Improving framework conditions for sustainable business development of MSMEs
GFA is set to collaborate with GIZ on the second phase of the "Programme for 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 Enterprises). In alignment with the countrys key developmental blueprint, Kenya Vision 2030, which emphasizes industrialization and poverty reduction through entrepreneurship and the support of 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, offering specific strategies and actions, all coordinated under the auspices of the newly established Ministry of Cooperatives and MSMEs Development.
However, a myriad 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 create viable growth strategies and business models. The project addresses these issues by working to better the framework conditions for the sustainable growth of MSMEs. It aims to assist 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 augmenting the entrepreneurial skills of MSMEs and facilitating better access to financing. Special emphasis will be placed on fostering green business practices and supporting female entrepreneurship.
The overarching goals of this consultancy include:
- assisting the newly established State Department for MSMEs Development in enhancing their service offerings to MSMEs,
- strengthen 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,
- aiding the State Department for MSMEs Development in refining the policy and regulatory environment for MSMEs, and
- promoting growth of selected MSMEs.
