How MSEA is promoting entrepreneurship in Kenya
Sponsored by Micro and Small Enterprises Authority
July 10, 2019: Some of the youthful guests during the launch of MbeleNaBiz business plan competition, an initiative of the Government of Kenya, under the KYEOP programme supported by the World Bank.
About MSEA
The Micro and Small Enterprises Authority (MSEA) is a state corporation under the Ministry of Industrialisation, Trade and Enterprise Development. It is mandated to promote, develop and regulate micro and small enterprises (MSEs) in Kenya.
MSEA is implementing key Government programmes aimed at mainstreaming the contribution of MSEs to Vision 2030 and the Big 4 Agenda.
MSE infrastructure development
MSEA is operationalising Constituency Industrial Development Centres (CIDCs) to promote industrial activity in the constituencies across Kenya. To date, the Authority has refurbished and equipped 120 CIDCs with modern common user manufacturing facilities. A further 58 centres are planned this financial year.
MSEA is further modernising numerous MSE worksites. These facilities will enhance quality, quantity and value of MSE products destined for both local and regional markets.
At its MSE Centre of Excellence in Kariobangi, Nairobi, MSEA has a modern facility for manufacturing, technical capacity building and learning, that also hosts the Nairobi Biashara Centre. The COE projects a model manufacturing centre riding on common user production concept. MSEA will operationalise these centres in all major towns across the country.
Training of Jua Kali artisans on the lathe machine at Kariobangi Centre of Excellence.
Cold storage facilities
To reduce postharvest losses and enhance the value of agricultural produce, MSEA is constructing three modern cold storage facilities for potatoes, bananas and related produce in Kisii, Nyandarua and Meru counties. These facilities will benefit over 10,000 farmers in these regions.
Timau Cold Storage facility is 60 percent complete.
Capacity development and job creation: The KYEOP story
To unlock the entrepreneurial capacity among the youth, MSEA has supported 11,619 youth through issuance of business start-up grants. A total of 5,172 youth have received business development services training through the World Bank supported Kenya Youth Employment and Opportunities Programme (KYEOP). This is a social protection and youth empowerment project implemented over a five-year period to increase employment and earning opportunities to targeted youths aged 18-29.
MSEA is implementing the component on job creation though provision of Business Development Services, grants support and the MbeleNaBiz business plan competition. The Authority is targeting to reach 34,500 youths by the end of the project.
In the MbeleNaBiz award ceremony which took place on February 24, 2021, a total of 750 successful youths were issued with funding worth Ksh1.36 billion. Under the grants component, Ksh413 million has been disbursed, with a further Ksh600 million grants planned for the period ending June 2021.
KYEOP beneficiaries in Garissa and Kakamega counties.
MSEA has also entered into several partnerships with financial institutions and development partners to collaborate on MSEs financial empowerment, advisory services, capacity building and market access opportunities. This is in line with the Authority’s strategy, which is pegged on the framework of partnerships with the private sector to facilitate substantial development outcomes for MSEs.
Creation of the Office of the Registrar of MSEs
MSEA has operationalised the Office of the Registrar, whose main function is registration and maintenance of a database of registered MSEs.
In partnership with UNDP, the Authority has established the infrastructure and hardware necessary to facilitate registration of MSE associations. Registration will facilitate targeted government interventions across the MSE sector, as well as guide Government policy and planning initiatives.
President Uhuru Kenyatta when he unveiled the 750 winners of the MbeleNaBiz business plan competition.
Market linkages
MSEA has been facilitating MSEs to access local, regional and international markets and expose their products far and wide. However, following the Covid-19 pandemic, there is an accelerated shift towards a more digital world. To revitalise the MSE sector, the Authority is moving with urgency to ensure MSEs seize the opportunities offered by e-commerce as the world moves from pandemic response to recovery.
An MSE showcasing merchandise at the EAC Nguvu Kazi Exhibition.
Covid-19 recovery strategy
During this period of the Covid-19 pandemic, MSEA has been supporting enterprises in various ways. It has been feeding the Government with real-time information on the disruptions in the markets across the country, through the command centre for Covid-19 response initiative.
Further, the Authority has been distributing masks, hand-washing stations and sanitisers, in addition to sensitising members, through regional stations, on how to take care of their personal sanitation. MSEA has also come up with small tenders for its members to help cushion the businesses, and has bought from them goods and facemasks. The call is for all stakeholders to prioritise procurement from the MSE sector as part of the Buy Kenya, Build Kenya push.
