Determinants of livelihood diversification among Youth Development Fund beneficiaries in Chalinze District and Dar es Salaam City Councils, Tanzania

Abstract

Livelihood diversification is the strategy to reduce vulnerabilities by engaging in multiple income generating activities. This study analyses the determinants of diversification of livelihood activities undertaken by Youth Development Fund beneficiaries in Chalinze District and Dar es Salaam City Councils. The cross-sectional research design was used with a sample size of 200 beneficiaries. Focus Group Discussions and Key informant interviews were used to collect the qualitative data while the semi-structured questionnaires were used to collect the quantitative data. Descriptive statistics, and binary logistic regression were used to analyse the quantitative data while content analysis was used to analyse the qualitative data. Findings showed that, business experience, marital status and entrepreneurship skills are the key and significant determinants of livelihood diversification where male beneficiaries diversified their livelihood than female. Motorcycle riding business was the highest diversified activity undertaken by 30% of respondents. The findings suggest that, beneficiaries their livelihoods had prior experience and entrepreneurship skills. The study recommends that the government should provide mentorship and coaching to youth and equip them with entrepreneurship skills in order to diversify income sources The government should also create or revitalise youth-friendly policies in order to create supportive environment for livelihood diversification.