Y20 White Paper

Youth Employment
in the G20
Y20 Summit 2022 White Paper
Social safety nets for informal and non-standard forms of employment

Youth social entrepreneurship
Supported by
2 Y20 2022 White Paper | Youth Employment
Acknowledgements
This white paper was produced by Indonesian Youth Diplomacy, the official chair of the 2022 Y20 Summit, with the support of the G20
Sherpa Office at the Coordinating Ministry for Economic Affairs; the Ministry of Foreign Affairs; the Ministry of Youth and Sports; and the
Ministry of Manpower of the Republic of Indonesia. The paper was drafted by Joanna Octavia (Lead Researcher), Pasha Muhammad
(External Researcher - Organisation of Islamic Cooperation Youth Indonesia) and Muhammad Maulana (Research Staff), with the support of
Tommy Aditya (Head of Research), Thomas Noto Suoneto (Research Staff), and Gracia Paramitha (Chair of Y20 2022) in preparation for the
Y20 2022 Presidency. The research team has aligned the Youth Employment priority areas with those of the G20 Working Group on
Employment and G20 Engagement Groups in Indonesia with a view to looking for ways in which the Y20 Summit may meaningfully engage
in the current discourse on social safety nets that generate informal and non-standard forms of employment and youth social
entrepreneurship.
We would like to especially acknowledge the insightful contributions by Alissa Orlando (IndyHub & The Drivers Cooperative), Andry Satrio
Nugroho (INDEF), Astrid Kusumawardhani, Michael Reza Say and Josefhine Chitra (Gojek & GoTo), Atika Benedikta (ANGIN), Chloe
Halpenny (Basic Income Canada Youth Network), Christina Behrendt (International Labor Organization), Funda Ustek-Spilda (Fairwork
Foundation), Jonathan Davy, Andreas Pandu Wirawan and Julio Anthony Leonard (Ecoxyztem), Lady Diandra (UNDP), Lody Andrian
(Bagirata), Nabiyla Risfa Izzati (Universitas Gadjah Mada), Peter Ptashko FRSA (Cambio), Rachel Davis (Warwick Enterprise), Rajesh
Varghese (Ashoka), Salonie Muralidhara Hiriyur (SEWA), Stephanie Arifin and Muammarafi Thufail (PLUS), Veronica Colondam (Yayasan
Cinta Anak Bangsa), and William Hendradjaja (Social Innovation Acceleration Program).
We thank Cint, the network for digital survey-based research, for conducting in October and November 2021 a mobile survey of 5700
young people aged 16-30 years old from nineteen G20 countries (Argentina, Australia, Brazil, Canada, China, France, Germany, India,
Indonesia, Italy, Japan, Republic of Korea, Mexico, Russia, Saudi Arabia, South Africa, Turkey, the United Kingdom, the United States) on
their concerns regarding their employment prospects. The survey respondents were evenly split between males and females, and between
urban (Tier 1 and Tier 2 cities) and rural (Tier 3 cities and beyond). The mobile survey required respondents to have access to a mobile
device and the internet and managed to gather 300 respondents from each country. We are grateful to all those who participated in the
survey, which we will be referring to in this paper as “our survey.” We also thank all of the young people who participated in the online focus
group discussions, including Mitra Muda UNICEF, young workers in informal and non-standard forms of employment, and youth social
entrepreneurs, whose insights formed the backbone of this study.
We particularly thank youth social entrepreneurs Andi Malikus Shalih (Pajokka Balocci), Bunga Nurlita (Le Beaute Scarves), Dimas Apriyandi
(Papon.id), Gracia Billy Mambrasar and Yolanda Fabiola (Kitong Bisa Group), Jonathan Karl (Icycle), Mustopa Patapa (Kulaku), Nofi Bayu
Darmawan (Komerce), Robert Suek (Adek O UMKM), Stephanie Seputra (MyEduSolve), Tamara Dewi Gondo Soerijo (Liberty Society),
Thomas Amarta Gunawisesa and Wilbert Andersen (Algo.Core), William Hendradjaja (Skilvul & Impact Byte) and Yuki Tokunaga (Hakuraku).
We would also like to thank the Organization for Islamic Cooperation Youth Indonesia (OIC Youth Indonesia) and UNDP Youth Co:Lab for
their help and invaluable support throughout the research process. We greatly value your contribution.
Finally, we would like to gratefully acknowledge and thank Kazutoshi Chatani, Christina Behrendt, Felix Weidenkaff, Ippei Tsuruga and other
colleagues from the International Labor Organization for their review and comments, which helped to improve this paper.
The views expressed in this paper are the sole responsibility of the authors. Any omissions, inaccuracies, or errors are our own. No
endorsement is implied for any commercial entity or product mentioned in this publication.
Y20 2022 White Paper | Youth Employment 3
Contents
Acknowledgements 02
Executive Summary 04
Glossary 05
A. INTRODUCTION 07
B. CHALLENGES AND OPPORTUNITIES 11
I. Challenges 11
Can existing social protection be strengthened for young workers 11

in informal and non-standard forms of employment?
Lack of access to public social protection programs 12

Barriers to nancing 13
Limited awareness about social safety nets 14
Are the youth empowered to pursue alternative employment options? 16
Nascent regulatory support 17
Obstacles to funding 18
Human resource challenges 19
Socio-cultural barriers 20
Uneven development and opportunity gap 20
II. Opportunities 22
Towards an inclusive social protection for young people 22

Stakeholder involvement in social safety net provision 22
The role of digital technology 24
Tailored income support for the youth 24
Strong government leadership 25
Building a more inclusive youth social entrepreneurship ecosystem 27

Internet-based nancing alternatives 27
Educational support programs 28
Government support and recognition 29
Interlinking key players in the youth social entrepreneurship ecosystem 31

C. WAY FORWARD 33
REFERENCES 34
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Executive Summary
The impact of the COVID-19 pandemic has devastated young workers across the G20. Young people, already
suffering from unemployment and underemployment before the pandemic, bear the brunt of falling labor demand.
Not only has the pandemic scuttled employment opportunities and pushed young workers into lower quality jobs,
it has also created new challenges for those seeking to enter the labor market for the first time. Young people’s
transition from schooling to the world of work is fraught with many difficulties and marked by low-paying, low-
status and unstable work. The insecurity of their income situation and working conditions leaves them on a
precarious financial footing and abets uncertainty over their employment prospects.
The first subtheme, social safety nets for informal and non-standard forms of employment, asks whether existing
social protection could be strengthened for these groups of workers. Challenges faced by young workers in these
forms of employment, such as gaps in legal coverage and the lack of access to public social protection programs,
highlight significant gaps in social protection. Meanwhile, problems such as financing barriers and their limited
awareness of social protection and other safety net initiatives often exclude this segment of the workforce from
the available programs. Addressing these challenges offers an opportunity for young people to work with
stakeholders to design their own solutions, bypass traditional barriers to registration and delivery, invest in
themselves and their future, and gain access to government programs. Altogether, these opportunities will protect
young workers from risks of unstable employment and deepening inequalities.
The second subtheme, youth social entrepreneurship, looks at whether the youth are empowered to pursue
alternative employment options. It focuses especially on youth social entrepreneurship as a viable pathway to
employment for young people and an opportunity to address pressing community needs. However, nascent
regulatory support, obstacles to funding, human resource challenges, socio-cultural barriers, and uneven
development and opportunity gaps present challenges that prevent young people from becoming successful
social entrepreneurs. If these obstacles are removed, young people will have the opportunity to meet their
financing needs, obtain the needed organizational support for their work, validate their role in the government
agenda, and engage with a vibrant and dynamic social entrepreneurship ecosystem at all stages of their business
- all the while contributing to job creation and addressing societal challenges.
Glossary
• Digital labor platforms: Digital networks that • Non-standard forms of employment: Diverse
coordinate labor transactions with the help of forms of work outside of a full-time employment
algorithms. They include web-based platforms, under an indefinite employment contract. They
where tasks are performed remotely and include temporary employment, part-time and non-
outsourced to a crowd or to individuals, and call work, temporary agency work, multi-party
location-based platforms, where local, service- employment relationships, as well as disguised
oriented tasks are performed at a specific location employment and dependent self-employment.6
by individuals in a specific geographical area.1
• Social assistance: Non-contributory income
• Early-stage social enterprises: Social enterprises support for vulnerable groups.7
that are still generating and evaluating their
business models in order to sustain themselves and • Social enterprise: A revenue-generating enterprise
achieve their social mission.2, 3 that focuses not just on profits, but also on its social
mission, and is economically sustainable without
• Economic shock: An unexpected or unpredictable relying on donations.8
event that affects the economy.4
• Informal employment: Remunerative work that is

not registered, regulated or protected by existing
legal or regulatory frameworks, and non-
remunerative work undertaken in income-producing
enterprises.5
1 ILO. (2021), Digital labor platforms. https://www.ilo.org/global/topics/non-standard-employment/crowd-work/lang--en/index.htm

2 Perrini, F., Vurro, C., & Costanzo, L. A. (2010). A process-based view of social entrepreneurship: From opportunity identification to scaling-up social change in the case of San Patrignano. Entrepreneurship
and regional development, 22(6), 515-534.
3 Tanabe, Y. (2012). Five stages of social entrepreneurship. Presentation at 10th International Conference of the International Society for Third-Sector Research (ISTR)
4 ILO. (2020). ILO Monitor 1st Edition: COVID-19 and the world of work: Impact and policy responses. https://www.ilo.org/wcmsp5/groups/public/---dgreports/---dcomm/documents/briefingnote/
wcms_738753.pdf
5 ILO. (2021), 4.5 Informal economy workers. https://www.ilo.org/global/topics/wages/minimum-wages/beneficiaries/WCMS_436492/lang--en/index.htm
6 ILO. (2021), Non-standard forms of employment. https://www.ilo.org/global/topics/non-standard-employment/lang--en/index.htm
7 ILO. (2021). World Social Protection Report 2020-22: Social protection at the crossroads - in pursuit of a better future. https://www.ilo.org/global/research/global-reports/world-social-security-report/
2020-22/lang--en/index.htm
8 Definition derived from Dees, J. G. (1998). The meaning of social entrepreneurship & ILO (2017), Promoting Social Entrepreneurship and Social Capital, https://www.ilo.org/wcmsp5/groups/public/---
africa/---ro-abidjan/---sro-cairo/documents/publication/wcms_589097.pdf
Glossary
• Social entrepreneurship ecosystem: Sets of • Social safety nets: Broadly defined mechanisms
actors, institutions, social networks, and cultural that cushion economic shocks and prevent people
values that produce and sustain social from falling into poverty and poverty traps when
enterpreneurship activity.9 they are prevented from working or lose the
capacity to work. Encompassing both formal and
• Social insurance: Contributory social protection informal forms of social protection, social safety
tied to a person's employment that minimizes risks nets may take the form of cash support and non-
through risk-pooling based on the principle of cash support, and provided by the government,
solidarity, with contributions typically proportional to private sector, workers’ organizations, civil society,
people’s earnings. Social insurance provides friends and family, or others.12
support to people by compensating or partially
replacing their income in the event of illness, loss of
job or loss of capacity to work, thus reducing
pressure on the social assistance system.10
• Social protection: The set of policies and

programs designed to reduce and prevent poverty
and vulnerability across the life cycle. Social
protection includes nine main areas: child and
family benefits, maternity protection,
unemployment benefits, employment injury
benefits, sickness benefits, health protection, old-
age benefits, disability benefits and survivors’
benefits. Social protection systems address these
policy areas with a mix of contributory schemes
(mainly social insurance) and non-contributory tax-
financed schemes (universal/categorical schemes
and social assistance).11
9 Roundy, P. T., Bradshaw, M. & Brockman, B. K. (2018). The emergence of entrepreneurial ecosystems: a complex adaptive systems approach. Journal of Business Research, vol. 86, pp. 1-10. Available at
https://www.academia.edu/37001232/The_Emergence_of_Entrepreneurial_Ecosystems_A_Complex_Adaptive_Systems_Approach
10 ILO. (2021). World Social Protection Report 2020-22: Social protection at the crossroads - in pursuit of a better future. https://www.ilo.org/global/research/global-reports/world-social-security-report/2020-22/
lang--en/index.htm
11 ILO. (2021). World Social Protection Report 2020-22: Social protection at the crossroads - in pursuit of a better future. https://www.ilo.org/global/research/global-reports/world-social-security-report/2020-22/
lang--en/index.htm
A. Introduction
Young people’s declining engagement in the labor market re ects the persistent challenges of youth
employment across the G20. In 2019 before the global COVID-19 pandemic, global youth unemployment
stood at 13.6 percent, while one out of ve young people, most of them women, were not in education,
employment or training (NEET).13 Young people are approximately three times more likely than adults to be
unemployed, with large youth populations and labor market rigidity making this relative disadvantage more
prevalent in developing countries.14 These shifting labor market conditions are caused in part by wider
changes in demography, technology, labor market regulation, and global economic conditions. The
COVID-19 crisis further severely a ected the youth labor market around the world, leading to a sharp rise in
youth unemployment and the NEET rate.15
The scarring effect of youth unemployment and employment in unstable, poor-quality jobs can have a
long-lasting impact on young people’s employment prospects for life. Finding work that is better than
informal and non-standard forms of employment can be challenging for this demographic. As many young
people from poorer backgrounds never complete secondary school, they face a myriad of challenges when they
seek to join the workforce. The types of jobs that are available to young people with low levels of education and
skills are often low-paying, insecure jobs with little to no prospect of advancement. Over the longer term, these
conditions perpetuate a downward spiral of low skills and low wages, as young workers move in and out of low-
paying jobs but never escaping insecurity and poverty.16
Young people are disproportionately overrepresented in the informal sector and in non-standard
arrangements. An estimated 96.8 percent of all young workers in developing countries, where jobs in the formal
sector are often scarce, are working in the informal economy.17, 18 Many of these young people, in particular
women, are engaged in own-account work or in informal unpaid work for their families, both of which lead to
income instability and lack of access to social protection.19 Meanwhile, in recent years, non-standard forms of
employment have become more widespread across sectors and occupations in G20 countries, primarily due to
gaps in the law that have allowed the development and growth of such arrangements. Those working in non-
standard forms of employment also tend to be more frequently found in informal employment.20 Such
arrangements have become especially prevalent among young people, reflecting the challenges they face in
trying to find and keep a job.21, 22
13 ILO (2020). Global Employment Trends for Youth 2020: Technology and the future of jobs. https://www.ilo.org/wcmsp5/groups/public/---dgreports/---dcomm/---publ/documents/publication/
wcms_737648.pdf
14 ILO (2020). Global Employment Trends for Youth 2020: Technology and the future of jobs. https://www.ilo.org/wcmsp5/groups/public/---dgreports/---dcomm/---publ/documents/publication/
wcms_737648.pdf
15 ILO (2020). An update on the youth labor market impact on the COVID-19 crisis. https://www.ilo.org/emppolicy/pubs/WCMS_795479/lang--en/index.htm
16 ILO (2018). Women and men in the informal economy: a statistical picture. https://www.ilo.org/wcmsp5/groups/public/---dgreports/---dcomm/documents/publication/wcms_626831.pdf
17 Department of Economic and Social Affairs of the United Nations Secretariat (2020), The World Youth Report: Youth Social Entrepreneurship and the 2030 Agenda, https://www.un.org/development/desa/
youth/world-youth-report/wyr2020.html
18 ILO (2016). Non-standard employment around the world: Understanding challenges, shaping prospects. https://www.ilo.org/global/publications/books/WCMS_534326/lang--en/index.htm
19 UKAid. (2019). WOW Helpdesk Guidance No. 1: Promoting economic empowerment for women in the informal economy. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/
attachment_data/file/844320/Promoting-Economic-Empowerment-Women-Informal-Economy-Oct19.pdf
20 ILO (2018). Informality and non-standard forms of employment. Retrieved from ilo.org/wcmsp5/groups/public/---dgreports/---inst/documents/publication/wcms_646040.pdf
21 ILO (2020). The rising tide of non-standard employment. https://www.ilo.org/infostories/en-GB/Stories/Employment/Non-Standard-Employment#who-works-in-non-standard-employment
22 Examples of non-standard forms of employment include temporary, fixed-term, agency or zero hour contract.
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The digital economy contributes to the growth of increasingly precarious forms of non-standard work.
The emergence of digital labor platforms and a general trend towards the casualization of work have allowed
businesses to take advantage of a flexible workforce, while at the same time creating jobs for young workers
who are not yet absorbed by the traditional labor market. In developing countries especially, a large number of
workers engaging in digital platform work are highly educated, which reflects the dearth of employment
opportunities for young people.23 But while the digital economy is also providing young people with new
employment opportunities such as serving as social media influencers, professional gamers and digital artists, it
has also led to the rise of non-standard forms of employment that promises flexibility but in reality carries a
number of risks, such as loss of income in times of crisis and the ease with which they can lose their access to
the platforms through account deactivation or business closure.
Young workers, who are already a financially vulnerable age group, are increasingly exposed to risks from
economic shocks. By definition, young people working in the informal economy - especially in developing
countries - are typically excluded from social protection coverage. Meanwhile, those working in non-standard
forms of employment, such as temporary or part-time work, are included or excluded from social protection
depending on the national legal and policy frameworks of the countries where they reside. While a large share of
young workers in such employment actually receive coverage in many G20 countries, they are not always
covered in an adequate way compared to those in full-time employment. This leaves them in a precarious
position when unexpected events that affect their ability to work, or the demand for their skills and working
hours, suddenly occur. Such risks exacerbate existing socio-economic inequalities by impacting this segment of
the workforce more severely than others.25
Youth Employment - Seeing the changes brought by the pandemic,

what worries you regarding your future employment?*
I am worried about working in

an unstable job 47%
I am worried about not

nding a job 44%
I am worried about not being able

29%
to start and run a business
I am worried about working in a

24%
job that is not impactful
I am not worried
about anything 13% *) respondents allowed multiple responses
Graph A.1. Seeing the changes brought by the pandemic, what worries you regarding your future employment?
23 ILO (2021). World Employment and Social Outlook 2021: The role of digital labor platforms in transforming the world of work. https://www.ilo.org/global/research/global-reports/weso/2021/WCMS_771749/
lang--en/index.htm
24 Behrendt, C., Nguyen, Q. A., &, Rani, U. (2019). Social Protection Systems and the Future of Work: Ensuring Social Security for Digital Platform Workers. International Social Security Review 72 (3): 17–41.
https://doi.org/10.1111/issr.12212.
25 ILO (2020). The rising tide of non-standard employment. https://www.ilo.org/infostories/en-GB/Stories/Employment/Non-Standard-Employment#who-works-in-non-standard-employment
fi
Insecure work is a serious and persistent problem for the youth. Job insecurity is a common cause for
concern among young people. The survey by Cint found that young people across the G20 are very much
worried about the future, and that many of them are increasingly concerned about working in an unstable job.
Young people, already suffering from unemployment and underemployment even before the COVID-19
pandemic, have suffered more employment losses compared to other age groups. Globally, youth employment
fell by 8.7 percent in 2020, in comparison to 3.7 percent for adults.26 During the crisis, about half of young
people’s households have undergone some form of job disruption, with young people belonging to lower social
classes more heavily affected.27 In such a critical event as the loss of income or a job, access to a safety net
becomes a crucial resource that often decides whether or not the affected person can recover from the shock.
In the face of these challenges, young people across the G20 are striving to provide support for one
another and their communities. In many countries, young people have taken an active interest in solving
societal challenges, be it through social action projects, volunteering their time and resources, or setting up
social enterprises that benefit their local communities. Around the world, young people are becoming
increasingly passionate about finding a career path that sharpens their skills and provides income, while also
creating a positive social impact on their local communities and the world.
Social entrepreneurship offers an alternative employment pathway for young people. A large part of the
young generation today is resourceful, entrepreneurial, and very much digitally connected. The characteristics of
successful entrepreneurs, such as creativity, resilience and action-orientedness, are often found in young
people.28 A 2020 survey indicated that 54 percent of young people in G20 countries are interested in starting
their own business.29 Although social enterprises do not pursue profit as their end goal, financial vigor enables
them to achieve self-sustainability and to create solutions of significant scale and impact. Given that the world’s
business culture is shifting away from a focus on mere profit, social entrepreneurship can be an avenue for
young people to act on their vision of society, while also taking their future into their own hands and creating
ways for other youths and other marginalized and vulnerable groups to earn a living.30
But factors related to access must be further examined if we are to better understand the potential of
social entrepreneurship for young people. While social entrepreneurship can offer an alternative form of
employment, and many young people already have the qualities of effective entrepreneurs, most of them still
have limited key competencies and qualifications, and rarely have the financial resources and the human and
business networks that can provide them leverage. The interregional and intraregional variations in the
prevalence rates of social entrepreneurship, along with the lack of opportunity gap experienced by marginalized
and vulnerable groups, suggests that access to this employment pathway is currently not yet equal in all G20
countries.31
26 ILO (2020). An update on the youth labor market impact of the COVID-19 crisis. https://www.ilo.org/emppolicy/pubs/WCMS_795479/lang--en/index.htm
27 OECD (2020), Young people’s concerns during COVID-19: Results from risks that matter https://www.oecd.org/coronavirus/policy-responses/young-people-s-concerns-during-covid-19-results-from-
risks-that-matter-2020-64b51763/
28 Lackéus, M. (2015). Entrepreneurship in education: what, why, when, how. Entrepreneurship 360 Background Paper. Organization for Economic Cooperation and Development and European
Commission. Available at https://www.oecd.org/cfe/leed/BGP_Entrepreneurship-in-Education.pdf
29 Y20 Saudi 2020 Future Fit White Paper, https://reports.youth20saudi.org/Y20-2020-Future-Fit-Whitepaper.pdf
30 United Nations Department of Economic and Social Affairs (2020). Unlocking entrepreneurship opportunities for youth could lower unemployment and bring social benefits.
https://www.un.org/development/desa/en/news/social/2020-world-youth-report.html
31 Department of Economic and Social Affairs of the United Nations Secretariat (2020), The World Youth Report: Youth Social Entrepreneurship and the 2030 Agenda, https://www.un.org/development/
desa/youth/world-youth-report/wyr2020.html
Hence, for many young people, the road ahead is paved with extraordinary challenges. Young people
desire stability in an unpredictable world. They live at a time when new technologies have created opportunities
for many but have also taken away many jobs, leaving them on a precarious financial footing and making their
employment prospects even more uncertain. When exploring alternative employment opportunities, young
people often meet setbacks due to their age, limited lived experiences, and lack of political and economic clout.
Youth employment is a policy priority of the G20 agenda and a key focus of the Y20 Engagement Group.
The G20 Labor and Employment Ministers have committed to reducing by 15 percent by 2025 the share of
young people who are most at risk of being permanently left behind in the labor market through the introduction
of Antalya Goals in 2015 and the promotion of the G20 Youth Roadmap 2025 in 2020. The Italian Presidency
2021 has advocated a smoother transition from school to the labor market in the Education Working Group. In
the Y20 Engagement Group, issues such as the availability of protection for all young workers and support of
youth social entrepreneurship have been at the center of debates on youth employment in recent years.
Table A.1. Policy recommendations on Youth Employment from previous Y20 Summits
Social Safety Nets for Informal and Non-standard

Y20 Summit Youth Social Entrepreneurship
Forms of Employment
Y20 2021 Develop national frameworks by 2030 to establish protection for Enable social entrepreneurship, foster youth employment and employability, and
vulnerable (caregiving, healthcare, domestic) and emerging sectors support MSMEs through partnerships with relevant stakeholders that provide
Italy
(remote and gig) to ensure social, legal, health and economic security to access to training and development, funding and venture capital, best practice
the fullest extent possible. sharing, and networking.
Y20 2020 Reform labor policies to improve universal welfare programs including Reinforce cooperation between national and local governments to implement pro-
universal basic income, increased minimum wage, unemployment local business policies and incentivize social entrepreneurship as well as promote
Saudi
income support, affordable access to healthcare, unemployment sustainability and a circular economy. These policies should aim at opening
Arabia insurance and a targeted pension system. opportunities for young entrepreneurs, especially in remote and rural areas.
Y20 2019 Commit to fundamental workers’ rights and social protection for all Use economic levers including government procurement agreements, rebates,
workers regardless of classification and sectors, noting new forms of and tax incentives, to encourage private companies to provide meaningful paid
Japan
labor in the digital and informal economy. domestic and international careers and entrepreneurship development
opportunities for young people.
Y20 2018 Establish transferable social protection coverage attached to the Establish a universal legal framework that defines social entrepreneurship along
individual, regardless of job and employment status to ease workers’ with impact measurement tools, and develop a national fund or an organization
Argentina
transition across sectors and geographies. that finances a specific number of social enterprises with a positive social, cultural
and environmental impact.
Y20 2017 All young workers are provided social protection, regardless of the type of Create an entrepreneurial ecosystem which promotes a thriving entrepreneurial
the contract. culture to drive innovation and employment.
Germany
Drawing from the current trends in youth employment and building on these priorities, Indonesia’s 2022
Y20 urges delegates to continue advocating for full and inclusive employment of young people through a
discussion on two interventions: (i) the provision of social safety nets that ensure access to protection for
young workers in all types of employment, including in informal and non-standard forms of employment, and
(ii) youth social entrepreneurship that gives young people the support that they need to address the needs of
underserved communities and to create employment for themselves and for others.
B. CHALLENGES AND OPPORTUNITIES
I. Challenges
Even before the COVID-19 pandemic, young people were already facing a multitude of employment challenges.
The increasing informalization of work has led to large swaths of young people doing non-standard work in
developed economies, and increasing uptake of informal, poor-quality jobs by young people in developing
economies.
Across the G20, job insecurity has become the norm for young people. This has been exacerbated by the
COVID-19 pandemic, a crisis that has wrecked employment opportunities and pushed young workers into lower
quality jobs, and created new obstacles for those seeking to enter the labor market for the first time. Facing these
challenges, young workers need access to safety nets that will protect them from falling into poverty, mitigate the
risks of their income and help them recover from financial setbacks.32
Can existing social protection be strengthened for young workers in informal and non-standard
forms of employment?
In the wake of the COVID-19 pandemic, informal and non-standard workers, many of whom are young workers,
are disproportionately impacted by the resulting economic shocks. Countries with strong social protection
systems were able to mobilize resources to support workers and alleviate their suffering, while other countries
scrambled to address the gaps in their social protection coverage.
Table B.1.1
A young worker’s experience during the COVID-19 pandemic
Rissa, aged 20, is a female university student working part-time on a zero-hours contract at a store in one of
Indonesia's largest coffee chains.33 Before the pandemic, Rissa used to come to work regularly, up to four to five
times a week. However, when the COVID-19 pandemic struck and business dried up, her employer sought to
cut costs by reducing her shifts. Unlike traditional full-time employment, zero-hours contracts require workers to
remain available to work without offering any guarantee of work. Given that her pay is directly related to the
amount of work she does, the income Rissa received from her part-time work during the pandemic declined
significantly. Further, Rissa is not aware, has never asked, nor has she been informed by her employer whether
she is registered for social protection.
32 WIEGO (2021), Social Protection, https://www.wiego.org/our-work-impact/core-programmes/social-protection

33 Based on a focus group discussion with young workers in informal and non-standard employment on 13 August 2021. Name is pseudonymized.
Lack of access to public social protection programs
In many G20 countries, access to the state’s social protection in times of job and income loss varies
significantly. Only 47 percent of the global population are covered by at least one social protection benefit, while
the remaining 53 percent do not receive any income security from their national protection systems.34 Rates of
coverage vary by region, with coverage gaps most acute in Africa (17.4 percent), while Europe and the Americas
are above the global average.35, 36
Informal and non-standard workers often face challenges in accessing social protection due to the
regulatory framework of the countries where they reside. National labor and social protection legislation do
not always provide legal coverage for all workers in all types of employment. Minimum thresholds in labor and
social security laws such as length of contract, hours of work or salaries often determine whether a worker is
able to access social insurance. Meanwhile, social assistance for the unemployed is often inaccessible to young
people. As most of them are able-bodied and of working age, they often cannot access non-contributory social
assistance programs meant for the vulnerable poor. Moreover, when young people from disadvantaged
backgrounds no longer live with their parents, they are unable to benefit from cash transfer programs for children
and families.37
Another challenge is that young workers in informal and non-standard employment are often not eligible
for available programs. Young people do not have an extensive work history and, as first time job-seekers, are
often not eligible to apply for unemployment or minimum income benefits. Their high rate of participation in non-
standard work and in the informal economy underlines the importance of ensuring that young people have
access to existing unemployment benefits or to other schemes, such as poverty relief measures if they are poor,
or public employment services and public works programs if they are capable and available to work. In addition,
unlike in high-income countries, services such as a tax-financed universal healthcare coverage are rare in
developing countries, where young workers face the dual challenge of having limited access to both health
coverage and income support when illness or injury prevents them from working.38
The practical difficulties young workers face in registering, contributing, or claiming benefits further
hinder their ability to access social protection. Complicated and burdensome procedures, along with the
costs associated with traveling to sites to collect benefits, can discourage young workers and their employers
from registering for social protection. Own-account workers, in particular, do not have the advantage of having
the intermediary role played by employers and struggle with a levy of paperwork and mental effort required.
Meanwhile, young workers in rural areas often face challenges in accessing social protection due to the low
density of administrative structures and services.39
34 ILO (2021). World Social Protection Report 2020-22: Social protection at the crossroads - in pursuit of a better future. https://www.ilo.org/global/research/global-reports/world-social-security-
report/2020-22/lang--en/index.htm
35 ILO (2021). World Social Protection Report 2020-22: Social protection at the crossroads - in pursuit of a better future. https://www.ilo.org/global/research/global-reports/world-social-security-
report/2020-22/lang--en/index.htm
36 Followed by Americas (64.3 percent), Asia and the Paci c (44 percent), the Arab States (40 percent).
37 Department of Economic and Social A airs of the United Nations Secretariat (2018), Promoting the inclusion of young people through social protection, https://www.un.org/development/desa/
dspd/wp-content/uploads/sites/22/2018/04/RWSS-Policy-Brief-5.4.pdf
38 Department of Economic and Social A airs of the United Nations Secretariat (2018), Promoting the inclusion of young people through social protection, https://www.un.org/development/desa/
dspd/wp-content/uploads/sites/22/2018/04/RWSS-Policy-Brief-5.4.pdf
39 ILO (2021). Extending social security to workers in the informal economy: Lessons from international experience. Retrieved from https://www.social-protection.org/gimi/RessourcePDF.action?
id=55728
ff
ff
fi
Table B.1.2
Examples of social protection schemes in G20 countries

The set of public programs that offer a social safety net for people is often referred to collectively as social
protection or social security. Social protection consists of policies and programs that include:
Social insurance: Contributory schemes that are typically tied to a person’s employment and provide
compensatory support in the event of contingencies. Examples:
• Non-Wage Workers Social Insurance Scheme (Indonesia)40
• Employment Insurance (Canada)41
Social assistance: Non-contributory transfers to individuals or households that are in need. Examples:
• Youth Allowance for Job Seekers (Australia)42
• Bolsa Familia (Brazil)43
• Gyeonggi Youth Basic Income (South Korea)44
Barriers to Financing
Regular contributions are often an economic barrier for young workers to participate in a contributory
social protection scheme. Social protection measures are typically facilitated by the state and financed through
taxes or other funding sources, such as social insurance contributions. However, for workers with irregular
incomes, making regular monthly contributions is difficult to prioritize when weighed against their immediate
needs.45 In times of crises like the COVID-19 pandemic, this creates a situation in which countries with
fragmented registries face significant challenges in delivering assistance, especially to young people transitioning
in and out of informal jobs.
Moreover, when workers are registered in contributory, employment-related schemes, who pays for their
participation remains a key question. While employers typically pay part of the contributions on behalf of their
employees, this is often not the case for workers without an employment contract, who join such schemes
voluntarily and pay monthly premiums on their own. Reasons for this vary, from the misclassification of workers,
to the program design, and absence of a policy framework that identifies stakeholders who benefit from the
labor of the workers, such as digital platform companies, consumers, and employers of informal workers.46 This
raises the question as to who else is also responsible for contributing to their social protection.
40 The scheme is targeted towards workers in the informal sector and the self-employed. It covers employment injury, death, and old age. Participants join voluntarily and pay monthly premiums on
their own.
41 The program provides bene t payments for individuals who lose their jobs through no fault of their own, such as due to shortage of work, or seasonal or mass lay-o s, and are available for and
able to work, but can't nd a job. Employers are required to make contributions for Employment Insurance based on the earnings of their employees. EI is currently not available for gig workers.
42 The allowance is a nancial help for youth under the age of 21 who ful ll at least one of the following three criteria: looking for full-time work, studying part time and looking for work, or temporarily
unable to work or study.

43 The program provides cash transfers to low-income families on the condition that their children attend school and are properly vaccinated.
44 The program was initiated by the local government of South Korea’s Gyeonggi Province, targeting all 24-year-olds in the region to receive a periodic payment every quarter for one year.
28 WIEGO (2021), Social Protection, https://www.wiego.org/our-work-impact/core-programmes/social-protection
45 UN DESA (2021). Social protection in rural areas: achieving universal access for all. Retrieved from https://www.un.org/development/desa/dspd/2021/05/social-protection-in-rural-areas/
29 Based on a focus group discussion with young workers in informal and non-standard employment on 13 August 2021. Name is pseudonymized.
46 Information drawn from several subject matter expert interviews.
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© Unsplash
“The main challenge in designing social safety nets for platform workers is the fact that these platforms
are operating in a legal gray area. The majority, if not all of them, define themselves as a technology
platform. This means that this regulatory framework does not apply to them, or they claim it does not
apply to them.”
- Funda Ustek-Spilda, Fairwork Foundation
Limited awareness about social safety nets
Young people working outside of the formal economy have varying levels of awareness about the social
safety nets that are available to them. As many young people are still living with family or are dependent on
family support, they are more likely to borrow money from their family and friends to tide them over during
economic shocks.47 Furthermore, for many young workers, the availability of a safety net is not among their main
considerations when looking for a job. Being young, without dependents and relatively free of health problems,
they are not so concerned with most issues related to social protection coverage and safety net in general, such
as the possibility of prolonged illness, maternity and invalidity.48
47 Information drawn from focus group discussion with young workers in informal and non-standard employment on 13 August 2021.
48 Information drawn from a subject matter expert interview and Cint survey.
On the other hand, young people still in school or just finishing their education may view temporary or
part-time jobs as a short-term commitment while they seek full-time employment. Despite the risks
associated with more precarious forms of employment, the availability of social safety nets may not be as
important to young people since they do not plan to work in these jobs for long. Moreover, while trade unions
could offer a range of resources, such as by providing young workers with information on public social
protection schemes or joint funds that offer some form of safety net for their members, historically unions have
not been attractive to young informal workers.49
Youth Employment - How familiar are you with employment-

related social safety nets?
I have heard of them before 35%
I know and understand

them well 33%
I have accessed them before 18%
I have not heard of them before 13%
Graph B.1.2. How familiar are you with employment-related social safety nets?
“Social safety nets do not really impact me for the time being due to living with family but in the
future it will when I have my own family and have to take on full responsibility.”
- Lina, an employed female youth between the age of 26-30,

residing in an urban area in the United States50
The COVID-19 pandemic and its impact on the youth labor market have highlighted the importance of a safety
net that can protect young workers against livelihood risks caused by unexpected external events. Relevant
measures, such as public employment services that include training, job matching and placement, should also
be considered to improve linkage between social protection and active labor market policies. In the public
domain, policy action is needed to extend social protection schemes tailored to the needs of the growing youth
population in non-standard forms of employment, thereby improving their situation and facilitating their transition
from the informal to the formal economy.
49 Information drawn from focus group discussion with young workers in informal and non-standard employment on 13 August 2021
50 Taken from Cint survey. Lina is a pseudonym.
Are the youth empowered to pursue alternative employment options?
As not enough young people are getting the support they need to find stable work, many have no choice but to
take on ‘any’ employment, including non-standard employment or low-paying jobs in the informal sector. The
large proportion of youths in unstable and poorly-paid employment options, especially within many developing
G20 countries, underscore the importance of providing alternative employment opportunities for young people.
At the same time, the younger generation’s view on jobs and careers seems to have shifted from notions held by
their elders. Many young people have expressed their desire to hold a job that can give them personal fulfillment
or enable them to make a difference in society. Moreover, many young people today are holding businesses to a
higher standard. According to our survey, more than half of young people across the G20 think that businesses
have a responsibility to contribute to society. To many of these youths, profit is secondary.
Youth Employment - Do you think businesses should

be responsible for addressing social issues?
Yes, I think businesses have a

responsibility to contribute to 55%
their community
I think it’s good if they do, but

they don’t have to 30%
I don’t think so, businesses are not

8%
created for that purpose
I don’t know 7%
Graph B.1.3. Do you think businesses should be responsible for addressing social issues?
Based on that outlook, social entrepreneurship can be a bridge that both supports the youth’s desire for
personal fulfillment and answers to the young people’s growing need for employment opportunities. It also gives
young people an opportunity to play a role in addressing social challenges through the creation of innovative and
adaptable solutions.
However, although promoting entrepreneurship has become a standard labor market policy in many countries,
social entrepreneurship unfortunately has not received the same attention. Existing support for social enterprises
is often not aligned with the needs, characteristics, constraints and ambitions of young people and the realities in
the field.
Nascent regulatory support
Regulatory support for youth social entrepreneurship in many G20 countries is nascent. Government
engagement varies across the G20, ranging from isolated examples of partnership to integration of social
entrepreneurship in the country’s development agenda. In countries where regulatory support is nascent and
there is no defining criteria for what constitutes a social enterprise, industrial policies and small and medium-
sized enterprises development policies are often used as a framework for social enterprises.51 This lack of a
shared operational definition, coupled with the absence of legal form and framework, severely constrain
governments’ ability to apply policy tools that can support social entrepreneurs and mobilize public resources for
the continued growth of social enterprises.
For young people, the lack of regulatory support threatens the viability of social enterprises. In places
where a policy framework specific to social enterprises do not yet exist, social enterprises operate as non-profit
organizations or as small or medium-sized enterprises. Meanwhile, in countries with legal frameworks that
accommodate social entrepreneurship and assign social enterprises a specific corporate entity, social
enterprises are entitled to significant benefits, such as the ability to apply for government grants, and the
eligibility to receive donations and to enjoy tax exemptions.52 The lack of such benefits in other countries may
inhibit the growth of youth-led social enterprises, in particular those with limited networks and capital.
Figure B.1.1. Policy Framework for Social Enterprise: Examples

from G20 and non-G20 Countries 53
51 Agapitova, N., Sanchez, B., & Tinley, E. (2017). Government Support to the Social Enterprise Sector: Comparative Review of Policy Framework and Tool. https://www.innovationpolicyplatform.org/
www.innovationpolicyplatform.org/system/ les/SE%20Policy%20Note_Jun20/index.pdf
52 Agapitova, N., Sanchez, B., & Tinley, E. (2017).

fi
Table B.1.1. Various Categories of Social Enterprise Policy Frameworks and

Results: Examples from G20 and non-G20 Countries54
Category Early Stage Emerging Growing Mature
Country Kenya, South Africa Colombia, Egypt, Canada, Chile, Italy, South Korea, United
examples India Malaysia, Poland, Kingdom, United
Thailand States
Recognition No legal form for No legal form for SEs Legal form for SEs Legal form for SEs
SEs created or in process created
of creation
Support No policies or Political will to Policies and National strategy or

regulation for SEs support SEs or social regulations for SEs policy for SEs with
innovation large range of tools
Small‐ and medium- and programs to
sized enterprise Small‐ and medium- support them
policies available sized enterprise
policies available
Enablers Some private Growing number and Supporting Supporting
organizations (e.g., variety of organizations are organization includes
universities, organizations forming networks public agencies and
foundations) support supporting SEs form a connected
SEs ecosystem
Level of SE Presence of SEs as Presence of SEs as Widespread presence Extensive and
Activity
NGOs or companies NGOs or companies of SEs within existent organized SE sector
in some sectors or in multiple sectors or legal forms or as
geographies geographies NGOs or companies,
multiple sectors or
geographies
Obstacles to funding
Youth-led social enterprises, especially in their early stages, operate in an extremely competitive funding
environment. Most investors, including those providing social investments, are more likely to invest in well
established social enterprises to protect themselves from risk and to ensure that there is return on their
investment. Furthermore, there is strong fixation among investors on scalability and a preference for social
enterprises that utilize digital technology to scale their business, putting other youth social entrepreneurs who
provide more endogeneous solutions for their local communities at a disadvantage.55

Meanwhile, youth social entrepreneurs also face significant challenges in accessing other sources of
financing. Young people often lack credit histories and collaterals to qualify for conventional loans. Although a
number of charitable, philanthropic and government bodies provide grants to support social enterprises seeking
external finance, their support is often not adequate to meet the business needs of all youth social enterprises.56
As most young social entrepreneurs have limited ability to obtain external funding, they are initially dependent on
capital injection from their savings or borrowed money from friends and family.57
“It is good to think about sustainability. Ask yourself, who will pay for this? It doesn’t matter who the
payment comes from, but somebody has to pay for it. What story will you tell them? Build credibility,
and once you become credible, people will give you money. People need to trust you, that you can
scale and have processes and systems to scale.”
- Rajesh Varghese, Ashoka
Human resource challenges
Youth social entrepreneurs face a wide range of human resource challenges that limit their ability to grow
their business. Many youth social entrepreneurs face barriers to finding and attracting the right talents to staff
their businesses due to a variety of reasons, including uncompetitive salaries and the less than ideal environment
where social enterprises often operate. For social enterprises focusing on employment creation, another
challenge with human resources stems from the entrepreneurs’ need to balance social objectives with business
sustainability, as the groups that they are trying to help may be unskilled or have little professional experience.58
Furthermore, young social entrepreneurs themselves may lack the necessary skills and have inadequate
access to training or resources. Although many of them possess well-developed soft skills, such as empathy
and a strong sense of social responsibility, many young people resort to a learn-as-you-go manner of running an
organization due to their modest professional experience. In particular, they have limited technical skills in
measuring and managing the impact of their business, metrics that are important to investors, donors and public
stakeholders.59 For young people seeking to make an impact in places where they lack ties to the local
community, their limited knowledge of the local context, including local needs, norms and networks, may pose
an additional challenge.60
“Do you need money first or do you need knowledge first? I think they are both important, but I find that
entrepreneurs always focus on the fact that they lack funding, and they put less urgency on the
knowledge part. I think they are both intertwined, and an overlapping, complex problem.”
- Stephanie Arifin, PLUS
56 Hanley, Wachner and Weiss (2015), Taking the pulse of Investment in Social Enterprise, https://ssir.org/articles/entry/taking_the_pulse_of_investment_in_social_enterprise
57 Department of Economics and Social Affairs of the United Nations Secretariat. (2020). The World Youth Report: Youth Social Entrepreneurship and the 2030 Agenda, https://www.un.org/development/
58 Information drawn from a focus group discussion with youth social entrepreneurs, 30 October 2021.
59 Information drawn from a subject matter expert interview.
60 Department of Economic and Social Affairs of the United Nations Secretariat. (2020). The World Youth Report: Youth Social Entrepreneurship and the 2030 Agenda, https://www.un.org/development/
Socio-cultural barriers
Youth social entrepreneurs often face challenges in gaining the support and trust of the communities
they wish to serve. One’s intentions can be misinterpreted when working cross-culturally or cross-regionally,
since trust is built in different ways.61 In places where social hierarchies are determined by age, young people are
expected to demonstrate respect and submission to older people and the elders of the community. In some
cases, older members of the community are appreciative of the activities of youths who brought the latest
knowledge, skills and advancements to the local community. However, tensions may also arise when young
social entrepreneurs, in their desire to meet business requirements and improve the quality of products, try to
change the local population’s way of working.62
The local context in communities where youth-led social enterprises operate play a critical role in
promoting or impeding the success of young social entrepreneurs. Such local contexts range from a culture
that is unforgiving of failure, to a well-established culture of inclusive business and a shared value that celebrates
social justice.63 The attitude of the network of influencers that surround young people, including their parents,
peers, teachers, and organizations, often reflects these values and can either spur or deter young people from
the pursuit of social change. For instance, research has found that young social entrepreneurs have been
ostracized in schools for “going against the status quo”.64 In addition, in places where social entrepreneurship is
not the norm, youth-led social enterprises face challenges in accessing markets since corporate buyers,
consumers and the public sector don’t see the perceived importance of supporting such businesses.65
Uneven development and opportunity gap
Uneven development is a problem for young people living in places outside of the major cities, especially
in developing countries. Young social entrepreneurs without an international educational background or
connections, and who are based in areas outside of the major cities, often have to wage an uphill battle to
access relevant opportunities, such as training programs and funding. Decisions to invest in youth-led social
enterprises, for instance, are often made on the basis of the young people’s educational background and prior
work experience, which puts most of them at a disadvantage.66
© Unsplash
61 Information drawn from focus group discussions with young social entrepreneurs on 28 October and 30 October 2021.
62 Information drawn from focus group discussions with young social entrepreneurs on 28 October and 30 October 2021.
64 Bublitz et al. (2020), Understanding Youth Social Entrepreneurs and Their Ecosystems. https://journals.sagepub.com/doi/abs/10.1177/0743915620937702
65 Information drawn from subject matter expert interviews and focus group discussions with young social entrepreneurs on 28 October and 30 October 2021
66 Hanley, Wachner and Weiss (2015), Taking the pulse of Investment in Social Enterprise, https://ssir.org/articles/entry/taking_the_pulse_of_investment_in_social_enterprise
© Unsplash
The gap between urban and rural areas in terms of opportunities and information can be striking. In rural
areas and places outside of the major cities, it is often the case that the very concept of social enterprise as
commonly understood does not even exist in local discourse. Business and the solution to social challenges are
often regarded as two entirely separate things.67 While enterprises that arguably fit the definition of social
enterprise do exist in these areas, the entrepreneurs are often not aware of the concept and therefore do not
identify their business as a social enterprise. This information gap further exacerbates inequality as youth social
entrepreneurs in these areas are not aware of the benefits that come from identifying their business as a social
enterprise and nor are they aware of the existence of ecosystems within which they can acquire resources and
flourish.
“I think what we increasingly see is a generation of young people who want to do good stuff and they want to have
an impact. Those individuals won't come across the term ‘social entrepreneurship’, so it's kind of match-making
with that individual motivation, and then saying that what we’re actually talking about is social entrepreneurship.
This is the language that we use, and this is how we can help you.”
- Rachel Davis, Warwick Enterprise
Existing ecosystems for youth social entrepreneurs are inadequate and are not yet fully inclusive and
equitable. Young people who are more likely to be able to opt for social entrepreneurship tend to come from a
higher level of education and socio-economic background, with the means and resources that allow them to
explore and experiment with ideas for social change.68 Although universities are increasingly engaging with social
© Unsplash
entrepreneurship, many young people in G20 countries are not in university. Language limitations and the digital
divide further prevent youths from participating in social entrepreneurship programs, as resources and information
are often only published in English, while the submission for applications to programs, competitions and awards
take for granted the availability of the internet where young people live.69 These challenges have created an
opportunity gap where access to support tends to be hampered by factors such as age, race and/or ethnicity,
gender, education, socio-economic background, and others.
67 During our FGD on 30 October 2021, social enterprises in these areas were often established by people who had previously had experience in international cities or international experience abroad.
68 Information drawn from subject matter expert interviews and FGDs with youth social entrepreneurs on 28 October and 30 October 2021.
69 Information drawn from subject matter expert interviews.
II. Opportunities
Towards an inclusive social protection for young people
“Everyone tells young people to take on a challenge, but the foundation for that challenge comes from a
certain degree of stability. Access to a social safety net is important for young people to take on
challenges with confidence.”
- Ann, aged between 16 and 20, a female student in a suburban or rural area of South Korea70
Promoting young people’s access to a safety net - in particular those working in informal and non-standard forms
of employment - is a way of protecting all workers regardless of employment status. The design and
implementation of inclusive social safety nets that are both universal and easy to access can provide countries
with the opportunity to reduce existing economic inequalities, address the scarring effects of informality, and
tackle the long-term changes in the labor market.
The plethora of initiatives that countries across the G20 have taken in recent years to address the consequences
of the COVID-19 pandemic demonstrate that it is possible to implement better social protection systems that
could protect the vulnerable against livelihood risks. Further, conditions such as stakeholder involvement in social
safety net provision, the availability of digital technologies and infrastructure, tailored income support for youth,
and strong government leadership can strengthen the protection of young workers in informal and non-standard
employment across the G20.
Stakeholder involvement in social safety net provision
Stakeholder involvement has facilitated those who are unable to obtain government support access to
social safety nets. Since before the COVID-19 pandemic, digital labor platforms have voluntarily negotiated with
third-party providers to offer workers with access to affordable welfare programs such as insurance and education
plan savings.71, 72, 73 Meanwhile, during the pandemic, a number of platforms across the G20 have stepped up and
provided workers with some level of support, including sick pay and financial assistance.74 However, these short-
term cushions for economic shocks tend to be voluntary, and are still lacking the legal certainty and the necessary
systemic, institutional support for the social protection of workers in the medium and long-run.
70 Taken from Cint survey. Ann is a pseudonym.

72 Noormega, R. (2018). The Story Behind 1 Million Gojek Drivers. https://medium.com/life-at-go-jek/the-story-behind-1-million-go-jek-drivers-f6fa0d1dc597
73 Basul, A. (2019). Uber announces new partnership to offer insurance services. https://www.uktech.news/news/uber-announces-new-partnership-to-offer-insurance-services-20190531
74 The Fair Work Project (2020). The Gig Economy and Covid-19: Looking ahead. https://fair.work/wp-content/uploads/sites/97/2020/09/COVID-19-Report-September-2020.pdf
Over the last few years and more recently during the pandemic, civil society and worker organizations of
all sizes have also voluntarily engaged in new ways to address gaps in social protection and cushion
workers from shocks to their livelihoods. Among many others, these efforts included financing and delivering
informal forms of social protection such as donations, community insurance, and other social safety net schemes.
The pandemic has demonstrated that community leaders can play a crucial role in mobilizing support for their
communities by turning to well-established systems for emergency support and rapid assistance, at least for the
short term.75 Recognizing the leveraging power of organizations and engaging with them can enable young people
to design their own solutions and provide them with a fast and flexible way to deliver support until there is a more
permanent mechanism in place.
“Civil society has ideas that the government has not touched yet. Why not apply them? Usually, the
responses that come from civil society are more responsive and fluid.”
-Lody Andrian, Bagirata
Table B.2.1
Examples of voluntary initiatives in social safety net provision

Examples of programs set up by non-government stakeholders to provide a safety net for workers outside of a
public social protection system:
• Uber Eats (United Kingdom): During COVID-19, the online food ordering and delivery platform provides drivers
with £30 per day, in addition to an additional payment of up to £100 per week based on average earnings in the
past six months, for up to 15 days of illness.76
• Bagirata (Indonesia): A grassroot peer-to-peer crowdfunding and wealth-distribution website that was set up at
the start of the COVID-19 pandemic matches fund donors with recipients - workers in hospitality services, the
creative industry, and gig workers who have lost their income.77, 78
• VimoSEWA (India): The Self-Employed Women’s Association (SEWA) has set up its microinsurance intermediary
VimoSEWA to promote a range of voluntary insurance products to its members, such as health insurance, life
insurance, and wage loss insurance.79
75 World Bank (2020). Community Responses to COVID-19: The Resilience of Indonesia. https://www.worldbank.org/en/news/feature/2020/06/01/community-led-responses-to-covid-19-the-resilience-of-
indonesia
76 The Fair Work Project (2020). The Gig Economy and Covid-19: Looking ahead. https://fair.work/wp-content/uploads/sites/97/2020/09/COVID-19-Report-September-2020.pdf
77 Information drawn from a subject matter expert interview with Lody Andrian, Founder of Bagirata.
78 KrASIA (2020). How Indonesians use open-source tech to help each other during the pandemic. https://kr-asia.com/how-indonesians-use-open-source-tech-to-help-each-other-during-the-pandemic
79 Vimosewa (2021). https://www.sewainsurance.org/
The role of digital technology
Digital technology has facilitated the delivery of social safety nets and bypasses some of the traditional
barriers to reach hard-to-reach populations. Young workers in urban areas with good access to mobile
technology and supporting internet infrastructure tend to benefit from such innovations.80 Taking the form of
mobile applications, websites, mobile money and others, these innovations can facilitate the expansion of safety
nets by enabling remote registration - thus saving workers’ time and travel expense - and delivering cash
assistance for those outside of the traditional banking sector.81 Digital tools such as portable benefit apps, for
example, can offer workers with multiple employers a way to access benefits that stick with them as they move
from job to job.82, 83
Varying levels of digital skills, access to digital infrastructure and equipment, and young people's understanding
on how things work on the internet remain a challenge. While digital solutions can offer greater efficiency by
cutting costs and preventing leakage, the digitization of social safety net provision could create additional
challenges for young workers with limited access to digital tools and infrastructure by exposing them to
technologies that they are unprepared to use. Even though the digital divide exists across the G20, these
challenges are particularly acute in developing countries due to their lower internet penetration rates.
Tailored income support for the youth
Young people prefer to receive cash support, compared to non-cash support such as food and job
training, to meet their everyday needs. It is important that safety net programs are inclusive and attentive to
the realities of work faced by young people. Our recent survey shows that almost half of the young people from
G20 countries agreed that cash support, either on a regular basis or when they are unable to work, is best
placed to address their individual priorities and contexts. While most young people share certain characteristics,
such as age and key milestones, they experience unique life situations and have varying needs and concerns. In
line with this view, several countries and regions have introduced cash-based programs as a means of providing
income security for young people and the general public as a whole. Although program details such as amount,
frequency and conditions may vary, anecdotal evidence suggests that receiving cash support has allowed young
people to focus on improving their prospects and plans for their future, giving them the confidence they need to
pursue the lives they want to live.84
“The provision of a social safety net generally doesn't affect my choice of jobs because if you lose your
job here you can usually get payments from the government with some terms and conditions.”
- Lara, an employed female youth between the age of 26 and 30,

residing in an urban area in Australia85

81 ILO (2021). Extending social security to workers in the informal economy: Lessons from international experience. Retrieved from https://www.social-protection.org/gimi/RessourcePDF.action?id=55728
83 Wallace-Stephens, F. (2020). Covid-19 and the case for portable benefits. https://www.thersa.org/blog/2020/03/covid-19-portable-benefits
84 경기연구원 (Gyeonggi Research Institute ). “Gyeonggi-Do Youth Basic Income.” Youtube, 13 Jan. 2020, www.youtube.com/watch?v=Lchol7FMCk8
85 Based on Cint survey. Name is pseudonymised.
“I find social safety nets very helpful because my income fluctuates. For us (platform workers), both cash
and in-kind assistance are very helpful. It depends on each person, what kind of help they need the most.
If it’s cash, we can use it to fix our motorcycle. If it’s in-kind, like food, we can use it for our daily
sustenance. But I prefer if it’s in the form of cash, it’s easier to process.”
- Cedric, 20 years old, male, platform-based motorcycle taxi driver in Jakarta, Indonesia86
Youth Employment - What kind of social safety net would you like to receive?
Cash support on a regular basis,

including when I am able to work 22%
Cash support only when I

am unable to work 19%
Non-cash support (food, job trainings,

access to healthcare, etc) on a regular basis, 14%
including when I am able to work
I am not an informal or
non-standard jobs worker 13%
Both cash and non-cash support on a regular

basis, including when I am able to work 12%
Both cash and non-cash support

11%
only when I am unable to work
Non-cash support (food, job trainings,

access to healthcare, etc) when I am 9%
unable to work
Graph B.2.1. If you are an informal or non-standard jobs worker like freelancers, part-time and contract workers and you can't go to work and lose your
income due to unexpected events like illness, accident, or economic shocks, what kind of social safety net would you like to receive?
Strong government leadership
There is a strong case for government leadership and solid political backing contributing to the
universality of a safety net for all young workers. In countries where there are robust social registries and
effective risk-sharing mechanisms, public social protection programs have the ability to reach all parts of the
population. Governments play an indispensable role in facilitating such programs, although the design, financing
processes and delivery systems may greatly vary from country to country. Furthermore, strong government
leadership is crucial to balancing the needs of young workers with the demands of groups that may find
themselves disadvantaged by the implementation of an inclusive public social protection system. These are in
line with the findings of our survey, where an overwhelming majority of young people across the G20 place a
great importance on the government’s role in providing social safety nets for young workers in informal and non-
standard forms of employment.
86 Based on a focus group discussion with young workers in informal and non-standard employment on 13 August 2021. Name is pseudonymised.
Youth Employment - Who should provide social safety net?*
The government 73%
The gig company or the agency 33%
A collective action by the workers

23%
(examples: joint fund, shared saving)
An action by the society
(example: donation) 16%
The consumer or client 15%
Family and friends of the workers 9%
Workers should provide this *) respondents allowed multiple responses

8%
support for themselves
Graph B.1.1. Who should provide social safety nets?
Stakeholders outside the government can be leveraged to reach young workers. Despite their
commendable efforts to address coverage gaps, stakeholders outside the government, such as the private
sector, workers’ organizations and civil society, can only cover a small part of the population and rarely have the
resources or scope to deliver social safety nets on a massive scale. Nevertheless, given their intimate
understanding of the communities they are engaged with, these stakeholders play a crucial role in becoming an
entry point that can help young people to sign up, and in linking up with the government to educate young
people about the available programs. Ensuring that young people are actively involved in workers’ and
employers’ organizations can further enrich social dialogue and reflect their views in policy making. Moreover, as
many young people are still in school, engaging educational institutions and integrating information about social
protection and social safety nets within the curriculum will also help to increase awareness.
“Labor market mobility in a geographic sense, or mobility in changing from one sector to another, or
being self-employed or being in dependent employment, or maybe combining the two - these kinds of
complexities can be more easily accommodated in a publicly organized social protection system.”
- Christina Behrendt, International Labor Organization
While expanding and upgrading support measures require significant commitment and resources, social safety
nets are nevertheless necessary in protecting young workers from increasing vulnerability and uncertainty, and
improving their access to jobs, income security, and quality of life. For many young people, the provision of a
safety net will relieve them of their stress, make them feel safe and protected, and allow them the time for skills
training so they can pursue jobs that they deem impactful, meaningful and worthwhile.
© Unsplash
Building a more inclusive youth social entrepreneurship ecosystem
“Youth social entrepreneurs are ambitious and idealistic, with a continuously evolving business model.”
- Veronica Colondam, Yayasan Cinta Anak Bangsa
Youth social entrepreneurship offers an opportunity for young people to create jobs for themselves and for others
who are in great need of a job. Their active engagement in addressing and solving social challenges is crucial to
the sustained growth and well-being of their societies. Although young people have fewer years of experience in
which they could have developed their entrepreneurial capability, they desire to do work that focuses beyond mere
profits and considers social responsibility as an important part of the work. They also tend to have an intimate
understanding of the problems they are trying to solve, and are open to various ways of learning, including through
role models and peers.87, 88 If appropriate support is given to them, young social entrepreneurs have the potential
to contribute significantly to job creation and help people who might otherwise struggle to find sustainable work.
The experiences of young social entrepreneurs across the G20 reveal the key practices and approaches that can
facilitate the increase and sustainability of youth social enterprises. These include leveraging digital technology to
democratize access to financial resources, providing educational support for youth social enterprise activities,
cementing the commitment of governments to nurture social enterprises and promote youth social
entrepreneurship in the policy agenda, and building an integrated ecosystem that links young people with key
players at the local, regional, national, and international levels.
Internet-based financing alternatives
In recent years, young social entrepreneurs without collateral and institutional funding to support them
have turned to the internet to meet their financing needs. Digital technology offers young people access to a
wide range of alternative financing options. Crowdfunding, a financing mechanism that taps into the “crowd” - i.e.
the general public - via online platforms to fund projects or businesses has emerged as an alternative source of
funding for youth social enterprises. Crowd investors typically prioritize ideas and values of the business over
collaterals or business plans, which makes them a good fit for youth-led social enterprises.89, 90 Another example of
digital financing that is becoming increasingly popular among young people is peer-to-peer (P2P) lending, which
puts them directly in touch with lenders and provides them with loans on less stringent criteria. For early-stage
enterprises, digital financing offers an alternative finance model that is less time-consuming than applying for
grants and raising funds from investors.
Nonetheless, while digital financing has become a popular way to finance a business, ensuring that all young
people can benefit from this opportunity will require a closer look at young people’s varying levels of digital literacy
as well as the state of digital infrastructure and the availability of digital platforms where they live.
87 Information drawn from focus group discussion with youth social entrepreneurs on 30 October 2021.
88 Department of Economic and Social A airs of the United Nations Secretariat (2020), The World Youth Report: Youth Social Entrepreneurship and the 2030 Agenda, https://www.un.org/
development/desa/youth/world-youth-report/wyr2020.html
89 Lehner, O. M. (2013). Crowdfunding social ventures: a model and research agenda. Venture Capital, 15(4), 289-311.
90 Department of Economic and Social A airs of the United Nations Secretariat (2020), The World Youth Report: Youth Social Entrepreneurship and the 2030 Agenda, https://www.un.org/
ff
ff
Table B.2.2
Youth-led social enterprise: Icycle91, 92

Icycle is a sustainable eyewear startup that manufactures
and produces sunglasses made of 100 percent recycled plastic.
The social enterprise was founded in 2018 in the United Kingdom
by a group of five University of Warwick students, after one of the
founders visited India and witnessed the country’s formidable
plastic waste problem.
Icycle’s manufacturing and supply chain activities are largely

driven by a collective of self-employed rag-pickers in Pune, most
of whom are women, and a partnership with two local
organizations called “SWaCH” and the “Social Seva Initiatives”,
which have developed a decentralized and community-based
waste management plastic recycling system. The women who
produce the glasses now enjoy a formal work contract, fair pay,
and adequate work equipment. For each pair of glasses produced,
Icycle gives away a pair with prescription lenses to their
community to alleviate bad eyesight, which is often a barrier to
reading, being safe in traffic, and other everyday activities. © Kickstarter
Icycle was supported by the Student Enterprise Fund and the Creative Futures Accelerator Program run by Warwick Enterprise,
the university’s entrepreneurship development program. In 2019, Icycle successfully raised over £15,000 through a
crowdfunding campaign on Kickstarter. The funding allowed them to expand their operations and produce over 1000 glasses to
be shipped to buyers around the world.93
Educational support programs
Youth social entrepreneurs benefit from being placed in an environment where processes are adapted to
them. Youth social entrepreneurship ecosystems are different from adult social entrepreneurship ecosystems
because many young people are in school and are dependent on familial or parental support.94 Our survey
indicated that social entrepreneurship education and training in school are among the top three types of support
young people want if they are going to set up a social enterprise. A cohesive youth social entrepreneurship
ecosystem acknowledges the role of parents, other adult allies and peers, and takes into consideration the socio-
economic challenges faced by marginalized youth from low-income settings and remote areas. Targeted youth
social entrepreneurship initiatives that have been offered in some countries, such as within university departments,
student societies, or part of school curriculum and out-of-school youth programs, provide young people with
organizational support for their work and a safe platform to explore and experiment with ideas.95
91 Icycle. (2021). http://www.icycle.xyz/

92 Information drawn from a focus group discussion with youth social entrepreneurs, 28 October 2021.
93 Kickstarter. (2019). Icycle: people powered eyewear. https://www.kickstarter.com/projects/icycleeyewear/icycle-people-powered-eyewear
94 Bublitz et al. (2020). Understanding Youth Social Entrepreneurs and Their Ecosystems. https://journals.sagepub.com/doi/abs/10.1177/0743915620937702
95 Bublitz et al. (2020). Understanding Youth Social Entrepreneurs and Their Ecosystems. https://journals.sagepub.com/doi/abs/10.1177/0743915620937702
“Most of the young social enterprises that I’ve worked with have found their success by experimenting
© Unsplash
in a number of ventures before they find the one that takes off.”
- Peter Ptashko FRSA, Cambio Consultancy
Youth Employment - What kind of support do you think would be helpful

if you are going to set up a social enterprise ?*
Regulatory supports, for example by making it easier to register a

social enterprise, help with entering new markets, tax breaks, or
prioritizing youth social enterprises for government procurement
51%
Social entrepreneurship education and

training in school and university 48%
Financial support such as special funding schemes to

help youth social enterprises with capital 41%
Non- nancial supports such as free o ce spaces, training

program, and promotion for products and services 34%
Access to local, national and international peer

support and mentorship systems 29%
Support and encouragement from family,

friends and community 20%
I am not interested to start a

social enterprise 8% *) respondents allowed multiple responses
Graph B.2.2. What kind of support do you think would be helpful if you are going to set up a social enterprise?
Government support and recognition
Government support and recognition holds tremendous potential for youth social enterprises. In our survey,
regulatory support, such as a legal form for social enterprises, has been cited as the most important form of
support by young people across the G20. Having a clear definition and policy framework for social enterprises
helps in building awareness of social enterprise as a viable business model. It also encourages the creation of
institutions that assist social enterprises and entrepreneurs, and the development of supporting policy instruments
that can spur the growth of youth-led social enterprises. One way in which this can be especially helpful to young
social entrepreneurs is by providing non-collateral funding schemes for early-stage social enterprises, through
public financing programs or by incentivizing funders and investors to rethink their selection criteria.
fi
ffi
Moreover, validation by the government legitimizes social enterprises. Policy tools that standardize and
certify social enterprises clear the path for young social entrepreneurs to foster demand for their products and
services and obtain the trust of the local communities that they serve. Embedding social enterprise activities in
government agenda, such as in national plans, laws and strategies, enables governments to engage
marginalized populations and utilize networks to reach beneficiaries at scale. By standardizing and strengthening
existing impact measurement practices, governments can also better understand how youth-led social
enterprises are making a substantial contribution to society. Further, government recognition also assures other
aspiring young social entrepreneurs that public support is available for them and that their work matters.
“The government has a role to play in mainstreaming the idea of social entrepreneurship
and how important it is.”
- Lady Diandra, UNDP
Table B.2.
Youth-led social enterprise: Kulaku96, 97

Kulaku is a social enterprise that produces and distributes processed and derivative coconut products. Founded in
2018 by a group of young people, Kulaku works with coconut farmers in Banyuasin, South Sumatra Province,
Indonesia, to produce high-quality coconut products at competitive prices.
To date, Kulaku has developed 12 products - all of which are available for purchase through online
marketplaces, social media and its website - and has collaborated with universities and experts for R&D
activities. The social enterprise has partnered with villages around the province’s capital city Palembang and is
currently working with 40 farmers with a monthly production of up to 18 tons of products. In the three years since it
was established, Kulaku has supported the education of dozens of children of farmers. To expand the market and to
create an even bigger impact, the company is currently preparing for export and looking to launch its products in
modern retail starting in 2022.
Government support plays a significant role in Kulaku’s growth and expansion. As a partner of Bank Indonesia South
Sumatra, the social enterprise has been invited to join various training programs and participate in business
matching activities where they can network and form partnerships. In 2021, supported by Indonesia’s Ministry of
Cooperatives and Micro, Small and Medium Enterprises, Kulaku was chosen to promote the country’s coconut
products at the Indonesia Business Forum at the World Expo 2020 in Dubai.
Participation in international fora further provides Kulaku with the connections it needs to grow its business. Through
its engagement with UNDP, the social enterprise was selected during Youth Co:Lab 2020 to represent Indonesia in
Youth Co:Lab Asia Pacific Summit - the largest youth-led social entrepreneurship movement in the region.98
96 Kulaku. (2021). https://kulakuindonesia.com/

97 Information drawn from a focus group discussion with youth social entrepreneurs, 30 October 2021
98 UNDP Indonesia. Youth entrepreneurs fast-tracking SDGs agenda during the pandemic. https://www.id.undp.org/content/indonesia/en/home/presscenter/articles/2021/Youth-entrepreneurs.html
Interlinking key players in youth social entrepreneurship ecosystem
Lastly, an integrated ecosystem offers many advantages for youth social entrepreneurs. Despite nascent
government support in several G20 countries, some level of activity and supporting organizations do exist for the
benefit of youth social entrepreneurs. Given young people’s lack of business experience, developing social
connections in the early stages of the business is essential as youth social entrepreneurs transition from school to
the working world. As youth social entrepreneurs start to develop their business ideas, they will need role models
and mentors who will honestly tell them whether their business is realistic and is creating impact. In this aspect,
digital literacy and access to digital infrastructure such as the internet can play a crucial role in facilitating young
people’s access to information, consumers, and ecosystem support.99
The availability of support structures is especially important for those who are not well-connected and
who reside outside of the major cities. Since many young people identify with a locality, building and
strengthening local and regional social entrepreneurship ecosystems will bring information and resources closer to
them. An integrated ecosystem can enable them to access communities for learning opportunities and mutual
assistance.100 A more proactive approach by governments to engage other key players and strengthen their
interlinkages will help youth-led social enterprises to access the necessary resources at all stages of their
business.
Table B.2.4
Key players in a social entrepreneurship ecosystem101
Organizations that support youth social entrepreneurs:

• Enablers (ecosystem builders, incubators, accelerators, and capacity builders)
• Impact Investors and Financiers (impact investment, venture capital, peer-to-peer lending platforms, and
crowdfunding platforms)
• Business Support Organizations (services such as accounting, legal, and media support)
• Policymakers (government bodies)
• Educational Institutions (higher education, secondary schools, and community youth programs)
“I hope to see more involvement of the private sector in government discussions on social
entrepreneurship. Hopefully there is a policy shift and changes that will improve the ecosystem. It is best
to not reinvent the wheel - there are players who have done their part to build the ecosystem. All that’s left
to do now is alignment.”
- William Hendradjaja, Social Innovation Accelerator Program
99 Information drawn from focus group discussion with youth social entrepreneurs on 30 October 2021.
100 Department of Economic and Social A airs of the United Nations Secretariat. (2020). The World Youth Report: Youth Social Entrepreneurship and the 2030 Agenda, https://www.un.org/
101 British Council. (2018). Developing an Inclusive and Creative Economy: The State of Social Enterprise in Indonesia, https://www.britishcouncil.org/sites/default/ les/
the_state_of_social_enterprise_in_indonesia_british_council_web_ nal.pdf
ff
fi
fi
© Unsplash
Youth social entrepreneurship presents a hopeful outlook for the future. Although youth social entrepreneurship
is expanding in many G20 countries, the scope and speed of its activities and development vary across sectors
and geographies.102 While using more mature countries as reference points may be helpful, national strategy or
policy, as well as support initiatives and resources, are most effective when they are customized to local
conditions and sensitive to the needs of the local youth population. Bridging this gap will also require that people
living outside of the major cities are given access to information and an equal position as stakeholders in the
social enterprise sector so that they can participate actively at the local, regional, national, and international
levels.
Social enterprise should be considered an important player in our economies as we aim to achieve a more
sustainable and equitable recovery from the COVID-19 pandemic. Supporting the growth of youth social
entrepreneurship can help governments alleviate economic pressures through the creation of employment
opportunities for young people and disadvantaged groups. Further, youth social entrepreneurship holds the
potential to address social challenges outside a strictly employment-based perspective, such as gender
inequality, climate change, or civil rights and racial dicrimination. With more effective support, youth social
enterprises can continue to drive positive change and promote a more inclusive society.

C. Way Forward
Productive employment and decent work for youth, or the lack thereof, is a major economic and social issue.
Inequalities in job opportunities and income are a significant barrier to sustainable economic growth and may have
serious long-term ramifications for young people who feel left out. Job insecurity often creates or exacerbates
mental health impairment, with impacts of the COVID-19 pandemic significantly more pronounced among
vulnerable populations, including young people from ethnic minority groups, those with fewer skills and
qualifications, and those who are already struggling financially or taking on additional care responsibilities.103
The pandemic has unearthed deep-seated inequalities and left countries at a crossroads where they need to leap
forward in order to provide inclusive coverage for all young workers regardless of employment status. In the wake
of the crisis, governments of the G20 countries face an additional challenge in developing an alternative
employment pathway that takes into account the needs and desires of young people. Youth social
entrepreneurship offers a path forward not only as a means for young people to provide employment
opportunities for themselves and their communities, but also as a vehicle for them to actively participate in
addressing and tackling societal challenges.
There is tremendous potential for governments to meet their commitment to reducing youth unemployment. The
challenge is in moving beyond providing social safety nets for informal and non-standard forms of employment
and ensuring equal access to youth social entrepreneurship, to simultaneously addressing other issues plaguing
the youth labor market such as the need for better collective representation and for job opportunities for highly
educated young people. Taking an intersectional approach to account for the experiences of people who are most
marginalized in society can further deepen our understanding of the characteristics and conditions that underlie
labor market inequalities.104
For youth employment to be truly inclusive, policies seeking to provide good quality opportunities to young people
should meet the needs of all regardless of their circumstances. All young people deserve to have productive
employment and decent work, and the best possible start to their working lives.
103 OECD. (2021). Supporting young people’s mental health through the COVID-19 crisis, https://www.oecd.org/coronavirus/policy-responses/supporting-young-people-s-mental-health-through-the-
covid-19-crisis-84e143e5/
104 ILO. (2020). Global Employment Trends for Youth 2020: Technology and the future of jobs. https://www.ilo.org/wcmsp5/groups/public/---dgreports/---dcomm/---publ/documents/publication/
wcms_737648.pdf
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Digital Transformation
in the G20
The Youth’s Roles in Digital Governance

Digital Financial Awareness
Supported by
2 Y20 2022 White Paper | Digital Transformation
Acknowledgements
This white paper was produced by Indonesian Youth Diplomacy, the official chair of the 2022 Y20 Summit, with
the support of the G20 Sherpa Office at the Coordinating Ministry for Economic Affairs; the Ministry of Foreign
Affairs; the Ministry of Youth and Sports; the Ministry of Communication and Information Technology of the
Republic of Indonesia; and Bank Indonesia. The paper was drafted by Biondi Sanda Sima (Lead Researcher),
Desi Vicianna (External Researcher), Alvin Adityo (Research Staff), and supported by Tommy Aditya (Head of
Research), Thomas Noto Suoneto (Research Staff), and Gracia Paramitha (Chair of Y20 2022) in preparation for
the Y20 2022 Presidency. The research team aligns the Digital Transformation priorities with those of the G20
Working Group on Digital Economy, G20 Finance Track, and G20 Engagement Groups in Indonesia to look for
ways in which the Y20 Summit may meaningfully engage with the current discourse on cross-border data
protection and data flow, digital literacy, digital talents, connectivity and post pandemic recovery, among others.
This paper aims to dissect digital transformation on two fronts: the youth’s roles in digital governance and digital
financial awareness. It seeks to explore this research question: How should we deepen youth involvement in
digital governance and in digital financial awareness? We would like to thank our subject matter experts in digital
governance who contributed through interviews and other thoughtful discussions that helped shape this working
paper: Angus Barry (Government Digital Service, UK Government), Nadia Amalia (Cerdik Mapan), Medha Basu
(Grab), Pingkan Audrienne (Center for Indonesian Policy Studies), and Puteri Komaruddin (House of
Representatives of the Republic of Indonesia).
Having benefitted from a wealth of secondary data and analyses from multilateral organizations, such as the
OECD, the World Bank, and the United Nations, and think tanks, such as CSIS and CSIS Indonesia, the research
team has conducted a desktop research to identify key opportunities and challenges in the intersections of
digital transformation, youths, and COVID-19 in the development agenda of G20 member states.
We thank Cint, the network for digital survey-based research, for conducting in October and November 2021 a
mobile survey of 5700 young people aged 16-30 years old from nineteen G20 countries (Argentina, Australia,
Brazil, Canada, China, France, Germany, India, Indonesia, Italy, Japan, Republic of Korea, Mexico, Russia, Saudi
Arabia, South Africa, Turkey, the United Kingdom, the United States). The survey respondents were evenly split
between males and females, and between urban (Tier 1 and Tier 2 cities) and rural (Tier 3 cities and beyond). The
mobile survey required respondents to have access to a mobile device and the internet and gathered 300
respondents from each country. We are grateful to all those who participated in the survey and the related focus
group discussion, including Mitra Muda UNICEF, G20 Engagement Groups and Working Groups, whose insights
have formed the backbone of this study, which we will be referring to in this paper as “our survey”.
The views expressed in this paper are the sole responsibility of the authors. Any omissions, inaccuracies, or
errors are our own. No endorsement is implied for any commercial entity or product mentioned in this
publication.
Y20 2022 White Paper | Digital Transformation 3
Contents
Acknowledgements 02
Glossary 05
A. INTRODUCTION 06
I. Challenges 09
The widening digital divide and absence of connectivity 09
Lack of digital literacy and skills 10
Security and privacy concerns 11
Supply and demand risk factors 12
Lack of nancial literacy 13
The rise of digital currency and cryptocurrency 14
Youth engagement on digital activism 15
Inclusive decision making 16
Youth participation in “build back better” 16
Beyond convenience: linkage to development 17
Improving nancial inclusion and women participation 19
Deepening use-cases for advanced DFS uptake 19
C. WAY FORWARD 21
REFERENCES 22
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4 Y20 Summit 2022 White Paper
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Executive Summary
The advancement of digital technology affects the youth and is mostly driven by them. It has created opportunities for great
leaps of transformation in many cross-cutting areas, but also poses unprecedented risks and challenges for a subset of the
population, the marginalized communities. The COVID-19 pandemic has accelerated such transformation in both private
and public sectors, some in areas where policy frameworks are still ambiguous and nascent. Government interventions,
especially in G20 countries, are thus critical in setting examples of how governments can help. Digital Transformation (DT)
policies—governing a broad range of aspects from data privacy to payments—need to be designed to facilitate optimal
realization of transformation potential, whilst protecting losers and narrowing the digital divide. To contribute more to
recovery and sustainability, digital dividends have to be enjoyed by all.
The digital governance subtheme highlights several challenges for youth participation in orchestrating digital solutions to
such challenges as the increasing digital divide and the absence of connectivity, lack of digital literacy and skills, and the
growth of security and privacy concerns persist. If these issues are well addressed, the youth can have more opportunities
to play a significant role in promoting digital activism and movements, participating in the decision making process, and
initiating various digital-related projects to build back better.
The digital financial awareness subtheme underpins supply and demand risk factors, lack of financial literacy, and the
emergence of digital currency and cryptocurrency as challenges, and linkage to development, financial inclusion and
women participation, and deepened use-cases as opportunities. Financial inclusion facilitated by digital technology can help
reduce income inequality, boost consumption, accelerate job creation, promote investments in human capital, and enable
people, including youths, to manage risk and deal with financial shocks.
To realize these promises, however, governments around the world need to design regulatory frameworks and policy
interventions to broaden access, manage risks, and target vulnerable communities with technology adoption, and financial
and data literacy. Y20 is well positioned to design such frameworks, build consensus on common grounds, and offer sound
and practical policy recommendations to the G20 leaders, for the benefit of all, especially those who are yet to realize the
benefits of digital transformation.
Glossary
• Central Bank Digital Currency (CBDC) • Digital Financial Services (DFS)
CBDC is virtual money backed and issued by a central Digital financial services (DFS) include a wide variety of
bank. It is the digital form of a country’s fiat currency that financial services accessed and supplied via digital
is also a claim on the central bank. Rather than printing channels, such as payments, credit, savings,
money, the central bank issues electronic coins or remittances, and insurance. Mobile financial services are
accounts backed by the full faith and credit of the also included.4
government.1
• Financial Literacy
• Digital Transformation (DT) The knowledge and understanding of financial concepts
Digital Transformation refers to a process of adoption of and risks, and the skills motivation and confidence to
digital tools and methods by an organisation, typically apply such knowledge and understanding in order to
those that have either not been including the digital factor make effective decisions across a range of financial
as part of their core activities or have not kept up with the contexts.5
pace of change in digital technologies.2
• Information and Communication Technology (ICT) ICT
• Digital Governance stands for information and communication technology,
The use of Information and Communication Technologies although it is now more commonly used to refer to the
(ICTs) to promote public values through government-led integration of communication and data technologies. It is
initiatives inside the government as well as external also known as the combination of telecommunications,
collaboration among key stakeholders.3 It emphasises computers, middleware, and data systems that support,
the collaborative actions that bring together government, store, and send UC communications across systems.6
business, and society, including the youth, to solve public
problems and deliver public services aimed at increasing • International Telecommunication Union (ITU)
efficiency, transparency, sustainability and inclusiveness. The International Telecommunication Union (ITU) is the
organization within the United Nations system
• Digital Financial Awareness (DFA) responsible for information and communication
The use of digital financial services to advance financial technologies (ICTs).
inclusion. It involves the deployment of digital means to
reach financially excluded and underserved populations • Global Partnership for Financial Inclusion (GPFI)
with a range of formal financial services suited to their The Global Partnership for Financial Inclusion (GPFI) is an
needs, delivered responsibly at a cost affordable to inclusive platform for all G20 countries, interested non-
customers and sustainable for providers. G20 countries and relevant stakeholders to carry forward
work on financial inclusion, including implementation of
the G20 Financial Inclusion Action Plan endorsed at the
G20 Summit in Seoul.
1 Atlantic Council (2021), The ABCs of CBDCs, https://www.atlanticcouncil.org/cbdctracker/

2 OECD-OPSI Toolkit (2020), Digital Transformation, https://oecd-opsi.org/guide/digital-transformation/
3 Chen (2017), Managing Digital Governance: Issues, Challenges, and Solutions, New York, Routledge
4 Alliance for Financial Inclusion (2021), Digital Financial Services Working Group, https://www.a -global.org/working-groups/dfs/
5 PISA (2018), Results (Volume IV): Are Students Smart About Money? https://www.oecd.org/daf/pisa-2018-results-volume-iv-48ebd1ba-en.htm
6 Murray (2011), Cloud Network Architecture and ICT: Modern Network Architecture
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A. INTRODUCTION
The COVID-19 pandemic has deepened human dependence on remote activities, including learning,
working, and doing transactions from home. This dependence will persist and will become permanent to
many people. In the Southeast Asian context, for instance, 30 percent of current digital users were newly
onboarded during the COVID-19 pandemic, 90 percent of whom expressed a desire to continue using digital
platforms even after the pandemic subsides.7 The International Finance Corporation (IFC) suggested that
internet usage in lower-middle-income countries grew by 1.3 percent in the earlier phase of the pandemic, while
it remained stable in upper-middle-income countries. It also found that many middle-income countries, led by
China, scaled up teleconsultation uptake as the result of social restriction policies. This acclimatization to digital
mode presented us with tremendous opportunities, and also challenges.
In spite of the rapid surge in the use of teleconference, telehealth, teleedu, and other digitally enabled
technologies, a significant portion of the global population, including youths, remain disconnected. Over
3.7 billion people (equivalent to more than 50 percent of global population) are still without internet access.8 In
Indonesia, over 49 percent of the population are still offline.9 In Mexico, up to 40 percent of households do not
have access to the internet. In contrast, some other G20 member states fare better. In South Korea and
Germany, the number of households that are already connected to the internet reached 99.75 percent and 95.80
percent respectively.10 Disparity happens not only within a country but also between developed and developing
economies. Thus the digital divide has widened, as the benefits of technology are not evenly distributed.
Access to the internet is not always translated into meaningful growth and gains. In Indonesia, only three
percent of the average six to nine hours of online activities generate commercial values and only nine percent of
its digitally connected population make use of digital financial services (DFS).11 Being excluded from DFS is also
associated with lack of awareness and knowledge. World Bank estimates that 59 percent of the financially
excluded population in Indonesia never heard of the services, 45 percent did not understand its benefits, whilst
58 percent did not know how to use it.12 Due to this dismal awareness, the actual yield compared to the
prophesied benefits of digital technology has been suboptimal.
7 Bain, Google, and Temasec (2021). e-Conomy SEA 2021, https://services.google.com/fh/ les/misc/e_conomy_sea_2021_report.pdf
8 International Telecommunication Union (2020), Measuring Digital Development, Facts and Figure, https://www.itu.int/en/ITU-D/Statistics/Documents/facts/FactsFigures2020.pdf
9 World Bank (2021), Beyond Unicorns: Harnessing Digital Technologies for Inclusion in Indonesion, https://www.worldbank.org/en/country/indonesia/publication/beyond-unicorns-harnessing-
digitaltechn ologies-for-inclusion-in-indonesia
10 OECD (2021), OECD Statistics, https://stats.oecd.org
11 World Bank (2021), Beyond Unicorns: Harnessing Digital Technologies for Inclusion in Indonesion, https://www.worldbank.org/en/country/indonesia/publication/beyond-unicorns-harnessing-
digital-technologies-for-inclusion-in-indonesia
12 Ibid.
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Young people play a central role in orchestrating the emergence of digital solutions, even to the most
archaic problems. ICT sectors opened job opportunities to an estimated 55,3 million people worldwide in 2020,
not including those whose work are enabled by the digital economy. This number is expected to grow
expontentially. Based on a case study in India, firms such as Uber and its local counterparts have capitalized on
the implications of the sharing economy, with the former giving 30,000 employments to the unemployed in Tamil
Nadu and the latter establishing training programs for over 50,000 women across the nation.13 The emergence of
platforms, such as ride-hailing apps, telemedicine, and online vacation property rentals, have given rise to some
hope in solving some centuries-long complexities surrounding resource scarcity and uneven distribution.
Unfortunately, the youth are also disproportionately affected by the challenges that arise from the digital
economy and are often not involved in setting up the appropriate standards and policies that govern them.
Left unaddressed, key threats such as data leaks, talent shortage, widened digital divide, can all militate
against the development of the youth as the largest demography benefiting from the digital economy. Of
the 1.2 billion young people in the world, almost half of them are currently financially excluded due to their limited
understanding of finance. During the pandemic the managers of 42 percent of youth-led firms in the Asia Pacific
expressed fear that their business would permanently shut down because of the pandemic, mainly because of
their limited access to financing.14
The COVID-19 pandemic has been severely disrupting young lives—more than older age groups. The
closure of schools and universities, for example, has impacted more than 1.5 billion children and youths across
the world and changed how the youth live and learn during the pandemic.15 Young people rely on the school’s
innovative teaching and digital learning tools to be able to consistently access education. Unfortunately, the
digital divide in connectivity and access to technology still prevails, causing young people from less well-off
families to be deprived of digital learning and sufficient support for home learning.16 On the other hand, it is
important to highlight that young people are actually the key agents for digital transformation. They play a critical
role in accelerating digital transformation as many young people are well equipped with ICT knowledge and
expertise. If sufficiently empowered, the youth can significantly contribute to the design of relevant digital
governance initiatives, impart values to service delivery, drive change in their communities, and contribute to the
digital economy ecosystem.
Discussion pertaining to digital transformation is not new to the Y20 Summit. The previous summits—from
Y20 Summit Turkey in 2015 until Y20 Summit Italy in 2021—included relevant issues in their communiqués, such
as providing equitable access to basic technology infrastructure and internet, improving investment in ICT
infrastructures, strengthening cyber security and promoting e-Governance and Digital Government. Additionally,
the discussions took up digital financial literacy, financial regulation, and access to finance.
13 Yaraghi, Niam & Ravi, Shamika (2017), The Current and Future State of the Sharing Economy, New Delhi, Brookings Institute India. https://www.brookings.edu/wp-content/uploads/2016/12/
sharingeconomy_032017 nal.pdf
14 SDSN Youth (2020), Youth Solutions Report 2020, https://issuu.com/sdsnyouth/docs/ysr2020_r_9c277160c38968/s/11599833
15 UN (2020), Policy Brief: The Impact of COVID-19 on children, https://un.org.au/ les/2020/04/Policy-Brief-on-COVID-impact-on-Children-16-April-2020.pdf
16 Ibid.
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Table A.1. List of pertinent pointers from previous Y20 Summits

on Digital Transformation subpriorities
Y20 Summit Youth Roles in Digital Governance Digital Financial Awareness
Y20 2021 Digital Infrastructure, Digital Literacy and Competency, Financial Inclusion: (i) achieve financial literacy for all (ii) grant access
Italy Developing Digital Rights, Developing a Digital Universal to tailored financial services (microfinance, fintech, conditional cash
Credential Recognition, Basic Services. transfers).
Y20 2020 Ensure Access to opportunities and promoting an inclusive Improving financial infrastructures for access to capital by reviewing
Saudi Arabia workforce, Future of Work: Promoting Equitable Access to financial regulations and aid policies, prioritizing public private
technology, Increase Investment in Inclusive Digital cooperation, and standardizing indicators of financial inclusion and
Infrastructure. literacy
Y20 2019 Ensure free flow of data, enabled by concerted international
Japan effort, to adopt a coherent framework that protects personal -

data and consumer rights
Y20 2018 Governance of technology and data: Establish a global
Argentina assessment platform for evaluating the legal, ethical, social,

-
economic, and environmental implications of technologies
with all relevant stakeholders. Ensure equal access.
Y20 2017 Ensure Universal Digital Access, Implement Digital
Germany Education And Literacy Programs, Create An Internationally

Recognised Legal Framework For Internet Governance, -
Strengthen Cyber Security, Promote E-Governance
Technologies
Y20 2016 The ICT sector is integral to accelerating joint development. Limited access to finance inhibits young entrepreneurs from growing
China Equal provision of public services is paramount to guarantee their business, There is a need to enhance the resilience of the global
social justice, It is critical to develop Internet infrastructure financial architecture:
and governance, new technologies and big data.
Y20 2015 Recognize the empowering role of Information
Turkey Communication Technologies (ICT) and increase technology

investment, in order to bridge the digital divide and foster
entrepreneurship. We recommend G20 countries take -
advantage of new technologies and Research and
Development (R&D) to intensify job creation, prevent brain
drain, and facilitate youth access to the labor market
Drawing from some of the key gaps, delegates are advised to continue discussions from previous Y20
communiqués. Indonesia’s 2022 Y20 invites delegates to focus on the roles of the youth in the digital
governance subpriority. This includes deliberations on expanding connectivity and removing barriers to reaching
the last-mile coverage; creating a mechanism to nurture digital talents and to rectify the labor supply-demand
mismatch; strengthening resilience to improve data protection and privacy; promoting meaningful and forward-
looking services, such as telemedicine; and improving literacy as a way of tackling misinformation. The second
subpriority focuses on raising the uptake of digital financial awareness. This includes improving access in
underserved areas whilst advancing financial and digital literacy; fostering trust to deepen use cases, such as in
remittance, insurance, microloans; exploring ways to harmonize—for example by the implementation of secure
data sharing protocols, e-KYC (Know Your Customer) and Digital ID—and safeguard digital financial data to
better target social assistance programs; proactively targeting inclusion, especially to empower youth and
women; and anticipating risks and seizing opportunities in the deepening of digital currency and cryptocurrency.
I. Challenges
The widening digital divide and absence of connectivity
Connectivity remains a challenge for most of the youth. The United Nations Children’s Fund (UNICEF) and the
International Telecommunication Union (ITU) have emphasized that while over half of the world population use the
internet, 63 percent of youths (aged 15-24 years) or nearly 760 millions young people do not have internet access
at home and remain offline.17 Certain population groups such as people living in rural areas, persons with
disabilities, young people and children, women and girls are often excluded from digital development
opportunities.18
As depicted in Graph B.1.1, our recent survey shows that 61 percent of young people have issues with
internet connectivity, including slow and unstable internet connection and expensive access to the
internet. This critical situation undermines the potential for young people to succeed in school, work and life in an
increasingly digital world. Without proper intervention, there will be so many young people who are left out of
participating in digital governance. Those young people who are excluded from the digital world will suffer from
short, medium or even long term social and economic problems. There may even be a generational effect since
most interactions and public services such as education, work, healthcare, public information dissemination are
delivered digitally.
Digital Transformation - Issues with internet connectivity
I have no issue with

internet connectivity 39%
The speed is too slow 23%
The price is prohibitive 21%
I have unstable
15%
61%
acces to internet
I have no acces to
internet at all 2%
of young people have issues with
internet connectivity, including slow
I have issues with internet and unstable internet connection and
connectivity ( ID only) 1%
expensive access to the internet
Graph B.1.1 Issues with internet connectivity for G20 youth
17 UNICEF and ITU (2020), How many children and young people have internet access at home? Estimating digital connectivity during the COVID-19 pandemic
18 World Bank et al. (2020), Digital Development Joint Action Plan and Call for Action: COVID-19 Crisis Response, https://www3.weforum.org/docs/
WEF_Digital_Development_Joint_Action_Plan_Call_for_Action_report_2020.pdf
Lack of digital literacy and skills
Youth participation in digital governance is hampered by their lack of digital skills and the ability to
integrate and utilize digital technologies into their everyday life in meaningful ways. Many young people
are not able to access government digital services because of their lack of IT skills. An ITU report shows that in
40 percent of countries, less than 40 percent of individuals reported having carried out one of the activities that
require basic digital skills in the previous three months.19 In the European Union, for example, although internet
penetration is high, 44 percent of Europeans do not have basic skills in using digital tools or an adequate level of
critical thinking to use those digital technologies.20 This shows a potential gap for digital skills and knowledge.
The youth must be provided with the skills and opportunities to advance their vision of a connected
future. This means not only hard skills such as mastery of digital devices and software programs, coding, data
mining and analysis, but also the soft skills competencies to communicate and work with others using digital
technologies.21 However, while digital technologies are spreading rapidly among the youth and they are often
considered ‘digital natives’, there is a mismatch between the skills required by industry and the skills acquired
through education, which poses an ongoing challenge for youth employment. According to the ITU, the majority
of the youth may not actually have adequate job-relevant digital skills to fill vacancies. This is because some
schools do not provide digital training, and even when they do, such training may not be compulsory. The
following graph outlines top digital skills currently in demand across G20 member states, based on our recent
survey. According to a survey by PwC, 74 percent of CEOs said they were concerned about the availability of
the right key skills in the talent pool, including skills that help people thrive in the digital world.22 This is a cause
for concern especially in countries with a disproportionately large younger population: they have to massively
build digital-age skills among those about to enter the workforce or else face massive unemployment.23
Digital Transformation - Digital skillset for future readiness*
Software development 40%

Security 39%
Data 36%
Communications 32%
Arti cal Intelligence 28%
User research
G20 youths feel that
18%
software development,
Design 17%
security and data are the
Internet of Things 13% top three required digital
Robotics 10%
skills for future readiness
Others 4% *) respondents allowed multiple responses
Graph B.1.2 Digital skills required for future readiness by G20 youth
19 ITU (2021), Digital Inclusion of Youth, https://www.itu.int/en/mediacentre/backgrounders/Pages/digital-inclusion-of-youth.aspx

20 Verke and EYWC (2019), Digitalisation and Youth Work, https://entk.ee/wp-content/uploads/2019/02/Digitalisation-and-youth-work.pdf
21 Ibid.
22 PWC (2020), Talent Trends 2020, Upskilling: Building Con dence in an Uncertain World, https://www.pwc.com/gx/en/ceo-survey/2020/trends/pwc-talent-trends-2020.pdf
23 Ibid.
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Security and privacy concerns
The rise of digital governance also raises important concerns about how data-driven innovation
potentially risks breach of personal data and privacy. In discussing digital governance, there are power and
information asymmetries between individual users including the youth - and digital service providers. Users have
very limited understanding of the value of their data and they have no control over who ends up using these
data. Digital platforms may trigger cases involving information leaks, misinformation, infringement of personal
security, online harassment, and cyberbullying. In those cases people are often attacked based on their identity
in terms of gender, race or ethnicity.
Most youths are also concerned about privacy, especially the protection of their personal information.
Our recent survey shows that 64 percent of young people have anxiety about their personal data security on
digital platforms. Issues such as datafication of individuals, interpersonal privacy, institutional privacy, and
commercial privacy are critical and should be addressed to make the internet a safer space for everybody,
including the youth. If not effectively addressed, the concern on security and privacy may hinder youth
involvement in digital governance.
Digital Transformation - Anxiety about personal data security on digital platforms
64%
24%
12%
Yes No Unsure
Graph B.1.3. Anxiety about personal data security on digital platforms amongst G20 youth
Financial services emerged as one of the leading sectors during the pandemic. In the Southeast Asian
context, at least 80 percent of internet users have used digital payment to make online purchases.24 Albeit there
are similar encouraging trends in other regions, the digital economy is still foreign to a significant part of the
global population. This is especially true in developing countries,25 where people rely on hard cash to make
payments, receive income, and save “under the mattress”. This portion of the population are generally excluded
from the financial system and are yet to enjoy the benefits offered by digital payment. They endure increased
transaction costs, security and safety issues, and may unknowingly abet money laundering and corruption, and
even exacerbate wealth inequality.
24e-Conomy (2021), Roaring 20s: The SEA Digital Decade, https://services.google.com/fh/ les/misc/e_conomy_sea_2021_report.pdf
25In developing countries, about 2.5 billion people rely on cash to conduct business transactions; according to CSIS (2021), Developing Inclusive Digital Payment Systems, https://www.csis.org/
analysis/developing-inclusive-digital-payment-systems
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Supply and demand risk factors
Although it is clear that digital financial services benefit all individuals, youths are likely to be perceived as
higher risk by financial institutions. Their inability to prove their credit worthiness has created persistent supply
and demand constraints for youths in accessing financial services. These risk factors can be classified into two
categories, according to the MicroSave assessment:26 supply and demand risk factors.
On the supply side are the following:
1) Micro in size and operates in the informal sector,
2) Absence of collateral security,
3) Limited focus and attention to cater to the needs of the youth,
4) High transaction costs,
5) Lack of reliable information about financial management.
On the demand side, significant barriers include lack of trust and capacity on the part of customers as well as
the following:27
1) Limited experience in formal financial services,
2) Reluctance to access finance from formal channels,
3) Limited financial literacy and awareness,
4) Lack of adequate collateral,
5) Inability to meet requirements of minimum age, proof of identity, and employment status.
Apart from the barriers cited in the two lists above, there are other persistent challenges, including reliability of
services, interoperability across systems, and lack of infrastructure, especially in poorer communities where
direct interventions are most needed. Diminishing trust is also triggered not just by frequent data leaks and
cyberattacks targeting government databases, but also by occasional unreliable services and downtime not only
by smaller startups, but also by big industry players.
© Unsplash
26 MicroSave (2020), Why should financial institutions focus on youth?, https://www.microsave.net/2020/09/04/why-should-financial-institutions-focus-on-youth/

27 To foster trust and to ameliorate customer experience, users are required to have a basic understanding of how to intuitively navigate around the platform and must feel at ease with the payment process.
© Unsplash
Lack of financial literacy
Without adequate financial literacy it is hardly possible to attain financial inclusion. In the era of digital
revolution in financial industries, the youth can have easier access to a wide range of digital financial services,
such as online banking, digital payment, money transfer services, insurance products, credit, and retirement
benefits. However, financial literacy remains low and challenging among the youth in many countries. Youths in
countries with developed financial markets may face challenges related to the use of higher cost and higher risk
financial products, or related to managing money and planning and saving for the future.28 On the other hand,
youths in countries with less developed financial markets usually have limited understanding of digital financial
services and financial training are given only by the traditional brick and mortar institutions. In both cases, there
is a gap in the financial education of young people that needs to be addressed.
Lack of financial literacy has led to devastating outcomes for young adults. Youths without strong financial
literacy are more likely to have low credit scores and other financial problems. They are encouraged to use
credits and fall into debt, while they live paycheck to paycheck, not saving enough for harder times. In fact,
industry research in the US shows that 78 percent of adults live paycheck to paycheck and more than 1 in 4
adults do not set aside any savings each month.29 Such financial hardship became clearly evident during the
COVID-19 pandemic when many individuals, including youths, were unprepared and did not have adequate
financial savings to cushion the impact of sudden unemployment and business closure. This lack of awareness
has also been exploited by shark loan providers, offering easier access to quick cash with little collateral and
credit assessment, but with high interest rates, that potentially lead to future cycles of debt entrapment.
OECD (2020), Advancing the Digital Financial Inclusion of Youth, https://www.oecd.org/ nance/advancing-the-digital- nancial-inclusion-of-youth.pdf
28
CareerBulder (2017), Living Paycheck to Paycheck is a Way of Life for Majority of U.S. Workers https://press.careerbuilder.com/2017-08-24-Living-Paycheck-to-Paycheck-is-a-Way-of-Life-for-
29
Majority-of-U-S-Workers-According-to-New-CareerBuilder-Survey
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The rise of digital currency and cryptocurrency
In recent years, digital currency and cryptocurrency have gained significant prominence in spite of some inherent
risks and challenges. A total of 88 countries are now in various stages of preparing their own Central Bank Digital
Currency (CBDC), as seen in the map below.30 Of the G20 countries, three—China, South Korea and Saudi
Arabia—have piloted their CBDC; nine are in the development stage; and three others in the research stage.
Image B.1. Countries with their respective CBDC stages.
Digital currency offers tangible benefits and is presumed to be more efficient—compared to its cash
counterpart. It gives better access to the unbanked, improves cross border remittance and other transaction
flows, and helps keep track and halt fraudulent and illicit activities. There is a fear that such tracking could lead
to more stringent surveillance of individual transactions, which—given the low security standards in some
countries—might expose users to personal data infringement. On the other hand, informal fund transfer
mechanisms, such as Hawala31, whilst preferred for its cheaper transaction costs and convenience, are not
particularly well documented and traceable, which makes it prone to misuse, such as covering up funding for
transnational organized crimes.
CBDCs are established in direct response to the growing demand for cryptocurrencies. There are,
however, some inherent risks, which include (i) innate volatilities, (ii) fierce competition across numerous
blockchain services, (iii) vulnerability to cyberattacks, (iv) gray areas in regulatory framework across countries.
Some countries, like China, have moved ahead and banned crypto activities altogether. Indonesia’s Ulema
Council has issued a fatwa against crypto trading, designating it as a form of gambling and is therefore haram
(forbidden in Islam). Some digital services are also offered by digital banks that have no physical structures. This
also leads to fears surrounding their risk management and the safety and security standards of such banks,
especially since there are no relevant regulatory frameworks in some countries.
30 Atlantic Council (2021), Central Bank Digital Currency Tracker, https://www.atlanticcouncil.org/cbdctracker

31 The Global Development Research Center (2002), The Hawala System, https://www.gdrc.org/icm/hawala.html
II. Opportunities
Young people are considered to be enthusiastic adopters of technology and have relatively high levels of internet
use. In most countries, according to an ITU report (2008), youths are much more likely to use computers, the
internet, and mobile phones than the general population. Since young people are at the centre of innovation, there
are many opportunities in which young people could tap and contribute to the ongoing discussion on digital
governance.
Youth engagement on digital activism
The widespread use of mobile phones has made the youth more politically aware and active. Around the
world, young people have stepped up to participate in digital activism through networked social movements,
issue-oriented activism, participatory politics, among others. During the time of pandemic, for example, various
forms of digital activism were initiated by young people across countries, such as a students’ initiative in China
that raised money for medical workers, and a digital #climatestrike, which was an online strike to raise public
awareness of important climate change initiatives.32 While not all of these instances of digital activism will
immediately result in desired changes, the utilization of social media and digital platforms for activism is in itself an
important development. It enables sharing of knowledge, amplifies messages and builds movement—which in the
end might transform the community and ensure that youth voices are heard.
Table B.2.1
Youth Against Misinformation
Youth Against Misinformation is a youth-lead initiative in the United Kingdom that was established in April 2020
in response to the growth of ‘infodemic’ around COVID-19.
The COVID-19 pandemic is the first pandemic in history where digital technologies and social media are being
used on a massive scale to keep people informed and safe. However, the same technology and platforms are
also being used to disseminate fake news and misinformation that propagate fake cures, anti-vaccine attitudes
and even conspiracy theories that may put people’s health at risk.
In responding to misinformation around COVID-19, Youth Against Misinformation is working with volunteers
across the UK, and eventually in other countries, by equipping those young people with comprehensive training
on how to identify, report, and develop strategies to respond to harmful misinformation online. The trained
volunteers then track, record and report those fake news posts to social media platforms to have them
removed. As a result of this, 2,000 posts of online misinformation have been recorded and/or reported.
Source: https://restlessdevelopment.org/projects/youth-against-misinformation/
32 UNICEF (2020), Pandemic participation: Youth activism online in the COVID-19 Crisis, https://www.unicef.org/globalinsight/stories/pandemic-participation-youth-activism-online-covid-19-crisis
© Unsplash
Inclusive decision making
Many countries have now adopted a human-centred approach to designing various digital initiatives. In
COVID-19 responses, for example, some countries have promoted digital initiatives to engage young people in
supporting the government's response to COVID-19 in the form of virtual hackathons.33 These initiatives
highlight the importance of listening and responding to the complexities of issues affecting young people and
designing solutions that address their needs. Specifically in the health sector, the World Health Organization
(WHO) has developed a framework called ‘Human-centered digital health interventions’ as a guideline for
planning, developing, and implementing digital interventions to promote better health among the youth—thus
ensuring that young people are included at every stage of the process.34 The youth’s participation must also be
inclusive in the spectrum of gender, location, different abilities, socioeconomic status and others to ensure the
interventions are not skewed towards the digitally adept youths.
Youth participation in “build back better”
Around the world, youth have stepped up to reduce the COVID-19 crisis impact by initiating various
programs and projects geared to social activism. The COVID-19 crisis has proven that the young people can
be the government's partners in providing support to people’s well-being and contributing to the digital
economy. An OECD report, for example, has shown that of 90 youth organisations across 48 countries, more
than 60 percent have been running online campaigns to keep young people informed on measures to protect
themselves during the pandemic.35 They also carry out virtual activities to provide youth with support in the form
of educational programmes, employment opportunities, training, et cetera.36 In addition, more than half of these
organizations have utilized digital and online tools to provide practical advice to young people on how to deal
with problems of mental and physical health and discrimination. These initiatives have shown that, if
empowered, young people's participation in digital governance initiatives is effective in strengthening resilience.
33 OECD, Youth and COVID-19: Response Recovery and Resilience, https://read.oecd-ilibrary.org/view/?ref=134_134356-ud5kox3g26&title=Youth-and-COVID-19-Response-Recovery-and-

Resilience&_ga=2.41717986.1318325399.1637395060-158464316.1637395060
34 WHO (2020), Youth-centred digital health interventions: a framework for planning, developing and implementing solutions with and for young people
35 OECD, Youth and COVID-19: Response Recovery and Resilience, https://read.oecd-ilibrary.org/view/?ref=134_134356-ud5kox3g26&title=Youth-and-COVID-19-Response-Recovery-and-
Resilience&_ga=2.41717986.1318325399.1637395060-158464316.1637395060
36 Ibid
Table B.2.2
Celebral, an Online Mental Health Platform to Improve

Access to Treatment for Anxiety and Depression
Kyle Robertson, Co-founder and CEO of Celebral, uses his experience in accessing mental healthcare to build a
comprehensive virtual counseling and medication management model.
Though many American citizens are well aware of mental health issues, most of the people with mental health disorder
have never received treatment due to difficulties and long wait times in accessing healthcare. In addressing these issues,
Celebral utilizes digital technology to reduce wait times through automated supply and demand mapping, to track patient
outcomes through a regular live video call and symptom-based rating scales, and to match the patients with the right
counselors and therapists through the matching algorithms.
In the long term, this kind of innovation transforms the way people access mental health care and thus benefit from shorter
wait times, lower costs of care and high-quality care for depression and anxiety.
Source: https://getcerebral.com
Beyond convenience: linkage to development
The COVID-19 pandemic has accelerated digital adoption across the globe. During the pandemic, brick
and mortar industries have been compelled to adjust the way they do business to comply with social distancing
requirements. This has created winners, most especially e-commerce operators, that accommodate business
and retail transactions from home. Walmart and Amazon, two of the biggest e-commerce companies in the US,
accumulated a roaring 56 percent increase in profits compared to the pre pandemic fiscal year.37 A World Bank
study shows that merchants with contactless payment technology have increased their sales by over 10
percent compared to merchants without such technology. It has also helped them attract new costumers and
thus increased their resilience to the pandemic shock.38
Digital finance and payment offer significant benefits in terms of efficiency, speed, transparency, and
convenience. Moreover, these benefits have spillovers beyond just convenience. Between 2011 to 2014, digital
payment unlocked access for over 700 million people from developing countries. In several countries, such as
with Kenya’s M-Pesa’s case, mobile money has even paved a pathway out of extreme poverty for millions of
people.
37CSIS (2021), Developing Inclusive Digital Payment System, https://www.csis.org/analysis/developing-inclusive-digital-payment-systems

38World Bank Group (2021), Digital Payments and Business Resilience, Evidence in the Time of COVID-19, https://openknowledge.worldbank.org/bitstream/handle/10986/35613/Digital-Payments-
and-BusinessResilience-Evidence-in-the-Time-of-COVID-19.pdf?sequence=1&isAllowed=y
Improving digital infrastructure and literacy, including in digital finance, is consistent with global efforts
to create a more just, prosperous and equitable world. Two SDG subpoints coincide with this purpose.
Firstly, Goal 9.c. demands that countries “significantly increase access to information and communications
technology and strive to provide universal and affordable access to the Internet in least developed countries by
2020.” Secondly, Goal 10.c. requires pertinent stakeholders to “reduce to less than 3 percent the transaction
costs of migrant remittances and eliminate remittance corridors with costs higher than 5 percent by 2030.”
In terms of awareness, our survey shows that only 12 percent of our youth respondents have used advanced
means for digital finance and of this 12 percent only 13 percent translated their exposure to digital connectivity
into digital payments. A large part of the youth, however, has the potential to deepen digital finance uptake due
to existing bankability. However, nine percent are still left without access to conventional bank accounts, let
alone to digital payment.
Digital Transformation - Bank account ownership and usage of digital financial

services relevant to you
I have at least one bank 52%

account on my name
I have use digital nancial services for

simple but-and-sell transactions 13%
I have used digital nancial services for

12%
more andvanced usages such as credit,
I do not have acces to
Only 12 percent
bank account at all 9%
I have acces to bank account but it’s owned

by someone else (relative or a friend) 8% of youth respondents have
used advanced means for
I have not used digital nancial services
(i.e mobile payment platform) at all 5% digital nance
Graph B.2.1. Y20 Indonesia Survey on Digital Financial Service Uptake and Bankability
Improving digital awareness needs a concerted effort. Family and parents are the first touchpoint the youth
are exposed to when dealing with banking and personal financing, and are thus able to influence the financial
behavior of the youth. A rising number of digital financial applications, circles of peers and social media are also
growing in terms of their influence on the youth’s personal finance awareness. Recent PISA data39 indicate that
94 percent of students get information about money matters from their parents, confirming our survey finding
that identifies parents as the top resource for G20 youths when learning about personal finance. Considering the
severe insufficiency of financial awareness training in the education curriculum, countries must recognize the
important role of parents by integrating parenting elements in financial education programs. In addition, teachers,
and by extension, school curricula, have fallen short in terms of providing education leading to financial
awareness. This reflects a need for further direct intervention.
39 PISA (2018) Results (Volume IV): Are Students Smart About Money? https://www.oecd.org/daf/pisa-2018-results-volume-iv-48ebd1ba-en.htm
fi
fi
fi
fi
Digital Transformation - Whom do you look up to when learning about personal finance*
Parents 44%
Digital nancial
applications 26%
44%
Friends 25%
Social media
in uencers 23%
Teacher 20% of young people look up to

I don’t have anyone their parents when learning
15%
to look up to about personal finance
Others 9% *) respondents allowed multiple responses
Graph B.2.2. Y20 Indonesia Survey on Sources of Financial Awareness Influence*
Improving financial inclusion and women participation
Digital Financial Services (DFS) contributes to financial inclusion and fosters youth and women
participation in the economic mainstream. Over the long run, with democratized access and improved
literacy, DFS may unlock income potential and increase economic participation across communities. According
to Dr. Alfred Hannig, Executive Director, AFI, “Digital financial services contributed to increasing financial
inclusion of women, but in some countries, it has been disproportional. Even though access to finance for
women is rising, the gender gap is still persistent.”40 In the past seven years, DFS introduced the financial service
sector to over 240 million women. More efforts, however, are still needed to ensure the participation of over one
billion women who are yet to have exposure to formal banking mechanisms. In Indonesia, over 60 percent of
online merchants and sellers are women, enabling them to make extra income for the family, to improve
livelihood, and to boost resilience in the face of a crippling pandemic.41
Deepening use-cases for advanced DFS uptake
Digital finance has also shifted behaviours and brought about improvements in doing business. People
with access to digital services can receive quick payments and salaries. They are able to track records of
transactions in a more thoroughly documented manner, send remittances across borders, access financial
protection and insurance, and even engage in profitable investments. Governments also follow this track to
facilitate tax collection, pay for services, deliver civil servants’ remuneration, and distribute social financial
assistance, which is especially helpful to financially affected households during Covid-19 lockdowns.
Remittances could also improve financial inclusion for poorer communities. Digital technology enables faster,
cheaper, and more convenient transaction, thereby increasing the volume and frequency of transfers to relatively
poorer households and communities. Improved record-keeping of financial transactions helps tracing activities
during the pandemic and in the future may be used to help combat fraudulent and criminal activities.
40 Alliance
for Financial Inclusion (2018), Holistic approach needed for DFS to narrow the gender gap, AFI Executive Director highlights at W20 roundtable in Riyadh, https://www.a -global.org/
newsroom/news/holistic-approach-needed-for-dfs-to-narrow-the-gender-gap-a -executive-director-highlights-at-w20-roundtable-in-riyadh/
41 World Bank (2021), Beyond Unicorns: Harnessing Digital Technologies for Inclusion in Indonesia, https://www.worldbank.org/en/country/indonesia/publication/beyond-unicorns-harnessing-digital-
technologies-for-inclusion-in-indonesia
fl
fi
fi
fi
An inclusive digital payment system should feature these six characteristics: accessible, reliable, valuable,
affordable, profitable, and interoperable. In addition, digital payment systems will require the following
foundational infrastructures, as outlined by the G20 GPFI report, in order to be inclusive:42
• The electricity supply needs to be reliable. Digital payments depend on power, which is often
inaccessible in many developing countries, both in urban and rural settings.
• Having a robust information and communications technology (ICT) infrastructure is paramount.
Like electricity, mobile networks do not offer coverage in sparsely populated and rural areas,
where they are most needed to enable mobile money solutions, with appropriate voice, text
messaging, and other communication services.
• The basic payment structures—such as automated clearing houses and payment switches,
along with system interoperability—need to be in place.
• Identification infrastructure, such as reliable ID systems (mainly digital ID), can help digital
financial service providers carry out due diligence and enable access to patrons of digital
finance.
As countries advance in their digital transformation journey, governments can help by providing technical
assistance and funding in the building of physical infrastructure and ensuring an adequate supply of skills and
services. This requires investments in “hard infrastructure” (electricity, broadband connection, and 5G
technology) and “soft infrastructure” (governance, legal frameworks, talents, and service standards).
Government has to up the ante beyond connectivity, by improving interoperability and outreach to rural areas
and marginalized communities, and explore use cases in emerging technologies, such as artificial intelligence,
machine learning, internet of things, big data, and analytics in a wide array of development possibilities.
GPFI (2015), Innovative Digital Payment Mechanisms Supporting Financial Inclusion; Stocktaking Report, http://www.g20.utoronto.ca/2015/Stocktaking-of-Innovative-Digital-Payment-
42
Mechanisms-Supporting.. .%20(1).pdf
C. Way Forward
The COVID-19 pandemic has shown that now, more than ever, digital technologies could become necessary
fundamentals to equitable growth and sustainable development. While in some areas connectivity has been
improved, the issues surrounding digital divide, lack of digital literacy and digital privacy remain a challenge for so
many citizens in the world, including young people.
Since young people are both beneficiaries and drivers of digital transformation, recognising the roles and the
needs of youth in the digital environment is essential. As G20 Digital Ministers have agreed in Italy, all countries
should encourage and commit to close the digital divide by promoting universal and affordable access to
connectivity for all by 2025. In addition, equipping youth with the right digital literacy and skills is crucial to their
preparations for an increasingly digitally-connected society and the management of potential risks associated with
it. Young people must also be supported by governments in driving digital governance so that they could
participate in ‘build back better’ and improve the well-being of future generations.
To increase reliability and uptake, the digital payment system has to be inclusive, interoperable, secure, and is
easy to use. A common legal and regulatory framework has to effectively protect consumers and mitigate risks,
without compromising the spirit of innovation and competition. Such standards may refer to the design and
principle underpinned in existing international regimes, such as Principle 5 of the G20 High-Level Principles for
Digital Financial Inclusion, the Responsible Digital Payments Guidelines, and the UN SDGs. The G20 Summit in
Seoul launched an inclusive platform that calls for the implementation of the Financial Inclusion Action Plan and
the Global Partnership for Financial Inclusion (GPFI).43 The G20 has also adopted the Organization for Economic
Cooperation and Development International Network on Financial Education (OECD/INFE) and High-Level
Principles on National Strategies for Financial Education, which calls for a sustainable digital payment system that
is supported with efforts to improve users' awareness and literacy.
The G20’s concerted efforts at financial inclusion directly correlates with its goal of attaining strong, sustainable,
and balanced growth. Many studies have shown that participation and inclusive access to the financial system
can reduce income inequality, boost consumption, accelerate job creation, promote investments in human capital,
and enable poor people to manage risk and deal with financial shocks.44
Delegates are invited to think through, discuss, and suggest concrete action plans to overcome present
challenges, to mitigate future risks, and to deepen the youth’s roles in digital governance whilst improving
inclusive digital financial awareness. Delegates may also brainstorm and recommend possible future frameworks
and potential risk governance on emerging technology, such as Artifical Intelligence, Machine Learning, Internet of
Things, Non-fungible Token, Blockchain, Metaverse, Augmented and Virtual Reality, and other such development
in relations to future transformation and governance. Such recommendations have to be politically feasible and
practically executable to enable greater policy adoption and implementation by the delegates’ respective
governments
43GPFI (2021), About GPFI, https://www.gp .org/about-gp

44G20Australian Presidency (2014), The opportunities of digitizing payments, https://documents1.worldbank.org/curated/en/188451468336589650/pdf/
903050WP0REPLACEMENT0Box385358B00PUBLIC0.pdf
fi
f
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Sustainable and Livable
Planet in the G20
Safeguarding Natural Capital

Circular Economy based on Sustainable Production and Consumption
Supported by
2 Y20 2022 White Paper | Sustainable and Livable Planet
Acknowledgements
This white paper was produced by Indonesian Youth Diplomacy, the official chair of the 2022 Y20
Summit, with the support of the G20 Sherpa Office at the Coordinating Ministry for Economic Affairs;
the Ministry of Foreign Affairs; the Ministry of Youth and Sports; and the Ministry of Manpower of the
Republic of Indonesia. The paper was drafted by Hanny Chrysolite (Lead Researcher), Shita Pina
Saphira (External Researcher), Nabilla Gunawan (External Researcher), Muhammad Maulana (Research
Staff), and supported by Tommy Aditya (Head of Research), Thomas Noto Suoneto (Research Staff),
and Gracia Paramitha (Chair of Y20 2022) in preparation for the Y20 2022 Presidency. The topic of
Sustainable and Livable Planet is a priority area of the Y20 2022 Summit, which aligns well with the G20
Working Group on Energy Transition and Climate Sustainability and G20 Engagement Groups in
Indonesia. This paper is part of the efforts to meaningfully include youths’ perspectives in the current
discourses around ways to safeguard natural capital and promote the circular economy, among others.
We would like to thank the many people who contributed through interviews, workshops, and other
thoughtful discussions that helped shape this working paper, including (listed in the order of
engagement): Mitra Muda UNICEF, Caroline Dea Tasirin (Wildlife Conservation Society), Dr. Elle
Wibisono (U.S. Dept. of Fishery), Nanda Noor, Kirana Agustina, Muis Fajar (World Resources Institute),
Nadia Putri (Global Biodiversity Youth Network), Energy and Climate Engagement Working Group (U20,
C20, T20, S20, Ministry of Energy), and Indigenous Group Network (Michelin Sallata (Barisan Pemuda
Adat Nusantara), Michael Charles (Diné, a citizen of the Navajo Nation), Rajesh Dama (Bhil Tribe),
Deepali Dungdung (Jawaharlal Nehru University), Josefa Cariño Tauli (Ibaloi-Kankanaey Igorot
indigenous youth).
We thank Cint, the network for digital survey-based research, for conducting in October and November
2021 a mobile survey of 5700 young people aged 16-30 years old from nineteen G20 countries
(Argentina, Australia, Brazil, Canada, China, France, Germany, India, Indonesia, Italy, Japan, Republic of
Korea, Mexico, Russia, Saudi Arabia, South Africa, Turkey, the United Kingdom, the United States). The
survey respondents were evenly split between males and females, and between urban (Tier 1 and Tier 2
cities) and rural (Tier 3 cities and beyond). The mobile survey required respondents to have access to a
mobile device and the internet and gathered around 300 respondents from each country.
The views contained in this paper are the sole responsibility of the authors. Any omissions,
inaccuracies, or errors are our own. No endorsement is implied for any commercial entity or product
mentioned in this publication.
Y20 2022 White Paper | Sustainable and Livable Planet 3
Contents
Acknowledgements 02
Glossary 05
A. INTRODUCTION 06
Urgency of a sustainable and livable planet 06
Why is this issue relevant to youths? 10
Objective of this white paper 12
I. Challenges 13
Our resource overuse 13
Our excessive waste generation 13
A nature-positive growth 16
A circular economy 17
G20’s role in creating a nature-positive and circular economy 17
Youth’s role in creating a nature-positive and circular economy 19
C. WAY FORWARD 22
REFERENCES 23
Executive
Summary
A sustainable and livable Planet Earth is an existential issue to all of
us. We are now in the midst of an array of crises in which our
planetary systems are being strained to near breaking point. This
issue is especially relevant for youths as they continue to inhabit an
increasingly uncertain planet long after older generations have
passed. Youths therefore have the greatest stake in these planetary
crises.
Human activities are the main cause of the planetary crises. We are
overexploiting the Earth’s resources and we are dumping waste
excessively on our planet. Not only does this way of life bring about
resource scarcity and pollution, it also increases inequality, as many
marginalized communities bear the brunt of the devastating
impacts of the crises. We can no longer afford this way of living.
We need to radically transform our economy into one that puts

nature at the center and embraces a circular economy model. We
need to protect the natural resources we still have and shift to an
economy that (1) eliminates waste and pollution, (2) keeps materials
in use for as long as possible, and (3) regenerates natural systems.
Such economic transformation needs to be inclusive and just.
The G20 countries have a key role to play in addressing the crises.
The G20 is well placed to give rise to such transformation by
shifting to a nature-positive and circular economy within individual
member countries as well as in cooperation with other countries
within the Group. The G20 countries can also partner with young
© Unsplash
people who are themselves important agents of change with
various potential roles beyond advocacy. Young people should be
empowered, considered, and included in decision-making as well
as solutions in creating a safe, inclusive, sustainable and livable
planet for all.
Glossary
• 2 degrees Celsius: A threshold or a limit in temperature increase, • Frontline communities: People who are impacted first and worst
compared to pre-industrial levels, in order to check global warming by the interlinked crises of planetary resources and the linear and
and the most catastrophic impacts of climate change. The 2 extractive economy. Frontline communities include indigenous
degrees Celsius target was set by the Paris Agreement, which was peoples and local communities.
adopted by 196 countries in December 2015.
• Global Commons: The resources that all human beings need to
• Biodiversity: Refers to the overall variety of life on Earth, including survive, thrive and prosper.These resources include the atmosphere
animals, plants, fungi and microorganisms, as well as the and the land, the ocean and the ice sheets, a stable climate and
ecosystems they form and the habitats in which they live. Biological abundant biodiversity, the forests, the gigantic flows of carbon,
diversity includes species diversity (the variety of species), genetic nitrogen, water and phosphorus and more (definition taken from the
diversity (the variety of genes contained in plants, animals, fungi Global Commons Alliance).
and microorganisms) and ecosystems diversity (all the different
habitats that exist). All of these species and organisms work • Linear economy: An economy based on ‘take-make-dispose.’ In
together to maintain balance and support life. such an economy, materials flow in a straight line —from the
extraction of finite, natural resources, via manufacturing, to
• Circular economy: An economic system that is designed to keep overconsumption, and eventually— landfill.
products and materials in use as long as possible, and to gradually
decrease the extraction of finite resources and the production of • Natural capital: The stock of renewable and non-renewable natural
waste and pollution, thus eventually allowing natural systems to resources (e.g. plants, animals, air, water, soils, minerals) that
regenerate. Such an economy is in contrast to our current linear combine to yield a flow of benefits to people (definition taken from
economy. the Natural Capital Protocol).
• Earth systems: Refers to the Earth’s interacting physical, chemical • Nature-positive growth / economy: A new growth or development
and biological processes. In this white paper, Earth systems refers paradigm that halts and reverses nature loss. A nature-positive
to the nine systemic processes within the planetary boundary growth enhances the resilience of our planet.
framework: climate change, biogeochemical (nitrogen and
phosphorus) flows, land-systems change, freshwater use, aerosol • Planetary boundaries: A framework designed to define a safe
loading, ozone depletion, ocean acidification, and loss of biosphere operating space for humanity.
integrity.
• Paris Agreement: The Paris Agreement is a legally binding
• Ecosystems: A dynamic complex of plant, animal and organism international treaty on climate change. It was adopted by 196
communities and their non-living environment interacting as a Parties at COP 21 in Paris, on 12 December 2015 and entered into
functional unit (definition set forth within the 1992 Convention on force on 4 November 2016. The goal is to limit global warming to
Biological Diversity). well below 2 degrees, preferably to 1.5 degrees Celsius, compared
to pre-industrial levels.
• Ecosystem services: The benefits that people derive from
ecosystems. These include provisioning services such as food and • Social capital: The network of relationships among people who live
water; regulating services such as regulation of floods, drought, and work in a particular society, enabling that society to function
land degradation and disease; supporting services such as soil effectively.
formation and nutrient cycling; and cultural services such as
recreational, spriritual, religious, and other non-material benefits • Social safety nets: Private or public mechanisms designed to
(definition taken from the Millennium Ecosystem Assessment). support individuals and families to maintain minimum consumption
standards. Social safety net programs protect families from the
impact of economic shocks, natural disasters, and other crises.
A. Introduction
Urgency of a sustainable and livable planet
Our planet has supported our lives. As humans, we have been lucky. For many millennia, we have been living
on a relatively stable and resilient planet that has enabled human civilizations to flourish. Our dependency on the
Earth cannot be understated; we are reliant on nature for most aspects in our daily lives, such as our food
production, our water supply and the various materials we consume. This supply of services we derive from
nature, or ecosystem services, has been sustained by complex Earth systems working in a delicate balance.
These systems keep our planet in a relatively stable state and ensure stable conditions enabling civilizations to
form and prosper.
However, scientists warn that our planetary systems are being strained and stretched to a breaking point.
We see it in our news, planetary crises such as weather extremes (heatwaves, flood, droughts) are becoming
more intense and more frequent, impacting lives directly in every corner of the planet. These events are no
longer a standalone event indicative of an unlucky year, but part of an intensifying trend of a planet out of
balance.
Source: recent headlines from New York Times 1, Al Jazeera 2, and scienti c papers 3.
We do not know how long we can keep pushing these key systems before combined pressures lead to
irreversible change and harm. A framework called the Nine Planetary Boundaries outlines limits beyond
which we cannot push Earth Systems without putting our societies at risk. Humanity already exists outside the
safe operating space for at least four of the nine boundaries: climate change, biodiversity, land system, and
biogeochemical flows (nitrogen and phosphorus imbalance).4 Experts warn that these limits are estimates; we
do not know how long we can keep pushing these key Planetary Boundaries before combined pressures lead
to irreversible change and catastrophe.
1 Austen, Ian and Vjosa Isai. "Vancouver Is Marooned by Flooding and Besieged Again by Climate Change”. The New York Times. Nov 21, 2021. http://www.nytimes.com/2013/07/14/books/review/the-boy-
who-loved-math-and-on-a-beam-of-light.html?ref=books&_r=0
2 Psaropoulous, John. "Greece: After fires, experts sound alarm over grim climate future”. Al Jazeera. Sep 29, 2021. https://www.aljazeera.com/news/2021/9/29/in-greece-experts-sound-alarm-over-grim-
climate-future
3 Leite-Filho, A.T., et al. Deforestation reduces rainfall and agricultural revenues in the Brazilian Amazon. 2021. https://doi.org/10.1038/s41467-021-22840-7
4 Ste
fi
Other Youth Surveys
Sources:
1. BBC Newsround Survey, 2020
2. Amnesty International Future of Humanity Survey, 2019
What do young people think about Government’s role

the planet?
Disagree
13%
73% 64%
Agree
of young people are worried don’t believe people in power are

about the state of the planet listening to them enough when 63%
right now they do talk about it.
Climate change was most commonly cited as one believe that governments should take
of the most important issues facing the world from the wellbeing of their citizens more
a list of 23 major issues (41%) (2). seriously than economy growth
Youth Communiqué
Several youth initiatives have set out an official statement or communiques, outlining youths’ demands for planetary
actions. These communiques show how youths care about the issue. Several communiques that have been developed
in recent years:
Global Youth Biodiversity Network, Position Paper, 2021: calling for a just, implementable, and impactful
post-2020 global biodiversity framework with three key priorities: Intergenerational Equity & Full and
Effective Participation of Youth, Transformative Education, Rights-based Approaches for People & Nature.
Youth in Landscapes, Open Letter from Youth, 2021: Calling on governments to legislate for greater
transparency, calling on all actors to prioritize of transformative education, inclusion and transformative
action.
Y20 2021 Communiqué: Every year young leaders from G20 countries create communique urging G20
leaders to uphold intergenerational and intersectional justice and drive systematic changes for inclusive
climate action and sustainable development.
Objective of this white paper


“By 2050, with a projected increased global population of 9.6 billion, we would need the equivalent of
almost three planets worth of resources to sustain our way of living, if our current consumption and
production patterns remain the same11” (UNEP, 2011)
I. Challenges
We can no longer afford our current economic system. It is becoming clearer that our planet cannot
continuously support humanity’s present way of living. Our demands for the goods and services far exceed the
capacity of nature.12 Our current economy sees us take resources from the ground to make products, which we
use, and when we no longer want them, we throw them away. In the current economic system, we TAKE, we
MAKE, and we DISPOSE. We call this a linear economy (See Box 3), where materials flow in a straight line —from
the extraction of finite, natural resources, via manufacturing, to overconsumption, and eventually— landfill.
However, these patterns cannot go on forever.
Our resource overuse
Earth’s natural resources cannot keep up with our economic system’s demand. The problem is we are
consuming more resources than our planet can produce. Earth Overshoot Day is a good indicator of this
phenomenon. Each year, Earth Overshoot Day marks the day when humanity’s demand for natural resources and
services exceeds the amount that Earth can generate in the same year. In 2019, for example, it took us less than
seven months to consume all the resources the planet could both regenerate and absorb.13 If our resource
overconsumption continues, we will face resource scarcity, which will lead to the risk of world’s instability: social
tensions, famine, geopolitical conflict to fight for the resources, and even worse increased deaths.14 In a similar
estimate, our total impact on nature suggest that we would require 1.6 Earths to maintain the world’s current living
standards.15
Our excessive waste generation
Our planet cannot contain our excessive waste generation. On top of how we are taking from the planet, the
problem is also on how we are disposing our materials. Many of us were raised to use objects and then throw
them away. In our daily activities, we produce different kinds of products that affect the atmosphere, the land, the
water in which these products go into. This is pollution: any unwanted, often dangerous material that is introduced
into the environment through human activity. Pollution has severe consequences for human and environmental
health. There is a limit to the planet’s capacity to cope with resulting waste products. A great example of
uncontrolled pollution is the greenhouse gas emissions that cause the climate crisis we are facing today, or the
plastic pollution that accumulated and afflict our land, waterways, and oceans.
11 Office of the Secretary-General’s Envoy on Youth. “#YouthStats.” 2011. https://www.un.org/youthenvoy/wp-content/uploads/2015/06/YouthStatsEnvironmentandClimateChangepdf2.pdf

12 Dasgupta, Partha. The Economics of Biodiversity: The Dasgupta Review – Headline Messages. 2021. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/
957629/Dasgupta_Review_-_Headline_Messages.pdf
13 European Union. “Circular Economy for Youth.” 2021. https://www.dropbox.com/s/9kg9gbbdnvny2bi/CEYOU%20TOOLKIT%20IO2%20-%20PDF%20FINAL.pdf?dl=0
14 European Environment Agency. “Intensified global competition for resources.” 2015. https://www.eea.europa.eu/soer/2015/global/competition
15 Dasgupta, Partha. 2021. The Economics of Biodiversity: The Dasgupta Review – Headline Messages. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/
957629/Dasgupta_Review_-_Headline_Messages.pdf
Box 3: The “take-make-waste” Model in the Current Linear Economy
The current linear economy also increases inequality. The disadvantage of a linear economy is not only
ecological, it has also created extreme forms of inequality. The linear and extractive economy views natural
resources as commodities and often digs, burns, and dumps with no regard for the impacts on communities. To
keep up with the high demand for extraction, we are seeing troubling trends such as fluctuating prices of raw
materials, underpaid and overburdened workers, displacement of indigenous groups, messy handling of waste
in poor communities, armed conflicts and political friction due to competition for resource extraction.16 The
impact is felt most severely by the indigenous communities whose livelihood is intimately tied to their habitations
and local resources. The cruel irony is that while indigenous peoples across the globe have done little to
contribute to environmental degradation, the planetary crises disproportionately impacts their communities.
The state of our planet impacts our well-being. We need healthy ecosystems and planet to support healthy
communities and societies. Increasingly unsustainable practices place pressure on natural resources, resulting in
irreparable loss and degradation with negative consequences on our own health and well-being. The COVID-19
pandemic for example provides a strong link between planetary health and human health. Our unsustainable
activities, including exploitation of natural habitats and wildlife, are contributing to the generation and spread of
infectious diseases. The risks of pandemics have proliferated due to destruction of natural habitats. Ultimately, it
all comes full circle: how we treat our planet will determine how well or how badly nature will deal with us.
16 United Nations. “Transforming Extractive Industries for Sustainable Development.” May 2021. https://www.un.org/sites/un2.un.org/ les/sg_policy_brief_extractives.pdf
fi
II. Opportunities
A radical transformation of key economic systems will be required. We are facing a planetary emergency. To
secure a safe and just future for humanity, we need urgent action at an unprecedented scale to protect and restore
our planet’s resources and change the current linear economy. This decade is a make-or-break opportunity to
determine the trajectory of our planet and ensure our future survival. As some countries begin to focus on
rebuilding their economies from the COVID-19 impacts, due attention should be given to the relationship between
our planetary health and human health. Combating the planetary crisis requires us to rapidly transform the
systems that propel our economy, including: the food system, the energy system, the urban system, and the
production and consumption system (Box 4).
Box 4: Our Economic System and the Impacts to the Planet
Source:
1. Food Agriculture Organization. The future of food and agriculture. 2017. https://www.fao.org/3/i6583e/i6583e.pdf
2. Our world in data. Half of world’s habitable land is used for agriculture. 2019. https://ourworldindata.org/global-land-for-agriculture
3. H. Ritchie and M. Roser. "Energy". 2020. https://ourworldindata.org/energy
4. World Resources Institute (WRI). "4 Charts Explain Greenhouse Gas Emissions by Countries and Sectors". 2020. https://
www.wri.org/insights/4-charts-explain-greenhouse-gas-emissions-countries-and-sectors
5. K. Buchholz. World Economic Forum. How has the world’s urban population changed from 1950 to today?. 2020. https://
www.weforum.org/agenda/2020/11/global-continent-urban-population-urbanisation-percent/
Transformation needs to be inclusive and just to the frontline communities. The transformation should also
shift the rules to guarantee equitable redistribution of resources and power. The Climate Justice Alliance17 has
built a framework to ensure that transformation is led by the frontline communities (e.g. indigenous people, local
communities)—those who are impacted first and worst by the interlinked crises of planetary resources and the
linear and extractive economy. We need to learn to respect and work in synergy with frontline communities, since
these are experienced in the sustainable management of natural resources (See Case Study 1). A recent study has
shown that biodiversity is declining less rapidly on lands managed by indigenous communities.18
Nature-positive growth
We need to protect the nature we still have. We are in the midst of an emergency that calls for the building of a
nature-positive future – a response that puts nature at the center of our lives. Learning from the indigenous
people, we need to see nature as central to our lives. Indigenous people believe that hurting nature is hurting
ourselves.20 Nature can be conserved, restored, and used sustainably while other global goals of society are
simultaneously met. Nature-positive growth includes halting the destruction of natural ecosystems, protecting the
nature we still have, while taking steps to restore and sustainably.
Case Study 1:
What We Can Learn From Indigenous Peoples
Studies found that marine resource utilization through traditional methods and local knowledge have resulted in
stable fisheries stocks and marine conservation practices. In Indonesia, the practice of Sasi is a customary
conservation practice that prohibits the harvesting of certain natural resources in an effort to protect the quality
and population of such resources. For example, sasi for the sea usually opens around two weeks to three months
and closes for one or two years. Practiced in various coastal villages in Indonesia, it is also an effort to equally
distribute resources among local people the benefits from the surrounding natural resources. Despite its
importance in conserving marine resources, the practice has been having challenges, including violation by
outsiders. The recognition and incorporation of local knowledge into formal policy can help safeguard ecosystem
balance and marine resources sustainability.
Source: WRI Indonesia. "Sasi Laut for Marine Conservation Practices in Eastern Indonesia". 2019. https://wri-indonesia.org/en/blog/sasi-laut-marine-conservation-practices-
eastern-indonesia
17 Climate Justive Alliance. “Just Transition: A Framework for change.” https://climatejusticealliance.org/just-transition/

19 Raygorodetsky, G. “Why Traditional Knowledge Holds the Key to Climate Change.” 2011. United Nations University. https://unu.edu/publications/articles/why-traditional-knowledge-holds-the-key-
to-climate-change.html
20 Indonesian Youth Diplomacy’s Focus Group Discussion with Indigenous Groups, October 2021. Minutes of meeting and recording are available upon request.
A circular economy
We need to move from a linear economy towards a circular economy. A circular economy is designed to keep
products in use as long as possible, to gradually decrease the extraction of the Earth’s finite resources and the
production of waste and pollution, thus eventually allowing natural systems to regenerate. A circular economy is
one that (1) eliminates waste and pollution, (2) keeps material in use for as long as possible, and (3) regenerates
natural systems (See Box 5).21 A circular economy pushes us to rethink and redesign products, services, and
systems with the bigger picture in mind. A future where we zoom in on our needs while zooming out to consider
the finite nature of resources. In other words, carefully evaluating what we need to live and compare it with what is
available from our planet.
Box 5: Shifting Towards Nature-Positive and Circular Economy
G20’s role in creating a nature-positive and circular economy
G20 is a key player in the world economy and in the management of planetary resources. The G20 countries
account for 85 percent of the world’s economy, 80 percent of global greenhouse gas emissions, 80 percent of
global trade in agricultural goods, and 60 percent of the world’s agricultural land.22 Therefore, the G20 is well
placed to strike a balance between the world’s demands for economic growth and the need to ensure that such
growth does not hamper the capacity of the Earth to regenerate its exploited resources.
G20’s transition to nature-positive and circular economy is possible. As such a transition is carried out, we are
seeing action of a magnitude never seen before. At G20 Italy in 2020, the G20 Environment Ministers welcomed
the vision of “Living in Harmony with Nature” by 2050 as indicated by the UN Decade on Ecosystem Restoration
2021-2030. Some G20 members have voluntarily committed to ensuring that at least 30 percent of land and the
global ocean are conserved or protected. Several G20 countries have started to develop national strategies for
resource productivity and the circular economy. Given the benefits in the environmental, economic, and social
21 Ellen MacArthur Foundation. “What is a circular economy?” https://ellenmacarthurfoundation.org/topics/circular-economy-introduction/overview

22 Warren, B. “G20 governance of climate change through nature-based solutions.” 2020. Global Solutions Journal. https://www.global-solutions-initiative.org/press-news/g20-governance-of-
climatechange-through-nature-based-solutions-g20-research-group-brittaney-warren/
domains, there is a clear rationale for G20 countries to further pursue the transition to a more resource-efficient
and circular economy. It is estimated that a systemic transformation to a nature-friendly economy could create
395 million jobs and deliver $10.1 trillion of economic value by 2030.23
Box 6: Enabling the Transformation

To move from a linear way of consuming to a circular and nature-positive economy, we need a
combination of interventions to trigger transformations
The transition should not leave anyone behind. The G20 nature and economy agenda would be much
improved with an explicit consideration of the perspectives and rights of the frontline communities (Indigenous
Peoples and Local Communities), their understanding of ecosystems, and the development pathways that they
desire. Recognition of the expertise of Indigenous Peoples and Local Communities and their inclusion in
environmental governance often enhances their quality of life and the conditions of nature (See Case Study 1).
The G20 can facilitate the positive contributions of the Indigenous Peoples and Local Communities through
recognition of land tenure and access, the application of free, prior and informed consent, and improved
collaboration, fair and equitable sharing of benefits, and co-management arrangements with local
communities.24
The G20 can serve as a vehicle of international cooperation to promote nature-positive and circular
economies. As the 20 most influential economies, the G20 member countries form a hot spot for supply chain
improvement, where most of the demands for and supply of products are located. Hence, setting a G20 joint
commitment and target for a nature-positive and circular economy could address multiple pain points along the
value chain that will impact the majority of the world’s trade. Box 6 outlines some of the key levers to enable
transformation as well as areas where the G20 members can collaborate on. For example, international
cooperation could help close information gaps on resource efficiency and the circular economy (i.e. develop
indicators and collect data on primary and secondary material flows of existing stocks of natural resources),
while harmonizing methodologies and ensuring that standards are met. International coordination could support
the systematic mainstreaming of nature-positive and circular economy in Official Development Assistance
(ODA). To date, a relatively small share of ODA from G20 countries is earmarked for purposes of resource
efficiency or waste management. Overall, financial flows for nature has been far short of what is needed and is
an issue for many poor nations.
23 Nature4Climate. “Nature-Based Solutions (NBS) Messaging Document.” 2020. http://4fqbik2blqkb1nrebde8yxqj-wpengine.netdna-ssl.com/wp-content/uploads/2020/11/Nature4Climate_NBS-

Messaging-Framework_November-2020.pdf
24 IPBES. "Media Release: Nature's Dangerous Decline 'Unprecedented'; Species Extinction Rates 'Accelerating'." 2019. https://www.ipbes.net/news/Media-Release-Global-Assessment
G20 should partner with youths to solve planetary problems. Youths have rallied together to amplify their
voices and forge a path of reconnection with nature for a sustainable and livable future. As the generation most
affected by the planetary crisis, every year youths put forward a policy communiqué to the G20 leaders (See Box
2 and Appendix). Despite of this accommodation, the majority of young people in the G20 countries feel their
views are not well considered by the G20. As G20 summits take place in Indonesia (2021), India (2022), and Brazil
(2023), it is important that the youths’ voices be heard and that a strong partnership be forged with them, since
G20 countries boast a large number of youths. Case Study 2 gives an example of how to meaningfully include
youths in a national environmental program.
Case Study 2:
The Malawi Youth Restoration Programme
To meaningfully include youths in environmental action, youths could also be empowered as key actors in
implementing national environmental programs. The Malawi Youth Restoration Programme, for example, provides
young people with training and jobs through the protection of the environment and foster environmental
stewardship throughout the country. The $2 million programme is entirely funded through Malawi’s domestic
budget, making the country one of the first in the world to use its tax money to fund forest and landscape
restoration. Youths from both rural and urban areas receive a daily wage to plant trees, maintain firebreaks, and
practice sustainable land management techniques. The impact of the program is already tangible: in its first 18
months, it employed more than 11,000 people from nearly 500 youth groups. The commitment of the government
in including youths goes beyond tokenism, with evidenced inclusion of youths as meaningful actors in addressing
environmental issues within national planning and budgets.
Source: AFR100. “Malawi Youth Forest Restoration Programme.” 2015. https://afr100.org/sites/default/files/Malawi%20Youth%20Program%20One-Pager_Jan%2015_FINAL.pdf
Youth’s role in creating a nature-positive and circular economy
Youths embrace responsibility. During the pandemic, it has become

increasingly clear that youths are not only resilient, they are also
capable of holding themselves and others accountable.25 Youths are
not afraid to call out racism and sexism, and to shun companies and
employers whose actions conflict with their personal values. The young
45%
of youth think very often (nearly every
week) about the condition of our planet,
people of today believe in the power of individuals to create change.
among which are concerned about how
Their sense of responsibility and their drive to act apply to a wide range environmental issues will affect them
personally.
of environmental issues and and they can assume various key roles as
outlined below.
25 Deloitte. “A call for accountability and action.” 2021. https://www2.deloitte.com/content/dam/Deloitte/global/Documents/2021-deloitte-global-millennial-survey-report.pdf

1. Youths use their voices:
Youths advocate for more ambitious actions. Youths are actively seeking to influence policy and business
actions on matters that are shaping their future. They are eager to provide the necessary push to hold institutions
accountable and bring about change. In the same way, world’s youth today call for transitions to a nature-
positive and circular economy by leaders. Youths also push the older generations and institutions to promote
environmental educational experiences in the workplace and academic institutions and create meaningful
opportunities for youths to address sustainable development goals.
Case Study 3:
Reserva Youth Land Trust
When youths are given a platform and are empowered in their choices, they could make concrete change on
ground. In the world’s first entirely youth-funded nature reserved in the Choco Rainforest of Ecuador, the project
aims to empower young people through storytelling, wildlife and rainforest conservation, and also education. The
project has notably proved youth around the world could leverage financial power when given the option. The
Youth Land Trust successfully raised fund up to 178,296 USD by world youths’ support of 26 years old and
younger. The project in particular saves land that under threat of residential and commercial development, and
also land use transformation for plantations and livestock. Reserva has demonstrated the great capability of youth
financial management and its meaningful way to give impact for good.
Source: Reserva the Youth Land Trust, https://reservaylt.org/
Youths spread messages and raise awareness. Young

people are key actors in raising awareness, running educational
88%
programs, and promoting sustainable lifestyles. Young people
worldwide are nearly two times more networked than the rest of
the global population.26 Young people today have better access
to environmental information and a greater capacity to share of youths surveyed believed
information than older generations.27 A survey by UNEP they could encourage
others to take action.
revealed that 88 percent of youths surveyed believed they could
encourage others to take action.28
26 O ce of the Secretary-General’s Envoy on Youth. “#YouthStats.” 2011. https://www.un.org/youthenvoy/wp-content/uploads/2015/06/YouthStatsEnvironmentandClimateChangepdf2.pdf

27 United Nations. “World Youth Report: Youth and the 2030 Agenda for Sustainable Development.” 2018. https://www.un.org/development/desa/youth/wp-content/uploads/sites/21/2018/12/
WorldYouthReport-2030Agenda.pdf
28 UN Environment. “Global Environment Outlook – GEO-6: Healthy Planet, Healthy People.”
ffi
2. Youths take action:
Youths are involved in environmental programs. Close to half a million youth around the world have acted on
climate change through small grants programs and projects in their homes, schools and communities.29 Moreover,
they can take the initiative and monitor the environment themselves as citizen scientists to better understand the
changes happening around them. Case Study 3 is an example of how youths could even contribute financially to
forest conservation when given a chance.
Youth are conscientious consumers. Youths are at the frontline as conscientious consumers and are well aware of
the impacts of the products they purchase and thus driving demand for sustainable products. As consumers, youths
often put their wallets where their values are, initiating or terminating relationships with companies based on how
these companies treat the environment. By leveraging their social networks, young consumers have the power to
send a clear message, push and create pressures for sustainable products, change markets, and transform the
economy.
Youth as innovative producer. Youths have even harnessed their talents and capacity for innovation towards a
sustainable supply chain. They have seized the opportunity to promote behavioral change by guiding larger networks
toward lifestyles that stay within the boundaries of planetary well-being. Youth entrepreneurial business activities are
known to create both social and economic impacts in business environments despite several limiting issues and
challenges that affect their overall potential as value creators in the circular economy (See Case Study 4).
Case Study 4:
Circular Economy Venture Run by Youths

Young people have an important role to play in the transition to a circular economy. One key role is as innovative
entrepreneurs who are aware of the limits of the current economic model and ready to rethink production and consumption
habits. There are many youth circular economy initiatives taking root in many countries. One such initiative is Ecovative
Design, a biomaterial company that produces fully compostable material to replace petroleum-based plastic packaging.
Currently, Ecovative is working with Fortune 500 companies to create circular economy products ranging from plant-based
meat, biodegradable packaging, and insulation material. Ventures like Agricycle tries to tackle food waste issue while
alleviating rural poverty by manufacturing low-barrier dehydrator technology to farmer in the Global South so they can
upcycle food and agricultural byproduct into a new product that could be sold into the global market. Agricycle has been able
to divert 74,576 Kg of waste and create livelihoods for 6,787 people. One common theme essential in the success of these
initiatives is the support system to encourage young people to innovate. Both Ecovative and Agricycle was initially developed
after receiving grant support from youth initiative awards at collegiate level. Through such programs, the founders of
Ecovative and Agricycle received mentoring support and exposure to potential funders that enabled them to develop their
initiatives into a running venture.
Sources: Lemelson MIT. “Eben Bayer and Gavin Mcintyre.” Energy and Environment. https://lemelson.mit.edu/resources/eben-bayer-and-gavin-mcintyre and Ellen MacArthur
Foundation. “Upcycling food to reduce the impact of waste on biodiversity: Agricycle.” 2019. https://ellenmacarthurfoundation.org/circular-examples/upcycling-food-to-reduce-
the-impact-of-waste-on-biodiversity-agricycle
29 UNDP. “Fast Facts: Youth and Climate Change.” 2015. https://www.unep.org/news-and-stories/story/young-people-band-together-save-planet

C. Way Forward
We human beings are part of the problem as well as the solution. Since we are the cause of the
planetary problems, it is also within our hands to fix them. We must act on the basis of the urgency, the
scale of the problems, and the interconnectivity between us and our home, planet Earth. Our Earth
ecosystems are highly interdependent and have no respect for the administrative boundaries of countries.
Therefore, our planetary emergency should be seen as a unifying challenge that requires shared purpose
and cooperation, in spite of the invariable differences and competition among the major world powers.
This agenda is too important to be ignored and should be a major preoccupation, including in the G20
agenda. The world must recover together. More than anything, planetary stewardship has to be carried out
by enhancing social capital — by building trust within societies and between societies. This call for unity
and collaborative action is not naïve idealism. It is absolutely necessary if we are to ensure our survival on
this vulnerable planet.
What COVID-19 has taught us: urgency matters. The COVID-19 crisis has profound economic, social,
and ecological impacts globally. It has prompted us to rethink our relationship with the environment and
the other species on the planet. Further, COVID-19 has also shown us that early actions matter: countries
that act fast with rigorous measures can recover fast. The recovery from the COVID-19 crisis requires the
pursuit of policies that focus on the well-being of humans and other species, in a socially and
environmentally inclusive manner. And we need to do it faster and stronger. The scale of this catastrophe
could have been greatly reduced through preventive measures, greater transparency, early detection
measures, and faster emergency responses.
The youth’s contribution counts. Youths may often feel that their actions are insignificant, but actually
they can and should play a pivotal role. Youths could be agents of change by organizing collective
activities and raising awareness. Through advocacy, grassroots movements, networking, and daily
choices, youths have been able to harness the power of various communities to share knowledge and
promote actions needed for the future we want. The time has come for youths to start demanding the
future they want, the transformation the planet needs, and the support of the leaders. Youths are a
powerful generation that can invite world leaders, decision-makers, and the whole society to work
together to achieve a safe, inclusive, sustainable, and livable planet for all.
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Burke, S. E. L., Sanson, A.V., Van Hoorn, J.V. Office of the Secretary-General’s Envoy on Youth. #YouthStats.
“The Psychological Effects of Climate Change on Children.” 2018. https://
doi.org/10.1007/s11920-018-0896-9 Psaropoulous, John. "Greece: After fires, experts soun alarm over grim
climate future”. Al Jazeera. Sep 29, 2021. https://www.aljazeera.com/
Clayton, S., et al. “Mental Health and Our Changing Climate: Impacts, news/2021/9/29/in-greece-experts-sound-alarm-over-grim-climate-future
Implications, and Guidance.” 2017. Washington, D.C.: American
Psychological Association, and ecoAmerica. http://ecoamerica.org/wp- Steffen, W., et al. “Planetary Boundaries: Guiding human development on
content/uploads/2017/03/ea-apa-psych-report-web.pdf a changing planet.” Science (Express, online). 2015. [DOI:10.1126/
science.1259855]
Climate Justive Alliance. “Just Transition: A Framework for change.” 2021.
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Healthy People.” 2019. Nairobi. DOI 10.1017/9781108627146.
Dasgupta, Partha. The Economics of Biodiversity: The Dasgupta Review –
Headline Messages. 2021. https://assets.publishing.service.gov.uk/ UNDP. “Fast Facts: Youth and Climate Change.” 2015. https://
government/uploads/system/uploads/attachment_data/file/957629/ www.unep.org/news-and-stories/story/young-people-band-together-
Dasgupta_Review_-_Headline_Messages.pdf save-planet
Deloitte. “A call for accountability and aaction.” 2021. https:// United Nations. “Transforming Extractive Industries for Sustainable
www2.deloitte.com/content/dam/Deloitte/global/Documents/2021- Development.” May 2021. https://www.un.org/sites/un2.un.org/files/
deloitte-global-millennial-survey-report.pdf sg_policy_brief_extractives.pdf
Ellen MacArthur Foundation. “What is a circular economy?” https:// United Nations. “World Youth Report: Youth and the 2030 Agenda for
ellenmacarthurfoundation.org/topics/circular-economy-introduction/ Sustainable Development.” 2018. https://www.un.org/development/desa/
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conservation-practices-eastern-indonesia
APPENDIX
Y20 Summit Safeguarding Natural Capital Circular Economy
Y20 2021 Ensure resilient ecosystems and outer space Decouple economic growth from environmental degradation
Italy environments that underpin human wellbeing through and transition to a circular economy by:
safeguarding measures, namely: • Incentivizing restorative, regenerative circular design and
• Conserving at least 60% of biodiverse sites, RE100;
including 30% of land and sea areas, through • Limiting externalities through transnational product
protected areas and other area-based conservation stewardship;
strategies by 2030; • Reinjecting 30% more waste into the economy by 2050;8
• Establishing alliances with authorities to empower • Phasing-out non-renewable materials where alternatives
youth, local, and indigenous communities through exist;
Nature-based Solutions in development policies • Investing in community-based innovation and infrastructure
and green budgeting; to facilitate an inclusive and accessible global reuse market;
• Preventing the monopolization and unsustainable • Developing global binding agreements on underregulated
use of natural resources, while strengthening water pollution and waste, including plastic, food, textile, space
management frameworks. junk, fine dust, and e-waste.
Y20 2020 Protect the environment, with a better commitment to Accelerate the transition towards sustainable and resilient
Saudi Arabia international environmental legislations, and engage in food systems, which includes regenerative and climate-smart
combating illegal global wildlife trade, to protect practices, promotion of alternatives to meat consumption,
biodiversity and fight biopiracy. and facilitation of access to land for young farmers.
Y20 2019 G20 countries should address the significant issue of global
Japan waste creation by embracing the circular economy approach
to waste management prioritizing 3R (reduction, reuse and
recycling). To achieve this, G20 countries need to develop
national and corporate standardized circularity indicators that
measure and monitor the movement and reuse of by-
products. G20 countries must also commit to reducing waste
by incentivizing the private sector through regulations,
(including) bans and economic levers such as taxes,
extended producer responsibility paying particular attention
to avoidable single-use plastic and microplastic.
Y20 2018 • Move beyond the current concept of “growth“, including
Argentina GDP, by developing a standardized definition of a ‘circular
economy’, which incorporates clean energy, zero-waste
design, decreasing consumption and widespread reuse of
products and components, around which states can
develop and agree upon specific goals and targets.
• Incorporate circular economic performance into periodic
national and corporate reporting through the development
of standardized circularity indicators (i.e. KPIs) at both
national and corporate levels.
Y20 Summit Safeguarding Natural Capital Circular Economy
Y20 2017 • Waste management: Develop a comprehensive approach

Germany to waste management through the Integrated Solid Waste
Management (ISWM) model. This is through consciously
designing and manufacturing products to make the
separation, transport, and processing of waste more
efficient, leading to a circular economy;
• Agriculture: Provide support to local food producers to
promote small scale cultivation; sustainable farming
practices, such as crop rotation; and irrigation technologies,
in addition to their implementation. Reduce large-scale
livestock production and concentrate on food production
for direct human consumption for more efficient use of land
while simultaneously reducing animal emissions;
• Energy: Develop novel ways to generate, store, and utilise
sources of renewable energy such as bio-waste, wind, and
solar. Additionally, find diverse ways to integrate these
developments into products and services whilst
simultaneously assisting the development of these
technologies in developing economies; and
• Market-based solutions: Empower and employ market-
based solutions to environmental problems when
appropriate. The right to pollute has a cost. The fight
against climate change and the free market economy can
be compatible with the development of efficient market
based solutions to climate change such as trading systems,
especially carbon emission trading as well as punitive taxes
and subsidies removal.
Y20 2016 The exploitation of nature and destruction of natural
China habitats have reached dangerous levels:
• Ensuring the preservation and restoration of land
and water ecosystems, paying attention to market
mechanisms amongst other measures;
• Supporting developing countries in protecting
regional wildlife and preventing deforestation.
Diversity and Inclusion
in the G20
Inclusive Education
Youth in the Creative Economy
Supported by
2 Y20 2022 White Paper | Diversity and Inclusion
Acknowledgements
This white paper was produced by Indonesian Youth Diplomacy, the official chair of the 2022 Y20 Summit,
with the support of the G20 Sherpa Office at the Coordinating Ministry for Economic Affairs; the Ministry of
Foreign Affairs; the Ministry of Youth and Sports; the Ministry of Education; and the Ministry of Tourism and
Creative Economy of the Republic of Indonesia. The paper was drafted by Disty Winata (Lead Researcher),
Reykha Mega Pratiwi (External Researcher) and Alvin Adityo (Research Staff) and supported by Tommy Aditya
(Head of Research), Thomas Noto Suoneto (Research Staff), and Gracia Paramitha (Chair of Y20 2022) in
preparation for the Y20 2022 Presidency. The research team aligns the Diversity and Inclusion priority area
with the G20 Working Group on Education, G20 Working Group on Tourism and G20 Engagement Groups in
Indonesia with a view to looking for ways where the Y20 Summit can meaningfully engage in the current
discourse on inclusive education and youth in creative economy, among others.
We also would like to acknowledge insightful contributions by Agnese Cigliano, Alexis Saghie, Giovanna
Giuriolo and Marko Milutinovic (Eunoia Talks); Amy Shelver (UNCTAD); Becky Schutt (Crossing Borders
Education); Dwinita Larasati (Indonesia Creative Cities Network); Eliza Easton (Nesta); Filemon Yoga Adhisatya
and Muhammad Zulfikar Rakhmat (Sekolabilitas); Heather Barnabe (Fora); Moe Chiba, Christa Hardjasaputra
and Diana Setiawati (UNESCO); Tamara Richardson (PACE48); and Tracey Harjatanaya (Sultan Iskandar Muda
Foundation).
We thank Cint, the network for digital survey-based research, for conducting in October and November 2021 a
mobile survey of 5700 young people aged 16-30 years old from nineteen G20 countries (Argentina, Australia,
Brazil, Canada, China, France, Germany, India, Indonesia, Italy, Japan, Republic of Korea, Mexico, Russia,
Saudi Arabia, South Africa, Turkey, the United Kingdom, the United States). The survey respondents were
evenly split between males and females, and between urban (Tier 1 and Tier 2 cities) and rural (Tier 3 cities and
beyond). The mobile survey required respondents to have access to a mobile device and the internet and
gathered 300 respondents from each country. We are grateful to all those who participated in the survey and
the related focus group discussion, including Mitra Muda UNICEF, G20 Engagement Groups and Working
Groups, whose insights have formed the backbone of this study, which we will be referring to in this paper as
“our survey”.
The views expressed in this paper are the sole responsibility of the authors. Any omissions, inaccuracies, or
errors are our own. No endorsement is implied for any commercial entity or product mentioned in this
publication.
Y20 2022 White Paper | Diversity and Inclusion 3
Contents
Acknowledgements 02
Glossary 05
A. INTRODUCTION 07
I. Challenges 10
Traditional education is not enough to meet challenges 10

and navigate a complex world
The education disruption has a long-term impact on young people 11
The transition to remote learning and cultural and creative

12
consumption faces distributional challenges
Limited awareness of creative occupations hamper their 13
potential to foster an inclusive society
Unequal opportunities for participation and engagement for
14
young people persists
Facilitating ease of access to education 15
Providing alternative and multiple skill training pathways

15
and learning quali cations
Providing a safe space to create and collaborate 15
Mainstreaming informal decision-making opportunities for youth 18
C. WAY FORWARD 21
REFERENCES 22
fi
Executive
Summary
Around the world, inequality affects all segments of the population and is
particularly detrimental to marginalized and vulnerable groups, which are
often the youth. At the moment, the world has the largest youth generation in
history. Recent movements such as Black Lives Matter, #MeToo, and climate
protests show that young people are becoming outspoken advocates for
greater diversity and inclusion to reduce global inequality and address social,
economic, and political threats. They are also hopeful that amid the health
and economic crisis that is the COVID-19 pandemic, the G20 will address
deeper, structural drivers of the rise in inequality. Our survey of youths in G20
countries shows that three quarters of young people in the G20 believe that a
diverse and inclusive society is essential for a better and more resilient future.
This white paper focuses on two topics to help drive greater diversity and
inclusion in the G20: education and the creative economy. Focusing on
improving human capital in the largest youth generation in history can be a
powerful way of achieving social development. It can enhance the wellbeing
of individuals and communities, and enable people to realize their full
potential and to fully exercise their rights.
The COVID-19 pandemic has caused the largest education disruption in

history and has exposed the extent to which education systems were
unprepared for crises. For young people, the implications include greater risk
of dropping out of school, increased anxiety, greater vulnerability to
exploitation and, in the long term, increasingly limited job prospects and
opportunities. A transformative approach to the education system is required
to guarantee lifelong learning opportunities and universal access to quality
education. Recognition of alternative learning qualifications and providing
multiple learning pathways can help ensure that young people from all
backgrounds and socioeconomic statuses can continue developing their
human capital.
Before the pandemic, the creative economy was a growing sector with a
contribution predicted to be as high as 10 percent of the world’s GDP by
2030.1 In addition, the creative economy also fosters inclusive values by
introducing local culture to global audiences, employing young people and
members of vulnerable groups and adopting innovative ways of working.
However, lockdowns imposed during the pandemic have severely affected
this sector: being in micro-businesses, engaging in informal work practices,
and having few tangible assets put creative workers and businesses in a
fragile situation. In general, this has impacted the vibrancy of our
communities and has jeopardized the livelihoods of creative workers. Under
such circumstances, resources such as financial support, networks, and
hubs can provide creative workers with a sense of belonging and catalyze
innovation through collaboration.
Inclusion involves not only income but also all aspects of people’s wellbeing,
including an environment in which sensible decisions can be reached about
important matters. To this end, young people have demanded greater
participation in political and economic decision-making processes. Although
there has been progress in this regard over the years, it is insufficient.
Moreover, the top-down approach is still prevalent in decision-making
processes. Mainstreaming opportunities for young people to exercise
leadership and participate in decision-making processes even in informal
settings can empower them to exercise their rights.
Diversity and inclusion benefit all. In view of the theme of Indonesia’s G20
Presidency 2022, “Recover Together, Recover Stronger,” young people’s
contributions to supporting an inclusive recovery and embracing diversity in
our society has never been more urgent and important. Although the
pandemic has revealed the flaws of existing systems and exacerbated the
risks of divisions, it has presented an opportunity and an urgent call for
concrete actions, coordinated solutions, and clear frameworks to tackle
inequalities, empower the vulnerable and marginalized, and enable
sustainable growth.
© Unsplash
1 Buchoudet al. (2021), Creative Economy 2030: Inclusive and resilient Creative Economy for sustainable development and recovery. https://www.g20-insights.org/policy_briefs/creative-
economy-2030-inclusive-and-resilient-creative-eco nomy-for-sustainable-development-and-recovery/
Glossary
• Civic Engagement • Non-formal Education
Civic engagement refers to the ways in which an Non-education is an addition, alternative, and/or a
active citizen participates in the life of a community complement to formal education within the process
to improve conditions for others or to help shape of lifelong learning of individuals and is often
the community’s future.2 provided to ensure the right of access to education
for all. Non-formal education includes programs
• Creative Economy promoting adult and youth literacy and education
The creative economy consists of knowledge- for out-of-school children as well as programs on
based economic activities upon which creative life skills, work skills, and social or cultural
industries are based. It is built on the interplay development.5
between human creativity and ideas and intellectual
property, knowledge, and technology.3 • Participation
Participation refers to getting involved in, and
• Creative Industries influencing, processes, decisions and activities in
The creative industries include advertising, which the involved individuals are required to have
architecture, arts and crafts, design, fashion, film, positive attitudes, dispositions, and interest, along
video, photography, music, performing arts, with a clear belief that one can make a difference.6
publishing, research & development, software,
computer games, electronic publishing, and TV/ • Transferable Skills
radio productions. Creative industries are Transferable skills, also known as core skills, life
considered an important source of commercial and skills, twenty-first-century skills, soft skills, or socio-
cultural values and are among the most dynamic emotional skills are competencies that allow young
sectors in the world economy. They provide new people to become agile and adaptive learners and
opportunities for developing countries to leapfrog to become citizens equipped to navigate personal,
into emerging high-growth areas of the world academic, social, and economic challenges.
economy.4 Transferable skills also help crisis-affected youths to
cope with trauma and build resilience in the face of
adversity.
2 Adler, Richard P., and Judy Goggin (2005). What Do We Mean by “Civic Engagement”? Journal of Transformative Education, vol. 3, no. 3, 2005, pp. 236–253. https://journals.sagepub.com/doi/
10.1177/1541344605276792
3 UNCTAD (n.d.). Creative Economy Programme. https://unctad.org/topic/trade-analysis/creative-economy-programme
4 UNCTAD (n.d.). Creative Economy Programme. https://unctad.org/topic/trade-analysis/creative-economy-programme
5 UNESCO (2011). International Standard Classification of Education. http://uis.unesco.org/sites/default/files/documents/international-standard-classification-of-education-isced-2011-en.pdf
6 Generation Unlimited, Global Initiative on Decent Jobs for Youth (2020). Young people’s participation and civic engagement. https://www.generationunlimited.org/media/3021/file/
Action%20Guide%205:%20Young%20people%E2%80%99s%20participation%20and%20civic%20engagement.pdf
© Unsplash
A. INTRODUCTION
Today, there are 1.8 billion young people in the world. They represent the largest generation of young
people in history.8 Young people can be a powerful force for development and social and economic
transformation when provided with the skills, knowledge, and opportunities they need to thrive. One of the most
significant challenges facing the youth today is inadequate human capital investment and rising intolerance
among societies. Some countries boast a substantial youth population yet they struggle to assure universal quality
education and productive livelihoods.
Young people are among those hit hardest by the COVID-19 crisis, as available opportunities for them have
been severely reduced. Without concrete steps to help them, they are at risk of being altogether left behind.
Furthermore, vulnerable and marginalised youths9 are at a higher risk of COVID-19 and are experiencing socio-
economic fallout. The pandemic and economic recession may bring about stigmatization and discrimination
against young people, further excluding them from access to essential services and economic opportunities, such
as education and decent employment.
More than a year into the COVID-19 pandemic, over 800 million students have been affected by partial and
full school closures and 100 million additional children are at risk of falling below minimum proficiency
level in reading as a result of this health crisis.10 Such major disruption in learning and development could
wreak medium and long-term consequences on the quality of education. Meanwhile, the cultural and creative
sectors, which employ mostly youths and women, have been the hardest-hit industries during the pandemic. The
downsizing of the cultural and creative sectors can negatively impact cities and regions in terms of jobs
availability, diversity of communities, level of innovation and citizen well-being.
In a survey of young people aged 16-30 years in G20 countries, the respondents expressed the view that
inequalities occur due to a variety of reasons – from lack of access to education, limited employment
opportunities, growing racial and cultural discrimination, lack of young people’s participation in the decision-
making processes, to scarcity of access to things that matter to their lives. With issues facing today’s youth
becoming more complex and intertwined, the COVID-19 pandemic has intensified these causes of inequalities
across the G20 member states.
8 UNFPA (2014). State of World Population 2014. https://www.unfpa.org/sites/default/files/pub-pdf/EN-SWOP14-Report_FINAL-web.pdf

9 Defined as adolescent girls and young women, young migrants and refugees, youth in rural areas, indigenous and ethnic minority youth, young people with disabilities, young people living with HIV/AIDS,
young people of different sexual orientations and gender identities, and homeless youth
10 UNESCO (2021). One year into COVID: prioritizing education recovery to avoid a generational catastrophe. https://unesdoc.unesco.org/ark:/48223/pf0000376984
What do you think are major causes of inequalities in our world today?
Diversity and Inclusion - Major causes of inequalities in world today*
Di erent access to education 58%
Limited employment
opportunities 50%
Growing racial and

42%
cultural discrimination
Lack of youth participation in
decision-making processes 38%
Di erent acces to
infrastructure 38%
Lack of diversity in gender

representation 35%
Rising intolerance 33% *) respondents allowed multiple responses
In the face of these setbacks, young people are not shying away from raising their voices, demanding that
decision-makers address systemic injustice, and calling for a more inclusive action from the government
and the public. In a diverse and interconnected world, the call for inclusive action to engage people from diverse
backgrounds has never been as urgent. In fact, the survey shows that three quarters of G20 youths believe that a
diverse and inclusive society is important to achieve a sustainable COVID-19 recovery.
Do you think that having a diverse and inclusive society is important to achieve a
sustainable COVID-19 recovery?
Diversity and Inclusion - Diverse and inclusive society is important
75%
16%
9%
Yes No Unsure
“Inclusion is not the absence of exclusion; it is more than that. We need to make sure that every young person
feels that they belong, are heard and recognised in their community.”
– Tracey Harjatanaya, Sultan Iskandar Muda Foundation
ff
ff
Education and greater inclusion in diverse societies are policy priorities in the G20 agenda and a key focus
in the Y20 Engagement Group. The G20 Rome Leaders Declaration 2021 stated that addressing the adverse
consequences of the pandemic and the inequalities suffered by the most impacted, such as the youth, has
become critical to the restoration of the global economy. In addition, the Leaders in the 2021 Summit
acknowledged the role of cultural and creative professionals and businesses in fostering a resilient economy and
in safeguarding and promoting cultures.
Policy Recommendations on Diversity & Inclusion Topics from Past Y20 Summits
Y20 Summit Inclusive Education Inclusive societies & multiculturalism11
Y20 2021 Dedicate grants and implement individualized education Dedicate 0.7% of GNI by 2030 to strengthen civil society, human
Italy programmes, adopt culturally-sensitive curricula, and rights frameworks, and inclusive culture through increased
facilitate vocational training opportunities and continuous investments that prevent violent extremism, strengthen civic spaces
professionalization of educators so that all youths have for youth; promote diversity, equity and equal rights for vulnerable
digital and physical access to free and quality education by groups, and promote socio-economic integration.
2030.
Y20 2020 Use education as a tool for social cohesion and inclusion Ensure and protect the human rights of refugees, migrants,
Saudi Arabia through ensuring interaction and integration of various indigenous peoples, endangered ethnic communities, and people’s
narratives, experiences, and voices into curricula, and expression of gender and sexual identity; and provide assistance and
utilizing a human-rights based approach. the necessary funds to include them in society, and thus preserve
their cultural heritage.
Y20 2018 Recognize the specific educational requirements of all -

Argentina marginalised groups and vulnerable peoples as defined by
the United Nations Human Rights Council (2014).
Y20 2017 Ensure that educational curricula for both girls and boys
Germany include human rights & gender-sensitive education, and
essential skills for economic empowerment including
leadership, problem-solving, financial literacy, self-esteem,
digital literacy and entrepreneurial skills.
Y20 2016 Create opportunities and access for vulnerable and Recognize and address issues that reduce participation of vulnerable
China underrepresented groups to higher education and vocational groups in national economies such as discrimination in the
training through quotas, scholarships and active recruitment. workplace. This includes but is not limited to: women, people with
disabilities, migrants, refugees, indigenous peoples and ethnic and
religious minorities.
Y20 2015 Guarantee basic educational infrastructure and services,

Turkey including internet access, in conjunction with the provision of
support systems to encourage education attendance and
online cross-degrees.
Young people are social inclusion advocates, are the largest resource to economic growth, and are the ones
whose lives are ingrained with multiculturalism and diversity. How can the world empower young people today
and fulfil their potential for social development?
11 Previous Y20 discussions did not specifically cover the issue of creative economy
I. Challenges
Our rapidly changing world faces constant significant challenges, such as conflict, intolerance, and
discrimination – which further widen inequalities and inflict long-term impacts on young people. Full
participation of all of society, including young people, has never been so critical to achieving an inclusive and
equitable world. Education and the creative economy provide essential opportunities for young people to voice
out their unique opinions and be respected, to strengthen their resiliency against future crises, and to establish a
diverse and inclusive society.
The majority of our survey respondents cited universal access to quality education as the most important issue
that the G20 needs to address. Meanwhile, other important issues such as transforming the current curricula to
focus on empowering education and global issues; utilizing digital technologies in educational programs; and
promoting greater awareness of diversity and inclusion in school and community, were pointed out as also key to
the achievement of inclusive education for young people.
Which one is the most important issue in empowering inclusion in the education
system?
Diversity and Inclusion - Most important issue in empowering
inclusion in education system
Universal access to quality education 33%
Transforming the current curriculum to focus on

empowering communities and discussing global issues 19%
Making education more accesible

19%
through digital technologies
Raising more awareness on diversity and

inclusion in school and community 18%
More focus on the future of work

and skills post COVID-19 11%
Traditional education is not enough to meet challenges and navigate a complex

world.
The future of young people everywhere is being shaped by fast-changing labor markets, the rapid
development of new technologies, climate crises, conflicts, and, most recently, the COVID-19 pandemic.
The resulting economic downturn has made the challenges faced by young people more pressing, as shrinking
labor markets leave low-skilled young people with fewer choices, rendering them more vulnerable to

exploitation. Currently, education and learning systems are constrained in delivering positive outcomes for young
people and remain overly focused on providing knowledge that will not prepare them to become adaptive, agile,
and resilient members of society who are ready to meet challenges and opportunities now and in the future.
The need has never been more urgent to transform education and learning systems so that young
people, particularly those who are vulnerable and marginalized, acquire the transferable skills they need
to succeed in school, work and life.
“I believe my country has good qualities in preserving the creative economy, but if we want it to survive, there
needs to be a transition from school to work by teaching young people 21st-century skills. These skills are very
much needed and can have a big impact when developed. Our education system needs to have an effort to
support young people to find their interests from an early age and have an equitable learning experience. When
young people have the right skills in the creative economy, they will thrive and make the country proud as young
people are capable of making local products cool and attractive.”
– Andini Rizka Marietha, UNICEF Indonesia Mitra Muda
© Unsplash
The education disruption has a long-term impact on young people.
The closure of schools and universities due to the COVID-19 pandemic has affected more than 1.5 billion
children and youths12 all around the world. The disruption to learning and diminished education learning
outcomes affect young people in multiple ways. First, they are deprived of the opportunities that education
provides, opportunities with the potential to transform lives. Studies show that education provides skills that
boost incomes and help to protect from socio-economic vulnerabilities. And equitable education has a far-
reaching impact on reducing inequality by helping the poorest escape from poverty.13 Second, young students
who are at risk of dropping out of formal and informal learning systems potentially experience a more prolonged
and arduous transition into employment and gainful livelihood. Moreover, prolonged lockdowns deprive young
people of social contact, which leads to high levels of anxiety and fear.
12 UN Sustainable Development Group (2020). Policy Brief: The Impact of COVID-19 on Children. https://unsdg.un.org/sites/default/files/2020-04/160420_Covid_Children_Policy_Brief.pdf
13 UN News (2017). Millions could escape poverty by finishing secondary education, says UN cultural agency. https://news.un.org/en/story/2017/06/560162-millions-could-escape-poverty-finishing-
secondary-education-says-un-cultural#.WVGkRWXsP-Y
The transition to remote learning and cultural and creative consumption faces
distributional challenges.
The shift from conventional learning to remote and distance learning due to the COVID-19 pandemic has
led to new challenges. The transition to digital education has not been smooth for all. A digital divide in terms of
access to electronic devices and connectivity risks further amplifying the inequalities among young people. For
example, students from lower-income groups are likely to fall behind their wealthier peers who have better access
to online learning infrastructure and parental support for distance learning.14 Meanwhile, young people with
disabilities are likely to be the most affected, as many of them cannot access the special services required for
personalized learning.
“Persons with disabilities are still being seen by what they cannot do, instead of what they can do… Diversity and
inclusion sounds cliché but it’s real. Every student has dreams. Diverse and inclusive education is when we can
recognize the diversity of capability, capacity, and we all can help them achieve their dreams.”
– Filemon Yoga Adhisatya and Muhammad Zulfikar Rakhmat, Sekolabilitas
In addition to insufficient access to connectivity and devices, the lack of a cohesive study environment hampers
the effectiveness of distance learning. A study by the International Labor Organization (ILO) shows that the lack
of study space, the lack of ready materials for remote teaching, and the absence of opportunities for group work
and social contact15 have also contributed to problems in ensuring the continuity of learning.
Owing to the COVID-19 pandemic, the cultural and creative sectors are experiencing a decrease in
demand, as people reduce their consumption of cultural experiences and creative goods and services,
especially those not digitally accessible. Businesses with venue-based activities (such as the performing arts,
live music, and museum exhibitions) have seen a drop in revenue, and their business sustainability became at
risk because of mobility restrictions. Although the consumption of cultural and creative goods and services has
massively shifted to online content platforms, such increased demand has mainly accrued to the large firms in
the industry. Meanwhile, research shows that creative economy sectors employ women, minority groups, and
informal workers, particularly in low- and middle-income countries.16 The cultural and creative sectors in the
European Union engage more youth and women aged 15–29 years than any other sector.17 Reduced wages,
loss of employment, increasingly limited channels to showcase creativity, and other knock-on effects of the
COVID-19 pandemic have exposed young people’s precarious economic security and how vulnerable they are
to loss of livelihood.
14 OECD (2020). Combatting COVID-19’s effect on children. https://www.oecd.org/coronavirus/policy-responses/combatting-covid-19-s-effect-on-children-2e1f3b2f/

15 ILO (2020). Youth & COVID-19: Impact on Jobs, Education, Rights and Mental Well-being. https://www.ilo.org/global/topics/youth-employment/publications/WCMS_753026/lang--en/index.htm
16 World Bank (2020). Orange Economy: As a Driver of Jobs for Youth. https://www.s4ye.org/sites/default/files/2020-09/Jobs%20in%20the%20Orange%20Economy.pdf
17 UNESCO (2018). Strengthen your creative sectors! UNESCO and the European Union launch an international call for expertise and peer-to-peer support. https://en.unesco.org/creativity/news/strengthen-
your-creative-sectors-unesco-european-union
© Unsplash
Limited awareness of creative occupations hamper young people’s potential to

foster an inclusive society.
The level of awareness of how to pursue creative occupations is still low, and the knowledge of what
creative occupations can contribute to society is not always apparent. Our focus group discussion (FGD)
with UNICEF Mitra Muda revealed that in school, current curricula do not teach possible creative occupations.
The participants to the group discussion mentioned that they learned about creative occupations through the
internet and thereby developed a desire to pursue work in the creative economy.
Creative occupations provide greater autonomy and are contributors to the economy and to the making of an
inclusive society. Compared to people in other professions, creative workers report higher life satisfaction and
greater happiness in general.18 Over half of young people in the G20 who took part in our survey argued that
creative occupations could contribute to a more inclusive society by providing opportunities for self-expression.
In addition, other contributions such as serving as an outlet to promote different cultures and as a viable option
for employment of marginalized youth are also ways creative occupations could foster inclusive values in society.
How could creative occupations help create a more inclusive society?
Diversity and Inclusion - How could creative occupations help create a more inclusive society*
Freedom of self-expression 51%
Promotion of di erent cultures 45%
Option of employment/
42%
entrepreneurship for marginalized
Space of Collaboration
& social dialogue 37%
I don’t think they

relate at all 6% *) respondents allowed multiple responses
18 Fujiwara, D., Dolan, P., & Lawton, R. (2015). Creative Occupations and Subjective Wellbeing. Nesta Working Paper No. 15/09, 12. https://media.nesta.org.uk/documents/
creative_employment_and_subjective_wellbeing_1509_1.pdf
ff
Unequal opportunities for participation and engagement for young people persists
Young people worldwide have a fundamental right to participate and meaningfully engage in society, yet
challenges prevent them from exercising this right. According to the United Nations Convention on the Rights
of the Child, young people have the right to freely express their opinions, influence policies that impact them, and
participate in their societies.19
Young people still lack a voice and power to participate in making decisions that affect their lives and to
create positive social change in many contexts, such as the home, education, work, politics, business, and
local communities. Vulnerable and marginalized youth already face inequities in access to opportunities for civic
engagement, such as in school councils, peer-to-peer initiatives, and youth groups. This hampers their
opportunities for meaningful participation, for developing leadership skills and for influencing the decisions and
policies that affect their lives. At the community level, restrictions on movement not only reduce the ability of
young people and organizations to mobilize and support their communities but also limit their capacity to innovate
and to help communities mitigate the effects of the pandemic.
There is insufficient awareness of the need to equip young people to be civically engaged when it comes
to education. For example, quality teaching on youth participation and civic engagement in schools remains
scarce. Although teachers have tremendous influence on young people’s lives, they are not adequately trained to
use the approaches that can inculcate values, attitudes, and knowledge that empower young people for future
participation and engagement in civil society. Furthermore, the dearth of global citizenship education is one of the
major challenges to the attainment of sustainable development goal 4.7, which would impart to all learners the
right knowledge and skills to promote sustainable lifestyles, human rights, gender equality, a culture of peace and
non-violence, and appreciation of cultural diversity and its contributions to sustainable development.20
Many workers in the creative economy are not receiving innovation support. Although creativity is a
prerequisite in the industry, young creative workers have limited opportunities to hone their skills at innovation and
collaboration. Many creative businesses are built on intangible assets, such as networks of social relations, the
contributions of creative communities, and particular expertise. Moreover, because they operate with business
models that government policies do not sufficiently recognize, they find it particularly challenging to lobby for
support. Creative social enterprises focus on promoting decent work and well-being for all and are especially
concerned about providing more opportunities to empower communities and marginalized people. A study in
Indonesia has revealed that the younger the owners of an enterprise, the more likely they are to respond to the
Sustainable Development Goals. 21
19 UN Office of the High Commissioner (1990). Convention on the Rights of the Child. https://www.ohchr.org/EN/ProfessionalInterest/Pages/CRC.aspx
20 UN Statistics Division (2021). SDG Indicators: Metadata Repository. https://unstats.un.org/sdgs/metadata/files/Metadata-04-07-01.pdf
21 British Council (2020). Creative and Social Enterprise in Indonesia. https://www.britishcouncil.id/sites/default/files/dice_creative_and_social_enterprise_in_indonesia_report_en_final.pdf
II. Opportunities
The COVID-19 pandemic has put the divide between the issues and opportunities for young people in the
spotlight. However, the stark reality of the divide reveals that now is an opportune moment to ensure all young
people have the necessary skills and opportunities to succeed. Fortunately, alongside the issues exposed by the
pandemic, new means of responding to them are also emerging.
Facilitating ease of access to education.
Achieving universal access to education involves developing inclusive pedagogies, providing financial
support to those who cannot afford education, and promoting flexible legislation that focus on helping
those furthest left behind. As G20 countries host a large number of global and local migrant populations, their
education systems should move towards inclusive curricula that embrace diversity of cultures and languages to
avoid alienating those from different backgrounds. Furthermore, the provision of financial support and frameworks
to help marginalized and vulnerable youths, who otherwise cannot afford education, is a critical step towards
breaking the cycle of poverty and preparing them to integrate into the labor and economic market.
In addition, integrating non-formal education into the education system with measurable outcomes and
achievements can also bring about greater social inclusion and expedite the personal development of young
people, thereby preparing them to become agile problem solvers of present and future challenges.
Providing alternative and multiple skills training pathways and learning

qualifications
Various learning resources can be harnessed to reduce dropout risk or to guide young dropouts back to
the education system. These learning pathways should address the specific needs of young people, provide
accredited learning opportunities that enable them to improve their livelihoods, and reach out to include vulnerable
or disadvantaged groups. For teachers, training in inclusive teaching methodologies can prepare them to
effectively help students who face daunting challenges in the traditional education system.
In the case of the creative economy, alternative pathways to certification of qualifications can greatly help
many young people enter the workforce. Certification through alternative learning pathways that involve
especially trained teachers can become just as valuable as that received through formal education from an equity
position. It can form part of a broader qualification and quality assurance ecosystem. The ability to certify quality
learning and the recognition of certifications held by refugees, migrant workers, and internally displaced people
are crucial to improving inclusivity in education and work. Moreover, as most tourism sites have been shut down
during the COVID-19 pandemic, alternative means of livelihood, enabled by alternative skills training pathways,
are lifelines for local communities around these sites.
Case Study:
Kita Muda Kreatif 22
UNESCO, with support from Citi Foundation, established Kita Muda Kreatif in 2017 to promote youth
entrepreneurship by providing means of livelihood to local communities around UNESCO designated sites
and other popular tourist destinations in Indonesia. The program has provided business capacity-building
skills such as marketing, financial literacy, and business planning to over 400 young cultural entrepreneurs
aged 18–30 years. Fifty percent of the participants were female.
Learn about Kita Muda Kreatif at kitamudakreatif.com

and on Instagram @kitamudakreatif
© Kita Muda Kreatif
Providing a safe space to create and collaborate

Creative and cultural professionals and businesses argue that profit is not always the primary reason for
entering and remaining in the industry. Young people entering and remaining in the creative and cultural
businesses profess that maintaining the cultural heritage, continuing family traditions, and gaining personal
satisfaction from the exercise of their creativity remain the intrinsic drivers of their work.
Our survey results show that to succeed in creative occupations, there are four types of support that young
people in the G20 consider most helpful: access to tools and collaborative working areas to produce creative
work, financial support to start enterprises, a global network of young people in the creative economy, and
mentoring by experienced professionals.
22 Kita Muda Kreatif (2021). https://kitamudakreatif.com/

Which type of support do you think would be most helpful if you are going to
pursue a creative occupation?
Diversity and Inclusion - Helpful support to pursue creative occupation
Freedom of self-expression 26%
Promotion of di erent cultures 22%
Option of employment/entrepreneurship
20%
for marginalized
Space of Collaboration &
social dialogue 8%
I don’t think they relate at all 5%
As creative professionals often rely on intangible assets, such as expertise, networks, and reputation in
creative communities, they need collaboration to grow these assets. Therefore, a space that promotes
meaningful pathways for collaborative work is crucial for budding creative youths to grow their businesses. In
times of crises, such as the COVID-19 pandemic, the networks thus formed also help them to navigate difficult
challenges and to secure emotional support. Research shows that such networks have been an indispensable
resource for young cultural and creative workers in Indonesia, especially when navigating through the pandemic,
as they rely on these networks to gain knowledge, collaborate on projects, and even experience a sense of
solidarity and comfort.23
As a generator of innovation, the creative economy has a high tendency to experiment with new ways of
working. These include crowd-working, platform work, and project-based work as well as, new business
models, new ways of reaching audiences, and new forms of co-production. In the creative economy, hubs or
intermediaries can promote more diversity and inclusion in the projects of young people. Intermediaries such as
hubs facilitate collaboration between peoples and countries as equal partners.
Networks and safe community spaces provide youths with a sense of belonging; they are also places
where mistakes are commonplace and unremarkable and risk-taking is encouraged. Civic participation and
engagement require investment in young people’s capacities, networks, and partnerships through formal, non-
formal, and informal education and youth programs. The provision of space and opportunities to develop and
practice the skills and competencies for active leadership and citizenship is also required. Interventions could
include introducing compulsory community service or service-learning courses at schools and colleges, or to
groups of young people, particularly the disadvantaged groups, who have been compelled by circumstances to
leave formal education.
23 Beta et al. (2021). Creative economy: How young creative workers in Yogyakarta are dealing with COVID-19. The Australia-Indonesia Centre. https://minerva-access.unimelb.edu.au/bitstream/handle/
11343/281323/Creative-economy_-How-young-creative-workers-in-Yogyakarta-are-dealing-with-COVID-19-1.pdf
ff
Mainstreaming informal decision-making opportunities for youth
Creating decision-making opportunities for young people does not work with a top-down approach.
Creating opportunities for young people in civic engagement starts with moving the perspective from “for” to
“with” so that opportunities can come horizontally; for example, young people may want to participate in
decision-making simply because they know a young leader in their community. Providing a high-visibility
platform for young people to advocate for causes that matter to them and share their leadership journey could
be a powerful way to debunk the outdated beliefs on and requirements for who can be a leader.
Case Study:
Eunoia Talks
Eunoia Talks is an initiative sparking inclusive conversation, creating change to achieve the Agenda 2030, and
connecting citizens and policy-makers by informing, amplifying, empowering, and taking action. Based on the
“inform, consult, involve, collaborate (ICIC)” stakeholder engagement framework, the initiative creates bridges
between citizens and institutions. Through a digital platform that puts a premium to experience in non-formal
education and lifelong learning, Eunoia Talks argues that the pandemic should not stop young people from
discussing ways they can bring innovation and solutions to today’s problems.
Pursuing leadership roles can encourage young people to express their concerns. While there has been
some progress in involving young people in the making of decisions that affect their lives and livelihoods, they
still lack access to platforms for articulating their concerns. One way to bridge this gap is to encourage young
people to pursue leadership roles. For example, an online forum or social media channel for sharing
perspectives and concerns on issues they consider important can encourage young people to voice their
opinions and share their views with others. To achieve a diverse and inclusive society, there needs to be a shift in
perspective from not talking to other groups to sitting at the same table and engaging with them.
24 Fora: Network for Change (2021). https://www.foranetwork.org/

Case Study:
Fora (Formerly known as G(irls)20)24
Fora is an organization that focuses on creating opportunities for young women to be involved and have a voice in
decision making spaces around the world. Fora believes that leadership development should be considered as
important as formal and STEM education. So far, Fora has conducted several projects in capacity building for
young women, including Girls on Board which has involved 135 young women leaders in Canada since 2017. In
addition, as a response to the COVID-19 pandemic, the Next Level program was launched to provide leadership
and social entrepreneurship training to young women and also young men in Canada's retail and hospitality
industries. The program also provides supportive mentoring, to help them navigate the changing economy on
their own terms.
Get to know more about Fora at foranetwork.org.
© Fora
At the micro level, the infrastructure and environment of youth hubs in villages can encourage local youths to
utilize local resources and discuss ideas that are most relevant to their communities.
C. WAY FORWARD
Social inclusion makes the strongest economic sense and is the way forward to recovering better and
recovering stronger
The COVID-19 pandemic and increasing social injustices have confirmed that social exclusion is costly and
can significantly stunt a nation’s economic growth because certain groups and their contributions are excluded
from the economy. For young people, social inclusion needs to start with instilling in them inclusive values so that
they become active citizens and leaders seeking opportunities to participate in the economy.
The right to education is a fundamental human right that must be carried out in order to exercise other
rights. The need for inclusive quality education has never been more urgent than it is today. The world is
undergoing major shifts. Technological disruption, climate change, and conflicts contribute to the ever-widening
inequalities in our society, with impacts that can last for generations. We therefore need to build inclusive and
democratic societies, where everyone can freely discuss their differences in opinion and where a wide range of
voices can be heard in the pursuit of social cohesion and celebration of diversity. Education plays an essential role
in the building of such societies.
The creative economy is an emerging sector that can improve mutual understanding across societies,
cultures, and countries. There are some low barriers to entering the creative economy but in general it is a
sector that is inclusive and innovative and contributes to community resilience when formal systems are under
pressure. As the economy relies on human talent and the development of social capital, its future success relies
on other supporting systems, such as education, to foster creative thinking and transferable skills that enable the
currently excluded and marginalized groups to connect to the economy.
To mitigate the long-lasting impacts that threaten our shared humanity, it is acutely urgent that we all meet
our collective responsibility for inclusive and sustainable recovery. The COVID-19 pandemic has further
deepened and widened the inequalities that make our societies fragile. Social development, at its core, is about
making positive changes in order to achieve human well-being. In the end, to recover together and to recover
stronger means to build more inclusive systems, cultivate diversity as a strength, and mobilize resources so that
society can be more resilient to future shocks, unrest, and disruptions.
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Youth Employment

Social safety nets for informal and non-standard forms of employment

B. CHALLENGES AND OPPORTUNITIES 11

Can existing social protection be strengthened for young workers 11

Lack of access to public social protection programs 12

Limited awareness about social safety nets 14

Are the youth empowered to pursue alternative employment options? 16

Nascent regulatory support 17

Uneven development and opportunity gap 20

Towards an inclusive social protection for young people 22

Tailored income support for the youth 24

Strong government leadership 25

Building a more inclusive youth social entrepreneurship ecosystem 27

Government support and recognition 29

Interlinking key players in the youth social entrepreneurship ecosystem 31

• Informal employment: Remunerative work that is

1 ILO. (2021), Digital labor platforms. https://www.ilo.org/global/topics/non-standard-employment/crowd-work/lang--en/index.htm

• Social protection: The set of policies and

Youth Employment - Seeing the changes brought by the pandemic,

I am worried about working in

I am worried about not

I am worried about not being able

I am worried about working in a

Social Safety Nets for Informal and Non-standard

B. CHALLENGES AND OPPORTUNITIES

A young worker’s experience during the COVID-19 pandemic

32 WIEGO (2021), Social Protection, https://www.wiego.org/our-work-impact/core-programmes/social-protection

Lack of access to public social protection programs

Examples of social protection schemes in G20 countries

unable to work or study.

- Funda Ustek-Spilda, Fairwork Foundation

Limited awareness about social safety nets

Youth Employment - How familiar are you with employment-

I have heard of them before 35%

I know and understand

I have accessed them before 18%

I have not heard of them before 13%

- Lina, an employed female youth between the age of 26-30,

Are the youth empowered to pursue alternative employment options?

Youth Employment - Do you think businesses should

Yes, I think businesses have a

I think it’s good if they do, but

I don’t think so, businesses are not

Nascent regulatory support

Figure B.1.1. Policy Framework for Social Enterprise: Examples

53 Agapitova, N., Sanchez, B., & Tinley, E. (2017).

Table B.1.1. Various Categories of Social Enterprise Policy Frameworks and

Category Early Stage Emerging Growing Mature

Support No policies or Political will to Policies and National strategy or

54 Agapitova, N., Sanchez, B., & Tinley, E. (2017).

- Rajesh Varghese, Ashoka

Human resource challenges

- Stephanie Arifin, PLUS

Uneven development and opportunity gap

- Rachel Davis, Warwick Enterprise

Stakeholder involvement in social safety net provision

70 Taken from Cint survey. Ann is a pseudonym.

-Lody Andrian, Bagirata

Examples of voluntary initiatives in social safety net provision

The role of digital technology