support for SMEs
Photo: TechnoServe

Kenyan Government to increase support for SMEs

The Kenyan Government is set to increase support for SMEs to achieve key macroeconomic goals, according to a prominent official of the industrialization ministry.

Principal Secretary, Investment and Industry, Patrick Nduati said that the Government will direct more money to uplift the Small and Medium Enterprises (SMEs) sector.

SMEs employ half of all Kenyan workers and contribute a quarter to the country’s GDP, as per the latest data by the Kenya National Bureau of Statistics.

Mr. Nduati was speaking at an official visit to the Nairobi Industrial area. “The industries that we have seen here have been incubated, assisted and supported with credit by the Kenya Industrial Estate.

“These industries now need to grow not only in the region but also in their counties to ensure that we can achieve the job creation agenda and growth of the GDP.” Support for SMEs is expected to further reduce unemployment and enable formalization of the informal sector.

Increased support for SMEs is very much needed in Kenya. Businesses in this sector face challenges ranging from bureaucratic barriers to inadequate credit.