YCC was established in 1996 by an educated group of individuals from similar social backgrounds with the aim of promoting self-awareness among Palestinian refugees, especially children, about their plight. It aims to foster an understanding of civil society that is based on freedom of thought and expression and to build a generation of young enlightened Palestinians who are aware of their rights and are capable of shaping a better future. As such, YCC works toward building a local community that holds firm to principles of freedom and independence and that can assert its legally enshrined rights, most importantly the right of return. YCC also aims to develop the role of women in their local communities, and works to improve their social position by encouraging their active participation in the development of Palestinian society as a whole.
YCC was formally licensed in 1998 by the Palestinian Ministry of Culture. It was the first cultural center to obtain a license in the Nablus region. In 2000, YCC obtained legal recognition by the Ministry of Interior in accordance with a new law for charitable organizations passed by the Palestinian Legislative Council that year.