(Kapsabet) – The government has disbursed Ksh7.9 billion through the Uwezo Fund to support over 82,000 groups across Kenya, providing a crucial financial boost to micro, small, and medium enterprises (MSMEs).
Principal Secretary for MSMEs Development, Susan Mang’eni, announced the milestone during a cheque distribution ceremony at the Eliud Kipchoge Showground in Kapsabet. Forty groups from Emgwen Sub-county received Ksh7.1 million under the initiative.
Mang’eni described the Uwezo Fund as a key Vision 2030 flagship project designed to empower women, youth, and persons with disabilities by offering affordable financial support to grow their businesses.
“The Uwezo Fund adopts a bottom-up approach, with decisions made at the grassroots level,” Mang’eni explained. She emphasized its alignment with Sustainable Development Goals (SDGs) to eradicate poverty, hunger, and promote gender equality.
Highlighting the economic significance of small and medium enterprises, Mang’eni noted that SMEs play a critical role in Kenya’s economy. While the country has a workforce of 20 million people, only one million are in civil service. By focusing on SMEs, she said, Kenya can unlock this untapped economic potential.
Mang’eni urged communities to embrace intentional, business-oriented approaches. Government officers, she added, would spend two days sensitizing residents on available opportunities and how to access government resources effectively.
| Key Achievements and Plans for Empowering SMEs | Details |
|---|---|
| Uwezo Fund Disbursement | Ksh7.9 billion distributed to 82,000 groups across Kenya. |
| New Hustler Fund Product | ‘Bridge Loan’ to offer higher limits and longer repayment terms. |
| Focus on Sector-Specific Groups | Promoting tailored solutions in areas like dairy, edible oils, and farming. |
The PS also shared updates on the Hustler Fund, reporting that 24.6 million Kenyans have accessed loans, with 2 million using funds for business purposes. The government has disbursed Ksh56.7 billion, and repayment rates indicate a growing culture of financial responsibility.
To mark the Hustler Fund’s second anniversary, the government plans to launch a new financial product, the “Bridge Loan.” This offering will target borrowers with a good repayment record, tripling their loan limits and extending the repayment period to 30 days. The product will act as a gateway to larger SME loans, enabling borrowers to scale their businesses.
Mang’eni called on citizens to form sector-specific groups, such as dairy cooperatives, to help the government understand their needs and secure markets for their products. She revealed plans to introduce specialized loans for value addition in manufacturing sectors, including dairy, edible oils, and leather.
The PS encouraged women, youth, and persons with disabilities to take full advantage of the 30% of government tenders reserved for them. She stressed the importance of financial inclusion and opportunities like Local Purchase Order (LPO) financing to grow their enterprises.
“The youth are Kenya’s greatest natural resource. Empowering them is key to economic growth,” Mang’eni said, highlighting the government’s youth-focused initiatives to boost participation in the economy.
Exhibitions during the event showcased Nandi County’s value chains, including cotton, coffee, leather, edible oils, honey, and dairy. These industries have significant potential for manufacturing and value addition, which are crucial for creating jobs and wealth.
Area MP Josses Lelmengit also launched the Constituency Strategic Plan 2023–2028 during the event, outlining local development priorities.
The Uwezo Fund and Hustler Fund remain pivotal tools for financial inclusion, enabling millions to access credit and drive grassroots economic transformation.