First Bank Nigeria bemoans unemployment rise

First Bank Nigeria bemoans unemployment rise
First Bank Nigeria bemoans unemployment rise

ADVERSE conditions small and medium enterprises (SMEs) operate under have been blamed for rising unemployment in Nigeria.
First Bank Nigeria (FBN) Capital made the observation after the latest unemployment and underemployment watch from the National Bureau of
Statistics (NBS) revealed the unemployment rate accelerated to 13,9 percent from 13,3 percent over the last three months.
The unemployment rate increased to 15 percent in quarter three from 14,5 percent recorded in the second quarter.
Additionally, the underemployment rate for the same category rose to 20,8 percent in the third quarter from 20,5 percent over the same period.
FBN Capital attributed this to Nigeria’s business climate being generally unfavorable, particularly for start-up firms including SMEs.
“Several bottlenecks obstruct business growth and expansion, which discourages graduates from venturing down the entrepreneurship route.”
The financial house however noted to assist reduce the unemployment rate, policymakers had flagged entrepreneurship as a solution.
“There are many gaps to be filled within Nigeria’s economy, opportunities for skilled graduates to develop their own small businesses,” FBN Capital
Government has set out to create three direct job creation and training schemes under its programme of social welfare intervention.
The N-Power Teacher Corps initiative aims to engage 500 000 unemployed graduates for two years.
The targeted number amounts to 5 percent of the working population.
However, there are concerns surrounding the next phase for the successful applicants once the stipulated time frame of two years elapses.

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