Research Article
Exploring Challenges, Opportunities, and Policy Implications for Youth Entrepreneurship in Kellem Wollega, Ethiopia
Hassen Mohammed*,
Mahlet Kebede
Issue:
Volume 15, Issue 2, June 2026
Pages:
16-28
Received:
28 July 2025
Accepted:
14 January 2026
Published:
12 June 2026
DOI:
10.11648/j.jim.20261502.11
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Abstract: Youth entrepreneurship is widely recognized as a key driver of employment creation, poverty reduction, and sustainable economic growth. However, young people in developing countries, including Ethiopia, continue to face substantial barriers to establishing and sustaining business ventures. This study assesses the major challenges and opportunities of youth entrepreneurship in Kellem Wollega Zone, Oromia Regional State, Ethiopia, with particular emphasis on institutional, economic, social, and technological factors. A mixed-methods research approach with an explanatory sequential design was employed. Quantitative data were collected from 399 youth respondents using structured questionnaires, while qualitative data were gathered through semi-structured interviews and focus group discussions. Descriptive statistics and multiple regression analysis were used to analyse quantitative data, and thematic analysis was applied to qualitative responses. The findings reveal that lack of access to finance, poor infrastructure, limited social support, and inadequate entrepreneurial opportunities exert significant negative effects on youth entrepreneurship. Conversely, motivation, access to business assistance services, and technology adoption show positive and statistically significant influences on youth entrepreneurial engagement. The regression model explains 45.8% of the variation in youth entrepreneurship, indicating that both challenges and opportunities jointly play an important role in shaping entrepreneurial outcomes. Although government support, training, and policy frameworks exist, their effects were found to be statistically insignificant, suggesting weaknesses in implementation and coordination. The study concludes that strengthening youth entrepreneurship in Kellem Wollega Zone requires an integrated policy approach that expands access to affordable finance, improves infrastructure, enhances business development services, promotes technology utilization, and fosters supportive social and institutional environments. These findings provide valuable evidence for policymakers, development partners, and educational institutions seeking to design targeted interventions that promote youth-led enterprise development and inclusive economic growth in Ethiopia.
Abstract: Youth entrepreneurship is widely recognized as a key driver of employment creation, poverty reduction, and sustainable economic growth. However, young people in developing countries, including Ethiopia, continue to face substantial barriers to establishing and sustaining business ventures. This study assesses the major challenges and opportunities ...
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