to adulthood. (1206) respondents indicated that they had difficulty saving money because of too many obligations so a structured savings program from early childhood stage would be beneficial. The majority of respondents who indicated that they had bank accounts (2,036) also indicated that the current balance was between TOP$0.00 - TOP$100.00. (1,157) respondents indicated that they taken out a loan. The results of the TYMDP survey aims at creating an enabling environment that encourages enterprises and fosters the development of business ideas through helping youths to learn and practice micro commercial projects, learn about financial literacy and awareness, marketing, identifying opportunities, sports management, handicrafts, intellectual property and other business issues. The recommendations that have resulted from the research and related stakeholders meeting throughout the TYMDP project life-cycle aims to help youths understand the realities of business and how to run a business but at the same time enjoy themselves and have fun. It is also critical to note the important role of local institutions and organizations such as Tonga National Youth Congress and Chamber of Commerce in supporting and mentoring microenterprising projects and that it is on-going and easily accessible and empowering for both young men and women. 3 RECOMMENDATIONS
The following recommendations are those of key stakeholders following the presentation of the key findings;
74 (i) To introduce key business concepts and entrepreneurship into the school curricular, taking into account alternative proven methods such as the use of drama and essay competitions, in light of the process and time it takes to change curricular. However both these methods can be short-term and long-term goals, (ii) To introduce key savings concept and culture into the earliest sage of education as possible. For example a savings program within the schools to encourage children at the earliest age as possible to open savings accounts and to save from as little as 5 cents a week to encourage students to adopt the culture of putting money away and to show that even as little as 5 cents a week eventually adds up overtime. This initiative should also be supported by the local banks with innovative programs and incentives created to encourage and maintain students to save money. There should also be information readily available for students to guide and show them how much they can save for specific amounts of deposits on a weekly, bi-weekly, monthly basis. (iii) Budgeting should also be introduced into the school curricular at the senior secondary level. The budgeting resources and information should be developed and delivered according to the Tongan social and economic context. This is particularly crucial as social and economic obligations for Tongans can be the extreme opposite to what youth are experiencing elsewhere in the world. (iv) Any further strengthening or development of new microenterprise programs for youth should be well equipped with the appropriate resources, support and information base. Youth microenterprise cannot apply to all youth, however, for those who do take up an interest in this area, need to be assured the confidence that they will be able to receive all the appropriate literature, research, assistance and support they require before taking further steps. It is anticipated that if the formal school curricular introduces key business concepts, entrepreneurship and microenterprise - that this would be an added value and stepping stone for those pursuing business ideas further after leaving school. (v) To introduce leadership, aspiration setting, goal setting skills and techniques as life skills programs within the formal school curricular. This also needs to take a more interactive and encompassing approach, whereby school career guidance counsellors and social behaviour counsellors are available for students to access. There also needs to be more practical experiences available for students to undertake, particularly in the private sector, to encourage and motivate young and upcoming entrepreneurs. (vi) To develop a Youth Entrepreneurship Business Award, reinforcing that youth can and are able to participate in business These recommendations should also take into account objective one of the TNYS which is already in place by enhancing the existing action plans and avoiding duplication of activities; 5.1.2. TNYS Strategic Actions 2007-2012 Youth Enterprise Development 1. 2. Design and implement a country wide program for the development of youth enterprises Strengthen youth participation in small-scale fisheries, aquaculture, eco- tourism micro-business Strengthen youth participation in sports as a means of employment and
3.
75 4. Create the capacity (institutionalization) for youth to actively develop their creative and artistic talents and participation in both social and economic activity as means of generating income
Resource Mobilization 1. Establish the Tonga Youth Development Trust Fund to support sustainable youth enterprises Public Awareness 1. Design and implement a national public awareness and communication strategy for information dissemination on youth enterprises 2. Establish an Annual Youth Festival to showcase entertainment, trade and career Opportunities 3. Enforce national employment registration of unemployed youth to improve employment referral Equality of Opportunity 1. Ensure equal access and opportunities for youth with disabilities in all employment sectors 2. Ensure gender equality in all initiatives

Ton Tacr

Загружено:

Сведения о документе

Исходное описание:

Оригинальное название

Авторское право

Доступные форматы

Поделиться этим документом

Поделиться или встроить документ

Параметры публикации

Этот документ был вам полезен?

Это неприемлемый материал?

Авторское право:

Доступные форматы

Ton Tacr

Загружено:

Авторское право:

Доступные форматы

Technical Assistance Consultants Report

Project Number: 37151 March 2009

Tonga: Youth Enterprises Development

Project Number: 37151 March 2009

TONGA: Youth Microenterprise Development Project

These hubs are detailed in section IV (c)

TONGA Tongatapu Vava'u Ha'apai 'Eua Ongo Niua

Source: Tonga Statistics Population Census 2006 Analytical Report Volume 2.

Guidelines and Implementation

Sound Practice Guidelines Program Implementation Report

Oct/ Nov 2007

June 2007 Responsible for the Survey (Phase II)

12 D. Phase 1 Study of International Best Practices

Support and mentoring

Providing access to new skills/ideas training and workshops

security of cash, insurance, etc.)

rules. (e.g. Lending and Credit Guarantee program)

See Appendix 1 for further details.

21 E. Phase 2 National Youth Survey

22 Study of 5 Local Business Part Time Work Availability:

Beg for money

27 The full survey report is attached (Appendix 3) F. Phase 3 Implementation Plan

(vi) (vii) (viii)

Government Extension Services

Youth Microenterprise Support Project Hub

Private enterprise Local business mentors

Other Development Projects

Financial literacy & awareness of enterprise opportunities

Now Ministry of Education, Womens Affairs and Culture (MEWAC)

limited to microenterprise such as (Gender, Human Rights, Good Governance)

APPENDIX 2 Initial TA4488 TON Technical Assistance Framework

Government commitment to rollout of youth microenterprise development program Economic downturn

2. Young people knowledge, skills experience microenterprise development

PI: Good published disseminated completion

practices and by project

Youth participants remain involved long enough to evaluate success of training

PI: Implementation endorsed by government

Government continues to consider youth issues a priority

Expected Start Date November 2005

Int. consultant (IC)

Expected Finish Date Completed December 2005

IC, Domestic consultant (DC), Tonga counterpart (TC) MoTEYS

November/De cember 2007

A National Survey of Tongan Youth.

IC, DC, TC, MoTEYS, Survey CoCoordinator, interviewers, Dept of Statistics

September/Oc tober 2007

IC, DC, TC, MoTEYS

November/De cember 2007

Design of a framework for a youth microenterprise development model.

IC, DC, TC, MoTEYS

November/De cember 2007/ongoing

Selection opportunities microenterprise.

IC, DC, TC, MoTEYS, Survey respondents

November/De cember 2007

IC, DC, TC, MoTEYS

Not yet commenced.

IC, DC, TC, MoTEYS

Ongoing. Lessons learned are being noted during project implementation.

Development of an implementation program for country-wide roll-out of youth microenterprise development

1. Plan for implementation microenterprise program.

country-wide of youth development

IC, DC, TC, MoTEYS