The government has reaffirmed its commitment to empowering the youth through the newly launched NYOTA Business Support Program, a nationwide initiative offering Sh50,000 non-refundable grants to young people to help them start or expand their businesses.
The program aims to promote self-employment, entrepreneurship, and innovation among youth as part of the government’s strategy to reduce unemployment and stimulate growth at the grassroots level.
Cabinet Secretary (CS) for Cooperatives and Micro, Small, and Medium Enterprises (MSMEs) Development Wycliffe Oparanya, addressing the media on Thursday, said the government is determined to support young people with both financial and technical assistance to help them build sustainable livelihoods.
He clarified that the Sh50,000 issued to each beneficiary is a grant and not a loan, emphasizing that the funds are meant to empower youth to venture into productive business activities without the burden of repayment.
“The Sh50,000 is not a loan; it is a grant that gives young people a foundation to grow their businesses. We have put in place systems to ensure the money is used for the intended purpose, and we are committed to guiding the beneficiaries throughout the process,” said Oparanya.
He explained that the NYOTA program is one of the key government efforts aimed at nurturing a generation of responsible and creative entrepreneurs who can transform local economies.
Additionally, Oparanya noted that the government has designed the initiative to reach youth from all parts of the country, giving equal opportunities to those with genuine business ideas and the drive to succeed.
To ensure transparency and accountability, the CS revealed that chiefs and assistant chiefs in all counties have been trained to oversee the progress of beneficiaries at the community level and submit monthly reports to track business performance. These reports will help the ministry monitor the proper utilization of funds and ensure the success of the program.
He added that involving local administrators ensures that funds are used appropriately and that the program remains transparent from start to finish.
Oparanya also disclosed that the NYOTA program includes a savings component to help young entrepreneurs cultivate financial discipline. Beneficiaries will be required to save a portion of their business earnings, with access to the accumulated savings depending on compliance with the program’s requirements.
“The saving element will help create discipline. It ensures that young entrepreneurs understand the value of consistency, patience, and accountability in business. This is how we build a generation that can manage money wisely,” he emphasized.
The program will also include training and mentorship to equip beneficiaries with practical business knowledge. Oparanya revealed that the government is partnering with experienced entrepreneurs and professionals who will mentor the beneficiaries for several months after their training.
“The goal is not just to provide money but to build capacity and create a network of successful young business owners,” he said.
The CS further clarified that having a Hustler Fund loan does not disqualify an applicant from receiving the NYOTA grant. He emphasized that the two programs are independent but complementary in supporting small enterprises. However, he urged the youth to maintain good credit behavior, saying responsible borrowing and repayment are important in entrepreneurship.
“We are not disqualifying anyone because they have a Hustler Fund loan, but we encourage them to be responsible. Paying debts and maintaining good records builds trust and discipline, which are vital in business,” he added.
Oparanya assured Kenyans that the NYOTA program is free from political interference, noting that all applications were submitted digitally by youth themselves using a system that allows access even without the internet. This, he said, promotes fairness, accessibility, and inclusivity across the country.
He encouraged beneficiaries to invest in their home areas to create jobs and drive economic growth within local communities, stating that sustainable development begins at the grassroots level.
“The government believes that supporting young people to establish businesses in their home constituencies will have a lasting economic impact,” Oparanya said.
He reaffirmed the government’s focus on empowering youth as a key driver of national growth, saying initiatives like NYOTA are designed to unlock Kenya’s demographic potential. The CS added that similar programs will be developed to support different categories of youth, including graduates, innovators, and small-scale producers.
In her remarks, Principal Secretary (PS) for MSME Development Susan Mang’eni revealed that more than 200,000 youth applied for the NYOTA program during the application phase, with a significant number coming from universities and tertiary institutions.
She clarified that while some applicants were overqualified for the current phase, the ministry is creating a national database to capture all applicants for future government interventions.
Mang’eni announced that the program will begin with intensive entrepreneurship training for all selected beneficiaries at local centers. The training will focus on identifying business opportunities within each region and equipping participants with essential business management skills.
After training, the youth will undergo four months of mentorship under experienced entrepreneurs who will guide them in establishing and expanding their ventures.
Meanwhile, the PS stated that the government is harmonizing existing programs such as the Youth Enterprise Fund, Women Enterprise Fund, and Kenya Industrial Estates to provide a more coordinated approach to youth empowerment.
She emphasized that the Ministry wants to ensure that all young people with entrepreneurial ambitions, regardless of their education level, can access training, mentorship, and funding opportunities to build sustainable businesses.
Mang’eni reiterated that the NYOTA program aligns with the government’s broader goal of empowering youth economically, reducing dependency, and enhancing productivity across all sectors of the economy.
By Wendy Sheilla and Naif Rashid
