From Limited Capital to Thriving Enterprises: How Paaro Group is Transforming Livelihoods in South Sudan

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Paaro Group members

Paaro Group members showcase their growing livestock enterprise in Wau South. Access to interest-free financing through support from the African Development Bank (AfDB) and UN Women has enabled the group to expand its businesses, create new income support from the African Development Bank (AfDB) and UN Women has enabled the group to expand its businesses, create new income opportunities, and strengthen economic resilience for young women and men. Photo: UN Women/Sarah Chaat.
In 2022, a group of 30 determined young people, comprising 15 women and 15 men, came together with a shared vision of improving their livelihoods and creating economic opportunities in their community. They formed Paaro Group, a youth-led initiative driven by the belief that collective action could help them overcome economic challenges and build a better future.

However, their journey was not without obstacles.

The group struggled with limited access to capital, which restricted their ability to expand their business activities. With only small amounts of money available, members invested in various small-scale ventures, including farming and buying and selling oxen. Despite their determination and hard work, the lack of sufficient financing made it difficult to grow their businesses sustainably. Registering the group as a formal business entity was also a major challenge, limiting their access to larger market opportunities and financial services.

Everything changed when the African Development Bank (AfDB), through a project implemented by UN Women, provided interest-free loan of SSP 24 million 
to strengthen the group's economic activities in Wau, Western Bar -el Ghazal.

With the support received, Paaro Group was able to expand and diversify its businesses significantly. Today, the group operates agricultural enterprises, livestock trading businesses, retail shops, and a restaurant, creating multiple streams of income for its members. The support not only strengthened the collective enterprise but also empowered individual members to establish and manage their own businesses alongside the group's activities.

The group's livestock business has become particularly successful. Members now engage in the buying and selling of Grade One oxen, which are highly valued for agricultural purposes, especially ploughing. This has opened up new income-generating opportunities while supporting local farming activities.

The impact of the investment is already evident. Through income generated from their various businesses, the group has begun meeting its financial obligations and has repaid SSP 1 million of the loan, demonstrating commitment, financial discipline, and the viability of youth-led enterprises when provided with the right support.

Beyond financial growth, the project has fostered self-reliance and entrepreneurship among young women and men. Members who once struggled to make ends meet are now business owners, employers, and contributors to their local economy.

"The project has successfully improved our lives because we now own businesses and are self-employed. The support enabled us to expand our investments and create sustainable sources of income for ourselves and our families," said Barnado Gabriel, a member of Paaro Group.

He added: "We have been able to invest in buying and selling Grade One oxen, which are commonly used for ploughing. This business has become a reliable source of income for our group and individual members."

Today, Paaro Group stands as a testament to the transformative power of investing in youth entrepreneurship. Through the support of the African Development Bank and UN Women, young women and men are not only building thriving businesses but also creating jobs, strengthening local markets, and contributing to the economic resilience of their communities.

Their journey demonstrates how targeted investments in youth-led enterprises can unlock opportunities, promote self-employment, and drive inclusive economic growth, ensuring that young people become active agents of change and development in South Sudan.