We give the government too much of a bad rap in Kenya. Even though when nobody’s looking we shout, “Serikali saidia.” Well they do respond only that we don’t calm down and notice. As proof, here are 7 sources of funding for Kenyan entrepreneurs by the government.
This is arguably the most renowned of our government’s initiatives. Sadly this is because it has been tainted by scandals. That notwithstanding, it’s a core part of realizing Vision 2030. The Youth Fund was established in 2006 with aims of availing opportunities to Kenyan youth. The government eyes fostering entrepreneurship as a tool in dealing with youth unemployment. The fund is open to those aged between 18-35 years old.
Mirroring the Youth Fund is Uwezo Fund. Only that it has a much wider scope. It is an empowerment program, created in 2013, hoped to benefit women, youth and persons with disability. It offers capital and mentorship to entrepreneurs with the primary aims of achieving gender equality and eradicating poverty. Its loans range from sh.50,000-500,000 at a time.
This intiative is tied to the Ministry of Gender. From the name it is evident who it targets. Women Enterprise Fund not only offers credit to women entrepreneurs but also markets goods and services produced by them. Keeping in line with the social motivation of these government funds; it aims to make women financially independent.
The Industrial and Commercial Development Corporation is a 60 year old soul. Nevertheless, it still plays an important role in our Vision 2030 quest. It avails funding for Kenyan entrepreneurs through medium and long term financing. The main task of ICDC is to prop up industrial development in Kenya. A key but poorly sold sector to the public. ICDC offers venture capital, joint-ventures, commercial loans and asset financing.
Like ICDC, KIE is joined to the Ministry of Industrialization at the hip. The Kenyan Government is aware that industrialization is the key to reaching developed status. It is little wonder then that KIE is driven to indigenize industry in Kenya. It provides industrial sheds, subsidizes credit and improves entrepreneurial skills of small to medium size enterprises. KIE offers Jua Kali sector loans of between sh.100,000-500,000 and to medium enterprises it offers up to 14 million shillings.
Industry is a capital heavy venture thus excuse the government’s many Development Finance Institutions. IDB has been in existence for a long time just like its sister institutes. Established in 1973, it offers secured loans for medium and large industrial enterprises. The loans come in typical variety; be it project and asset financing or even hire purchase. IDB will assist you establish or expand your business so go for it.
It’s logical to have an agriculture specific fund. Afterall, agriculture is still the backbone of our lauded diversified economy. AFC was initially set up to enable transfer of land to Kenyan farmers in post independence Kenya. Today it offers credit to the agricultural entrepreneurs among us.