Improving framework conditions for sustainable business development of MSMEs
GFA is set to collaborate with GIZ on the second phase of the Programme for the Promotion of Self-Employment and Entrepreneurship in Kenya. This initiative aims to enhance the conditions necessary for the sustainable development of MSMEs (micro, small and medium-sized enterprises). In alignment with the country’s key development blueprint, Kenya Vision 2030, which emphasises industrialisation and poverty reduction through entrepreneurship and support for micro-enterprises, the Kenyan Government has identified the reduction of unemployment and underemployment as critical priorities. The Micro and Small Enterprises (MSE) Policy of 2020 further refines these objectives by setting out specific strategies and actions, all coordinated under the auspices of the newly established Ministry of Cooperatives and MSMEs Development.
However, a range of structural challenges hampers the growth and long-term market establishment of many Kenyan micro and small enterprises. A common hurdle is the lack of essential skills and financial resources among entrepreneurs to develop viable growth strategies and business models. The project addresses these issues by working to improve the framework conditions for the sustainable growth of MSMEs. It aims to support relevant stakeholders within the entrepreneurial ecosystem, including public and private sector actors, by enhancing consulting, training and coaching services for MSMEs. The project will focus on strengthening the entrepreneurial skills of MSMEs and facilitating improved access to finance. Particular emphasis will be placed on fostering green business practices and supporting female entrepreneurship.
The overarching objectives of this consultancy include:
- assisting the newly established State Department for MSMEs Development in enhancing its service offerings to MSMEs;
- strengthening the capacities of selected state institutions to design promotional measures for MSMEs;
- broadening the range of advisory services for MSMEs, particularly those that encourage economically and ecologically sustainable business models;
- supporting the State Department for MSMEs Development in refining the policy and regulatory environment for MSMEs; and
- promoting the growth of selected MSMEs.
