Affordable finance for MSMEs

The Kenya Kwanza government promised to commit Sh50 billion a year to provide Micro, Small & Medium Enterprises with 100 per cent access to affordable finance through SACCOs, venture capital, equity funds and long-term debt for start-ups and growth-oriented SMEs.

• The government launched the Hustler Fund in November 2022 as a flagship initiative to offer affordable credit to MSMEs and individuals. By June 2024, the fund had disbursed approximately Sh57 billion to over 22 million Kenyans, with about 2 million borrowers transitioning from micro-loans to the SME category.
• However, concerns have been raised over the overregulation of the businesses, overtaxation, and pending bills (government both national and county governments owe small businesses around Kshs 70 billion).