In Kenya, MSMEs contribute about 40 percent of the country's GDP and employ about 86 percent of the population. It is, therefore, one of the major sectors that should be supported by all means.
There is a need to support MSMEs in Kenya according to the Managing Director of Tala Kenya Mr. Ivan Mbowa. Mr. Mbowa says small businesses have been hit hard by the Covid-19 pandemic and they need a helping hand to remain afloat.
According to Mr. Mbowa, Small and Medium Enterprises (SMEs) play a major role in most economies, particularly in developing countries. SMEs account for the majority of businesses worldwide and are important contributors to job creation and global economic development.
“In Kenya, MSMEs contribute about 40 percent of the country’s GDP and employ about 86 percent of the population. It is, therefore, one of the major sectors that should be supported by all means,” said Mr. Mbowa.
Mr. Mbowa was speaking at the Sarova Stanely Hotel on Wednesday morning while flagging off a 2-million-shilling pilot grant for MSMEs that will be offered by Tala. He said Tala has always considered SMEs as special pillars of the economy.
“The future belongs to MSMEs and we need to help them position themselves for success as we hopefully begin to see an upward economic trajectory,” he added. Tala has been at the forefront of supporting Kenyans and SMEs with short-term loans.
Mr. Mbowa says the grant is just the start of many others lined up for Kenyan businesses. He says his company will never let SMEs walk alone and will always come up with programs to support them.
“This grant is meant to help micro, small, and medium-sized enterprises that were adversely affected by the covid-19 induced economic fallout to get back on their feet,” he said.