BY MBONO MDLULI
MBABANE – The Youth Enterprise Revolving Fund (YERF) is taking bold steps to secure its financial future with the launch of a Loan Repayment Campaign designed to increase the loan repayment rate to 90% and boost the Fund’s financial stability.
This initiative aims to foster a culture of compliance among beneficiaries, recognize those who have successfully repaid their loans, and attract new investors.
The YERF’s Loan Repayment Campaign incorporates several measures to address no-n payment challenges. Strategies include educating beneficiaries on default risks, rescheduling loans, voluntary asset surrender, and even legal actions when necessary. However, the overarching goal is to transition from start-up financing to establishing youth investment banks.
“We urge all beneficiaries who are currently in default or delinquent to come forward and make repayment arrangements,” said Mandla Nkambule, Managing Director of YERF.
“By doing so, they will not only improve their credit score but also contribute to the growth of our portfolio, enabling us to provide more loans to aspiring young entrepreneurs,” he said.
The Loan Repayment Campaign will officially launch during a ceremony at the Alcon Business Centre on Thursday, December 19, 2024, at 10:00 AM.
The event will honour 85 young entrepreneurs who have fully repaid their loans. The ceremony will be attended by Minister of Sports, Arts, and Youth Affairs, senior government officials, the YERF Board of Directors, and other key stakeholders.
This event is a call to action for other beneficiaries to meet their obligations. Recognizing compliant beneficiaries is also part of YERF’s strategy to inspire others to follow suit.
By increasing its loan repayment rate and reducing the percentage of non-performing loans to below 5%, YERF aims to become more attractive to external financiers. The Fund’s vision is to reduce reliance on government funding by inviting angel investors, venture capitalists, impact investors, and commercial banks to participate in its future growth.
The Fund is also exploring sector-focused loan products in areas such as renewable energy, IT, and innovative solutions, providing diverse opportunities for young entrepreneurs.
YERF plans to partner with local authorities at the Tinkhundla and Imiphakatsi levels to improve loan collections and support youth beneficiaries. The campaign will also feature mindset change training sessions aimed at equipping young entrepreneurs with the skills and discipline needed for successful financial management.
Contact Information
For further inquiries, contact:
Mr. Sihlangu Jele Marketing and Communication Manager Youth Enterprise Revolving Fund Email: marketing@yef.co.sz Phone: +268 706 4002 / 7906 4002 / 2402 1433
