KDC allocates KSh 5.3 billion to support SMEs in 45 counties — Nation Kenya

In Kenya, the Kenya Development Corporation (KDC) said it has already allocated KSh 5.3 billion under the Small and Medium Enterprises Access to Finance and Enterprise Recovery (SAFER) project. The funds are intended to support micro, small and medium-sized enterprises in 45 counties across the country, Nation Kenya reports.

Financing for North Rift cooperatives

The corporation also seeks to expand access to capital for small businesses, savings and credit cooperatives, and farmers' associations in the North Rift region within the North Rift Economic Bloc. This includes financing for agricultural processing, product storage, equipment purchases, logistics and other investments that can increase producers' income.

KDC Managing Director Nora Ratemo said the initiative is intended to bring development financing closer to farmers and entrepreneurs seeking to expand their operations. According to her, the funds may be available to producers wishing to increase output, dairy cooperatives for processing products, and entrepreneurs who need equipment or working capital.

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Priority agricultural sectors

The financing covers agricultural value chains in dairy production, tea, coffee, maize, wheat, pyrethrum and avocado cultivation, as well as livestock farming. KDC intends to provide wholesale financing to financial institutions, which will then lend to micro, small and medium-sized enterprises, as well as directly finance viable companies and cooperatives.

Ratemo also noted that the corporation provides financing through equity participation in businesses and projects that need long-term resources for expansion, diversification and growth. Uasin Gishu County Executive Committee Member for Trade Philip Chebunet urged cooperatives to identify investment-attractive projects and invest in processing and other income-generating areas.