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The Home Affairs Bureau (HAB) launched the Youth Development Fund (YDF) today (July 6) to assist young people in starting their own business as well as to support innovative youth development projects which are not covered by existing schemes by providing financial support in the form of matching funds for non-governmental organisations (NGOs).
The Chief Executive announced in the Policy Address 2015 that the Government would set up a $300 million Youth Development Fund. The HAB has outlined the Fund's operational arrangements after consultation with the Commission on Youth (CoY).
The YDF will offer NGOs a matching grant with conditions to implement their youth entrepreneurship projects. The ratio of the matching funding is capped at 2:1. The maximum amount of matching funding for each successful NGO is $3 million each year, while the YDF funding for each qualified young entrepreneurship applicant is capped at $300,000.
Applicants must be NGOs established or registered under the laws of Hong Kong. Statutory bodies, non-profit-making companies, organisations established under the Societies Ordinance, charitable institutions and other public bodies may apply for the Fund. In addition to funding for starting up businesses, these organisations shall provide mentorship programmes with relevant guidance and support to assist young entrepreneurs in grasping information on business development and building up their business networks.
A spokesman for the HAB said, "Each entrepreneurship project implemented by an NGO may provide young people aged between 18 and 35 with financial assistance for a maximum of three years. Regardless of whether the young people are first-time business starters or not, they can approach the NGOs receiving YDF grants for support.
"Young entrepreneurs will be required to apply for business registration for their business establishments in Hong Kong, but the Fund will not restrict their scope of operation within Hong Kong. This is to encourage young people to expand their global outlook and explore opportunities outside Hong Kong."
Other than young entrepreneurship projects, the YDF will also provide funding to NGOs for organising other innovative youth development activities which are not covered by existing schemes with an aim to facilitate the multifaceted development of youths. The activities will not be confined to those relating to youth entrepreneurship. Similarly, the Fund will offer NGOs a matching grant with conditions and the matching ratio is also capped at 2:1, with a maximum subsidy of $1 million for each project.
The spokesman added, "A working group set up under the CoY will vet applications and handle related matters. We believe that the Fund will help inspire and nurture entrepreneurship among young people and enable them to acquire knowledge in different aspects as well as accumulate valuable experience in the course of starting up their businesses. We also hope to encourage creativity through innovative youth development projects and thus to benefit young people participating in those activities."
The deadline for the first round (2016-17) of applications for the Youth Development Fund is 5pm, September 20. For more details of the Fund, interested parties can visit the CoY webpage (www.coy.gov.hk) or call 3509 7018 for enquiries.
Ends/Wednesday, July 6, 2016
Issued at HKT 17:40
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