The Current State of Youth Entrepreneurship in Ghana

Ghana was the first country south of the Sahara to attain political independence in 1957. At the time of the struggle for independence, Ghana’s first Prime Minister and President Dr. Kwame Nkrumah said in a speech that Ghana should “seek ye first the political kingdom, and all things shall be added unto you.” He then introduced an economic system he called “scientific socialism,” which proposed that the state be at the center of economic planning and activities. So Dr. Nkrumah went on to build industries that were charged with taking care of the needs of the people. The government became the beginning and the end of all economic activities.

Yet, rather than building a great industrial society, scientific socialism led Ghana into economic decline. Most people in Ghana, and especially young people, have been made to believe that it is the responsibility of the state to provide for their economic needs. Whenever the issue of unemployment rises, people still refer to the Nkrumah’s era as the “good old days.” However, it was wrong for the state to take charge of economic activities directly. While the state sometimes must intervene to support the weaker sections of the economy, it should not control the bulk of it.

Today in Ghana, most young graduates expect the government to employ them and in the absence of government employment, they cannot do anything for themselves. Entrepreneurship and leadership education is all but non-existent. The best business schools in Ghana still teach archaic and outdated business concepts that have very little to do with the country’s current level of economic development or future prospects. Most lecturers in Ghanaian business schools have never started their own businesses. The old concept of “go to school, get good grades, and you will get a good job” is still the order of the day. Students read only their course materials – nothing more – as they have no incentive to excel.

Although no official statistics exist, very few young people in Ghana can be classified as entrepreneurs. Most are not familiar with modern business, management, or leadership principles. Yet, entrepreneurs and leaders are a special breed of people who by the virtue of their existence make the world go round. If there are none to be found among Ghana’s youth, how can the country progress?


A Personal Perspective
To be young and start your own business in Ghana is one of the most difficult things one can choose to do. The business environment is extremely unfavorable to a young entrepreneur. I know these challenges from first-hand experience. In 2003, just after completing senior high school, I decided to form a community-based non-governmental organization. It was the first time I had started anything on my own. Fortunately, I was introduced to the concepts involved in starting a business in a book by David Schwartz The Magic of Thinking Big. This book helped me build the necessary confidence and courage to take on the world and create something new.

I established AVERT Youth Foundation to serve as a platform for young people in my community to share ideas on how we can make meaningful impact. This organization is still serving its purpose. A significant challenge that I faced in the beginning was funding, which is normal. Compunding that, was the difficulty of recruiting members as it was the first time such an organization was in our community.