Youth Skill Development Loans (YSDL) and Good Governance in Bangladesh: A Logit Model Analysis

ABSTRACTThe purpose of this study is to explore the nature and role of the Youth Skill Development Loans (YSDL) in the generation of livelihoods activities for the youth community of Bangladesh under the Women’s Empowerment and Livelihood Development “Nuton Jibon”. The study is significant for a couple of reasons. First, our literature review shows a dearth of research on the youth beneficiaries of the project. Second, there is a ‘youth bulge’ in Bangladesh, a developing economy experiencing the demographic dividend. The default issue in the YSDL is largely ignored. We have, therefore, examined the YSDL utilization status of 105 youths by using the logit model. The results reveal that the size of the loan, due amount of payment and education are significant factors to determine whether the youth would be a loan defaulter or regular payer. In essence, it is vital to enhance the overall capacities and skills of the rural youths.