Operationalisation of the 4 billion shillings Stawisha SME Mashinani programme is set to commence in June following the signing of a memorandum of understating between various state agencies under the Ministry of Industry, Trade and Enterprises Development and IDB Capital Limited.
The programme seeks to provide affordable credit to small and medium enterprises with focus on the big 4 agenda to enable them upscale their ventures and improve quality of their products.
The Stawisha SME Mashinani programme launched by President Uhuru Kenyatta last Friday in Nyandarua County targets to offer affordable credit to the Small and Medium Enterprise sector across the country.
Sectors eligible for the Stawisha SME Mashinani support include agro and food processors, building and construction materials, wood furniture and metal fabrication, medical facilities, leather, textile and apparels, pharmaceutical processing and electrical and electronics works.
Get breaking news on your Mobile as-it-happens. SMS ‘NEWS’ to 20153
Distribution of the fund to qualified ventures will be undertaken by IDB Capital, Industrial and Commercial Development Corporation, Kenya Industrial Estates Limited, Micro and Small Enterprise Authority and the Kenya National Trading Corporation.
The programme is fashioned as on one-stop-shop to provide business advisory, asset financing, working capital, project finance and grants to SMEs either at start up, expansion or modernization stages.
Beneficiaries of the low interest fund will be given a grace period of six months after approval of their respective loans.
SMEs are expected to start applying for the credit by June this year.
Tell Us What You Think