Stanbic Bank Grants MSMEs Ksh. 33M to Boost Their Businesses

Stanbic Bank Kenya through its Foundation today unveiled seven recipients of the 33-million-shilling Accelerate Grant Fund.

The recipients are Micro, Small and Medium Enterprises (MSMEs) who have demonstrated resilience and promise to grow and manage their businesses in a sustainable way. They were selected out of over 500 applicants across the country.

Organic Diaries Limited, Tropical Lush Limited, Meditrust Healthcare Services, Organic Fields, Tarakwo Diaries Company Limited, and Tovuti Group each won 5 million shillings in grant while SunSweet Fruit Farm Products won 3 million shillings.

The grant funds, extended in partnership with United States African Development Foundation (USADF) will go a long way in helping small businesses reach their potential and contribute towards the country’s economic development.

The goal is to position Kenyan businesses for success while addressing the skills gap in the country. This is done by boosting entrepreneurship and employability of citizens through digital literacy and upskilling, career development and providing funds (grants) and access to markets.

So far, the program has managed to reach over 850 small businesses, providing them with both financial and non-financial support. The bank also runs a Financial Fitness Academy where individuals are trained on how to take a holistic approach to their financial affairs.

There are 7.4 million Small and Medium Enterprises (SMEs) in Kenya which employ about 14.9 million people and contribute approximately 40% of the Gross Domestic Product (GDPs).

In 2020, Stanbic Bank and USADF entered into a partnership to provide grants to Micro, Small, and Medium Enterprises (MSMEs), cooperatives, and producer groups in Kenya.

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A combined total of 10 million US dollars in funding will be disbursed over the next 5 years towards this initiative. The entities are targeting 100 percent Kenyan-owned, managed and legally registered MSMEs.

The 2021 winners were selected based on their impact stories and how they are, in their little ways, transforming the underserved and at-risk communities, more so young women, youth and other marginalized groups.

Speaking during the event, CAS, Ministry of Industrialization, Trade and Enterprise Developmen, Lawrence Karanja lauded the move noting that they are in line with the government’s efforts for reviving the economy after Covid-19.

“What we are seeing today is definitely a boost in our efforts as Government to help businesses recover from the pandemic,” said the CAS.

Stanbic Bank CEO, Charles Mudiwa appreciated the role the Accelerate Programme has played in giving businesses the much-needed impetus towards growth.

“We are happy with the progress we are making thus far because through joint efforts with our partners, we continue to drive economic growth by supporting our MSMEs who create jobs for hundreds of individuals across the country,” Mr. Mudiwa said.

“The support we are providing in this project will catalyze sustainable economic growth opportunities for small and growing enterprises in underserved regions in the country,” USADF Regional Representative for Africa, Timothy Nzioka added.

Stanbic Foundation is keen on creating jobs, enterprise development and facilitating learning programmes. By working closely with the Government’s Biashara Training Centres, the Foundation plans to donate 400 computers across the country.

Early this year, Stanbic Bank also entered into an agreement with the Ministry of Industrialization, Trade and Enterprise Development and Microsoft to provide digital training to MSMEs, government departments, youth and women.

Dubbed Future ni Digital the bank aims to train 1000 trainers and reach at least 500,000 Kenyans in the next 3 years. So far, the bank has signed Memorandum of Understanding (MOUs) with Laikipia, Mombasa, Meru and Nakuru counties to provide capacity building and entrepreneurial training programmes.