By S, KNA
Co-operatives and Micro, Small, and Medium Enterprises (MSMEs) Development Cabinet Secretary Wycliffe Oparanya, has underscored the government’s commitment to empowering small businesses as a backbone of Kenya’s economy.
Speaking at the 3rd Public-Private Sector MSMEs Connect Dialogue held at Tononoka Social Hall in Mombasa, CS Oparanya noted that 90 per cent of Kenyans earn their livelihoods through small businesses, which contribute about 30 per cent of the country’s GDP.
“Small businesses are the heart of our economy. If we want to move forward, we must strengthen access to finance, improve infrastructure, and expand markets for MSMEs,” he said.
The CS further stated that the government has prioritised access to affordable credit through initiatives such as the Hustler Fund, Youth and Women Enterprise Funds, and the Kenya Industrial Estates.
He added that the Credit Guarantee Scheme was cushioning borrowers by lowering interest rates when banks extend loans to small traders.
The CS also highlighted the importance of digital transformation, noting that Kenya must embrace a cashless economy to remain competitive globally.
“In countries like Sweden, people don’t use cash. Kenya must also adopt digital systems to keep up with the changing world,” he noted.
On infrastructure, the CS pointed out that markets have been built across the country through collaboration between county and national governments to provide safe and accessible trading spaces for small traders.
He further stressed the need to link MSMEs to regional and international markets, revealing that Nairobi will host the East African MSMEs Expo in November.
The exhibition is expected to showcase Kenyan products to buyers from across the region, including Rwanda, Uganda, Tanzania, and the DRC.
The CS urged county governments to create friendlier policies for small traders and hawkers, saying many are simply trying to survive.
“Our role as leaders is to create opportunities and policies that help small traders grow into larger enterprises,” he said, citing Germany as an example where many global companies began as family-run businesses.
The dialogue brought together MSME stakeholders, including representatives from the Micro and Small Enterprises Authority (MSEA), Uwezo Fund, Hustler Fund, Kenya Industrial Estates (KIE), Safaricom, Equity Bank, the Kenya Bankers Association, the Kenya Association of Manufacturers, and the Kenya Bureau of Standards.
CS assured small business owners that the government remains committed to supporting them from start-up to international growth. “From a hawker on the street to a global manufacturer, our mission is to walk with you every step of the way.”
On his part, Mombasa Governor Abdulswamad Shariff Nassir reaffirmed his administration’s commitment to improving services in the county while acknowledging that more must be done to empower residents directly.
Governor Nassir noted that while Mombasa has improved in areas such as healthcare, education, and social programmes, the county still faces challenges in uplifting its people economically.
“We have been ranked among the best in the health sector. Our hospitals are equipped with new machines, and I have ensured that each facility reports directly to me. We also became the first county to implement a free school feeding programme and introduced the ‘No Child Left Behind’ initiative, where every learner receives support directly,” he said.
The Governor admitted, however, that despite these achievements, the county has not fully succeeded in empowering its people to stand on their own.
“It is important we finance our people without favouritism. Just as we give bursaries and healthcare support without discrimination, we must also fund entrepreneurs so they can rise, hire more workers, and move forward,” he said.
The Governor revealed that a bill to channel direct financial support to residents is currently before the County Assembly, but challenges remain due to budgetary control processes at the national level.
“The Controller of Budget and the Senate have raised concerns, but we believe in the wisdom and goodwill of our Assembly to pass the law. What matters most is that our people get the chance they deserve,” he said.
Governor Nassir also announced plans to visit each sub-county to assess ongoing initiatives and explore innovative ideas from local entrepreneurs. His focus, he explained, would be twofold: ensuring county support benefits businesses and creating more jobs for Mombasa residents.
“I want to sit down with MCAs and MPs in every constituency so that we can jointly agree on what we want to achieve. The real question is how we can benefit you, and how we can make sure you employ more people,” he added.