Youth Entrepreneurship in UAE; An excrept

UAE despite being ranked 8^th highest per capita incomes and high standard living, has an unemployment ratio of 14 %. About 80 % jobs go to foreign professionals. With the criticality of the matter, entrepreneurship been added to diversification well to tap into hidden potential, by consulting literature and demographics to identify potential initiatives. The initiatives were rooted for by stakeholders, entrepreneurs, and youth consultants.

The idea was planted in the age group 15-34 years, making up about 42 % of UAE population, because the age group has 18% unemployment rate, with a concentration of 62% women. There is a hefty concentration of 25% students which is severely in needs of opportunities. The Global Entrepreneurship Monitor reflect that self-employment (Total Early Stage Entrepreneurial Activity or TEA) is about 1%, out of total 3% unemployment concentration in UAE, as compared to 35% in Lebanon and 30% in Korea.

What’s most challenging in bringing youth to the initiative, is probably the allures of high salary, secure job and additional benefits promised by public sector.  UAE doesn’t have a supporting culture towards the startups, primarily because of obsessive compulsive fear of failure.  As per “Entrepreneurship – An Emirati Perspective” four out of five Emirati entrepreneurs were employed when they started a new venture. 

The government recognize the importance of venture startups and has thus contributed towards developing a safe eco-system for young entrepreneurs. The International Labor Organization’s Framework has set goals for three stage map to develop favorable ecosystem. On a macro-level, the policy and programs are set to be governed on easy terms, while taking bankruptcy off the table. The micro-level support contributes towards the education, exposure, and role model development for motivational purposes. And meso-level support builds up network associations, mentors the professional, provide funds and incubator support.

UAE has started to develop a comradery, yet competitive infrastructure comparative to Malaysia, Korea and Lebanon, who so happens to have a higher rate of self-employment.  It has been highly recommended to promote entrepreneurship on all levels of education and learning activities, and develop a tolerating environment for startups both in economical and emotional capacities.