The proposed Micro, Small and Medium Enterprises (MSME) policy is designed to create a more productive, diversified, and competitive MSME sector that drives economic transformation and social empowerment, experts have said.
Youth Enterprise Development Fund Manager in charge of Innovations, Daniel Mathenge, explained that the new policy being formulated by the Micro and Small Enterprises Authority (MSEA) will improve the efficiency and sustainability of Kenyan MSMEs and support their growth from incubation to fully fledged businesses.
Speaking during a public participation exercise for five counties held in Nakuru to review the draft MSME Policy 2020 and MSME amendment Bill of 2025, Mathenge said the new document will not only address some eleven major challenges affecting the MSME sector but will also come up with practical solutions to the issues bedeviling the sector.
He elaborated that the operationalisation of the MSME Policy 2020 had been challenging because it failed to capture and address issues that are related to MSMEs, adding that there was need to revise it so that it is more inclusive and more responsive to the needs of the current business owner. "The current framework has failed to support the sector that employs thousands of Kenyans, with 84 percent of MSMEs dying before their first anniversary," added the manager.
