Lagos, Nigeria | 3 August 2026 – The United Nations Development Programme (UNDP), in partnership with the Lagos State Ministry of Budget and Economic Planning, Ministry of Wealth Creation and Employment, Lagos State Employment Trust Fund (LSETF), has officially commenced Phase 3 of the Lagos State Employability Support Programme (LSESP), reaffirming its commitment to improving employability, strengthening technical and vocational education, and supporting the growth of Micro, Small, and Medium Enterprises (MSMEs) across Lagos State. Phase 3 targets 2,000 beneficiaries - unemployed and underemployed youth and business owners, equipping them with the practical skills, enterprise capabilities, and market linkages needed to compete in Lagos State's rapidly evolving economy. 

Lagos State is home to an estimated 15 to 22 million people and contributes approximately 30 percent of Nigeria's GDP, yet youth unemployment in the state remains among the highest in the country, with national figures for youth unemployment and underemployment hovering above 40 percent. MSMEs account for roughly 96 percent of businesses and nearly 84 percent of employment in Nigeria, continue to face persistent capacity gaps in skills, technology adoption, and access to markets. LSESP Phase 3 is a direct response to these structural challenges, targeting both the supply side through skills training, and the demand side through employer engagement, internship placement, and enterprise development. 

Building on the success of the first two phases, which trained over 8,000 young people and achieved an 80 percent placement rate into employment, internships, and entrepreneurship pathways. LSESP Phase 3 introduces an enhanced, industry-driven approach to skills development. The programme has been designed through extensive consultations with employers, vocational training providers, industry associations, and entrepreneurs to ensure that training responds directly to the evolving needs of the labour market. 

Training commenced on 3 August 2026 with the first cohorts in Compressed Natural Gas (CNG) and Renewable Energy, and Digital Skills, with Leather Works and MSME Enablement cohorts to follow. Across these four strands, the programme will train youth aged 18 to 45 and business owners in practical, competency-based skills delivered by accredited training centres, complemented by entrepreneurship support, mentorship, internship placements and structured business-to-market connections. 

"Lagos State Employability Support Programme Phase 3 reflects the Lagos State Government's commitment to building a skilled workforce and thriving MSMEs by equipping youth and businesses with future-ready skills that will drive inclusive economic growth and create opportunities for thousands of Lagosian. We look forward to seeing this investment translate into measurable outcomes for thousands of Lagos Residents." - Hon. Ope George, Commissioner for the Ministry of Economic Budget and Planning, Lagos State.

A defining feature of Phase 3 is its emphasis on industry-led curriculum design and robust market linkages. The curriculum for each sector strand has been co-designed with employers and sector associations through a series of stakeholder roundtables and Focus Group Discussions, ensuring that training content reflects actual hiring requirements and skills gaps identified by the market. 

“Lagos State Employability Support Programme Phase 3 is about building a pipeline of capable, market-ready young people and resilient businesses that Lagos State's economy can draw on for decades to come. By grounding this programme in real industry demand, extending internship placements, and strengthening connections between trained graduates and employers, we are ensuring that every Elsi investment in this programme translates into tangible employment and enterprise outcomes. UNDP is proud to stand with the Lagos state ministries of Budget and planning, ministry of wealth creation and the Lagos State Government in this commitment to inclusive and sustainable economic growth” – Ms. Elsie G. Attafuah, Resident Representative, UNDP Nigeria.

For the first time under LSESP, Phase 3 introduces a dedicated skilling track for business owners alongside youth beneficiaries. Stakeholder consultations confirmed that strengthening MSMEs requires not only training new entrants to the workforce, but also equipping existing business owners with the management, financial literacy, digital, and market access skills needed to grow their enterprises and sustain jobs. This dual approach positions LSESP Phase 3 as both a workforce development and an enterprise strengthening intervention, directly contributing to Lagos State's goal of becoming Africa's premier business destination. 

"Our commitment to Lagos youth goes beyond training. We are creating the enabling environment for them to produce, to build, and to export. The Lagos Leather Hub is world-class infrastructure, available to every Lagosian who wants to make shoes, bags, belts and leather goods that meet global standards and compete in international markets. We are not building skills alone; we are building an industry and building it for Lagosian." - Hon. Akinyemi Bankole Ajigbotafe, Commissioner, Ministry of Wealth Creation and Employment, Lagos State.

Beyond individual training outcomes, LSESP Phase 3 is designed to strengthen the broader skills ecosystem in Lagos State. The programme promotes closer partnerships between government, the private sector, vocational training centres, financial institutions, and industry experts, and introduces a structured governance framework to ensure accountability, quality assurance, and shared ownership of outcomes. 

As Nigeria advances its transition towards a more diversified, digital, and green economy, LSESP Phase 3 represents a significant investment in human capital development. The programme's focus on renewable energy, CNG, and digital skills directly supports Nigeria's commitments under its Energy Transition Plan and National Digital Economy Policy, while the creative sector strand contributes to the broader development of Lagos State's cultural and fashion industries as drivers of inclusive growth. With 2,000 beneficiaries targeted under Phase 3, the programme is expected to generate a broader economic multiplier effect through employment creation, enterprise growth, and increased productivity across participating sectors. 

About the Lagos State Employability Support Programme (LSESP) 

Lagos State Employability Support Programme is a multi-phase skills development and enterprise support programme implemented by UNDP Nigeria in partnership with the Lagos State Employment Trust Fund (LSETF) and the Lagos State Government. Since its inception, LSESP has trained over 8,000 young people, achieved an 80 percent job placement rate, and supported 1,200 MSMEs. Phase 3 targets 2,000 beneficiaries across four sector strands: Digital Skills, CNG and Renewable Energy, Leather Works and Bag Making, and MSME Enablement. 

About UNDP Nigeria

The United Nations Development Programme (UNDP) is the United Nations’ lead agency on international development, working in 170 countries and territories to eradicate poverty, reduce inequalities, and build resilience so countries can sustain progress. Guided by the Sustainable Development Goals (SDGs) and the promise to leave no one behind, UNDP partners with governments, civil society, and the private sector to help nations build integrated, people-centered, and future-ready solutions to today’s complex development challenges.

In Nigeria, UNDP is driving a new era of development through its Integrated Smart States Programme (ISSP), a bold, system-wide approach that delivers high-impact solutions across Nigeria’s diverse regions. At its core are five flagship portfolios focused on innovation, digital transformation, and the knowledge economy; trade, investment and financing for development; integrated, clean and decentralized energy systems; accelerated community development; and the Made in Nigeria initiative. Together, they enable inclusive, locally led growth, while deepening institutional capacity and unlocking scalable, future-ready development pathways. Learn more: https://www.undp.org/nigeria

For media inquiries, please contact: 

Christabel Chanda-Ginsberg 

Public Engagement, Outreach and Partnerships Lead 

christabel.chanda-ginsberg@undp.org 

For Programme Enquiries, contact: 

Catherine Ibrahim 

Programme Specialist, Youth Skills and Economic Empowerment 

Catherine-onyejeche.ibrahim@undp.org