Determinants of Ethiopian Youth Revolving Fund Program Effectiveness, in Dire Dawa Administration

Youth Revolving Fund Program is one of the Socio-Economic policies that designed to address youth unemployment in Ethiopian. The purpose of the study was to examine the determinants of Ethiopian Youth Revolving Fund Program Effectiveness; particularly in Dire Dawa Administration. The study employed a descriptive and explanatory research design. This study was employed both primary and secondary sources of data collection. The population of the study includes only the city MSEs who engaged in Youth Revolving Fund Program of the Administration. A total 139 questionnaires were distributed to the Administration YRF based MSEs and 128 (92%) of the questionnaire were filled and returned by the respondents. In this study, both descriptive and inferential statistics data analysis was applied and data was analyzed with the help of Statistical Package for Social Sciences (SPSS) Software version 20. Descriptive statistics such as percentages, frequency distribution, means and standard deviation and inferential statistics such as Multiple Linear Regression model analysis was used to examine the determinants factors that affect YRFP Effectiveness by the predictor variables. The overall mean response of study respondent towards the current practices of YRFP implementation shows totally ineffectiveness. The result of regression analysis shows that independent variables such as the implementation modality factor, administrative related factors, marketing factors and youth business leaders and members related factors significantly affects the YRFP Effectiveness of the Administration. Based on the findings of the study, the researcher recommended as the Administration provides funds based on business plan requirements and the required additional arrangements like Land and Shade (work place) on time. Although, the Administration required providing, a sufficient and relevant training for youths who engaged in YRFP depending on their need and business types.