State Department for MSME seeks Sh5.2 billion to complete Nyota projects
National
By
Edwin Nyarangi
| Mar 16, 2026
The State Department of Micro Small and Medium Enterprises Development has requested Parliament for an additional Sh5.2 billion in its budget to support remaining projects under the National Youth Opportunities Towards Advancement (Nyota) project.
MSME Principal Secretary Susan Mang’eni told Parliament that the ministry is expected to train 600,000 people to enhance access to the opportunity among youth, given the direction to condense the project activities to the current financial year, and that they require Sh2OO million.
She told the National Assembly Trade Committee that the Hustler Fund requires Sh2 billion but was only allocated Sh300 million, with the funds required to enhance liquidity for clients who have opted in and are unable to borrow, besides helping the fund review clients' borrowing limits.
“We seek your intervention to have the additional funding of Sh1.7 billion since this will have an impact on the economy by supporting development through affordable credit among Kenyans and also enable the Hustler Fund to review the clients' borrowing limits and further increase the limits that will enable them to graduate from good personal clients to bridge loans,” said Mang’eni.
She told the committee that the Kenya Industrial Estate seeks Sh1billion for the provision of affordable credit to Small and Medium Enterprises in the manufacturing sector, focusing on the Bottom Economic Transformation Agenda priority value chains, which include edible oils, building and construction, leather and leather products, textile and apparel.
Mang’eni said that the Micro and Small Enterprises Authority requires an additional Sh1 billion to support the economic empowerment of youth and women groups through the provision of tools of trade, start-up kits, and the establishment of shared production facilities.
The PS said that the Uwezo fund requires an additional funding of Sh2OO million for the labour mobility programme as a strategic intervention to harness global employment opportunities for the youth, designed to facilitate the migration of both skilled and semi-skilled workers by providing affordable credit to cover pre-departure expenses, including passport processing, visa fees, and air tickets.
“The Programme seeks to mitigate domestic unemployment while enhancing national remittance inflows and working with the Ministry of Labour to scale up the disbursement of Wezesha Majuu loans by Sh200 million to support an additional cohort of 1,200 migrant workers, ensuring that they are well equipped,” said Mang’eni.
She said the Kenya Industrial Estate is seeking Sh1 billion for the provision of affordable credit to Small and Micro Enterprises in the manufacturing sector, focusing on the Bottom Up Economic Transformation Agenda priority value chains, which include edible oils, building and construction, leather products, textile, and apparels
The PS said that the Counties Industrial Development Centres project implemented by the Micro Small Enterprise Authority was seeking an additional Sh300 million, which are flagship initiative designed to support the growth and productivity of Micro Small and Medium Enterprises by providing access to shared industrial infrastructure and equipment.
Mang’eni told Parliament the State Department requires Sh100 million to finalise the development of the key policies, including the MSE Act review process, the development of the financial inclusion policy, the formalization policy, as well as the finalization of the accreditation framework.
“The State Department of Micro Small and Medium Enterprises Development requires an additional Sh100 million for the acquisition of office equipment for the technical officers, purchase of motor vehicles, and other administrative costs,” said Mang’eni.