Poverty and Youth: Does Non-Agricultural Employment Play a Role in Reducing Poverty Among Young Women?

Abstract

Youth unemployment and poverty remain critical development challenges in Nigeria, where rural young women face limited livelihood opportunities and economic vulnerability. Using cross-sectional survey data from rural Nigeria and an endogenous treatment effect regression model to address potential self-selection bias, the study examines the impact of non-agricultural employment participation on poverty reduction among young women. The results show that engagement in non-farm employment significantly reduces poverty across all poverty index dimensions, demonstrating that non-agricultural employment is an effective pathway not only for escaping poverty but also for improving welfare among those who remain poor. The findings underscore the need for gender-sensitive policies that expand non-agricultural opportunities in trade, services, and digital platforms and invest in rural infrastructure to enable women’s economic participation. By integrating such interventions into broader rural development strategies, policymakers can promote inclusive economic empowerment, advance gender equality, and accelerate progress toward the Sustainable Development Goals, offering a scalable model for rural poverty alleviation in sub-Saharan Africa.