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Nearly 43% of South Africans aged 15 to 34 are not in employment, education, or training (NEET), according to Q3 2025 data from Stats SA. Despite repeated interventions, the number has barely changed year-on-year.
Leon Smalberger, CEO of the Academic Institute of Excellence (AIE), believes South Africa needs to stop relying solely on formal job creation. Instead, he says, policymakers and education leaders should support informal youth-led income streams – especially those already showing growth.
What is the Maker Economy?
The Maker Economy refers to informal, small-scale production and design activities. This includes:
- Customising or creating products
- Repairing goods
- 3D printing and fabrication
- Craft, design, and digital manufacturing
- Building prototypes or custom items
These activities are often side-hustles and require low upfront capital. However, they offer real earning potential – and faster returns than traditional startups.
“We’re not suggesting the Maker Economy can replace jobs. But it can multiply the ways young people earn a living,” Smalberger said.
Why the Maker Economy matters now
Recent research and global discussions point to its importance:
| Insight | Detail |
|---|---|
| NEET rate | 42.7% of South Africans aged 15–34 (Q3 2025) |
| Side hustle stats | 27% of youth earn income from informal work |
| G20 focus | Skills development, digital innovation, youth-led growth |
| Institutional response | AIE now offers maker spaces, digital design labs, fabrication hubs |
Yet despite these trends, Smalberger warns that South Africa still lacks a national strategy to support the Maker Economy.
What needs to happen next?
Smalberger calls for:
- A national Maker Economy strategy
- Coordination between schools, TVET colleges, and higher education
- Public access to properly equipped maker spaces
- Support for youth-led production and design businesses
“Young South Africans are already making their own way. The question is whether we’re prepared to support them,” he said.
Why this approach works
Maker-driven work offers several advantages:
- Low start-up costs
- Immediate income potential
- Builds digital and practical skills
- Boosts youth confidence and independence
- Can complement formal or informal education
By recognising and supporting these activities, South Africa could unlock a new pathway out of youth unemployment.
