GCA Announces Support for Ethiopia’s Agri-MSMEs Development for Jobs Program
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otterdam, the Netherlands, 20 June 2024 – The Global Center on Adaptation (GCA) announced today its involvement in the Agri-MSMEs Development for Jobs (AMD4J) Program in Ethiopia. This initiative, backed by the African Development Bank Group’s concessional financing window, with a grant of $42.86 million, aims to improve financial inclusion and strengthen institutional frameworks for entrepreneurship and employment, thus contributing to the country’s GDP. The program is designed to support the creation of 8,000 MSMEs and provide access to financial and non-financial services, ultimately promoting sustainable economic growth and resilience. AfDB’s financing is bolstered by a $10 million contribution from the Development Bank of Ethiopia and $6.24 million from the Ethiopian Government.
Professor Patrick V. Verkooijen, CEO of the Global Center on Adaptation, commented on GCA’s involvement in the initiative through the Africa Adaptation Acceleration Program, stating, “Our participation in the AMD4J Program underscores our commitment to fostering resilience and adaptation in the face of climate change. By equipping young and women entrepreneurs with the tools and knowledge they need, we are paving the way for sustainable development and job creation in Ethiopia’s vital agricultural sector.”
GCA is supporting the AMD4J Program through the mainstreaming of adaptation jobs for youth in the agricultural sector, working to ensure these jobs are created across the value chain. Through the Africa Adaptation Acceleration Program (AAAP) GCA Jobs & Entrepreneurship pillar a comprehensive national labor market assessment on the agriculture value chain will evaluate and identify opportunities for job creation in climate adaptation. This assessment will guide the development of a GCA pre-incubator toolkit tailored to strengthen the entrepreneurship ecosystem, focusing on youth-led green and adaptation startups within the agricultural value chain.
Key outputs of GCA’s intervention include:
- National Labor Market Assessment: Conducting a detailed assessment to identify adaptation-focused businesses and propose recommendations for enterprise strengthening and job creation in climate adaptation.
- Pre-Incubator Toolkit: Developing a toolkit to build the capacity of identified enterprises, offering customized training services in adaptation solutions.
- Capacity Building: Providing technical training, advisory support, and market linkages to targeted MSMEs in the agribusiness sector, enhancing their resilience to climate impacts.
Of the 22,046 jobs to be created on the AMD4J project, at least 30% are expected to be adaptation jobs a result of GCA’s intervention. These efforts align with the Ethiopian government’s 2021-2030 job creation plan, which aims to generate 10.5 million rural jobs through MSME development.
The AMD4J Program’s broader objectives are to improve financial inclusion and strengthen institutional frameworks for entrepreneurship, contributing to Ethiopia’s national GDP and employment. By integrating GCA’s adaptation and resilience-building initiatives, the program will support Ethiopia’s agricultural sector in navigating the challenges posed by climate change.
Notes to Editors
About the Global Center on Adaptation
The Global Center on Adaptation (GCA) is an international organization that promotes adaptation to the impacts of climate change. It works to climate-proof development by instigating policy reforms and influencing investments made by international financial institutions and the private sector. The goal is to bring climate adaptation to the forefront of the global fight against climate change and ensure that it remains prominent. Founded in 2018, GCA embodies innovation in its approach to climate adaptation as well as in its physical presence. It operates from the largest floating office in the world, in Rotterdam, the Netherlands. GCA has a worldwide network of regional offices in Abidjan, Côte d’Ivoire; Dhaka, Bangladesh; and Beijing, China. The Center will open a new office in Nairobi, Kenya in 2025.
