Kenya National Chamber of Commerce and Industry (KNCCI) and the Mastercard Foundation have entered into a partnership that will see 25,000 Micro, Small and Medium-Sized Enterprises (MSMEs) in Kenya benefit from an interest-free, zero-fee short-term concessional loan. The COVID-19 Recovery and Resilience Program will be implemented by KNCCI through its county chapters across the 47 counties.
Through the Mastercard Foundation COVID-19 Recovery and Resilience Program, KNCCI will target businesses owned by youth (18-35 years), women-owned (18-70 years) and enterprises that support a large number of youth (18-35 years) that have been impacted by the COVID-19 pandemic. The aim of this program is to assist the MSMEs to ensure business continuity and sustainability.
Applications can be accessed through the KNCCI website (www.kenyachamber.or.ke ) and from any of the KNCCI offices across the country.
The target businesses need to have been in existence for at least one year and have been affected by the COVID-19 pandemic. These businesses will mainly be drawn from the sectors of hawkers, Jua Kali, retailers, the fashion industry and restaurants.
The facility is a revolving fund, available to repeat borrowers upon repayment of the loan within two months. The funds will not be available to businesses that sell drug-related substances including alcohol and tobacco, manufacture weapons and are involved in war-related activities, in gambling and betting sectors, in sex-related industries, or are owned by state or parastatal actors.
KNCCI will pre-screen applications from eligible applicants. Applications received from affected businesses will be pre-screened against a set eligibility criterion before approval and the disbursement of funds. The loans will be administered by Grassroots Business Fund (GBF) and Fourth Generation Capital (4G Capital).
The Kenya National Chamber of Commerce and Industry (KNCCI) is a membership-based Trade Support Institution (TSI) working to protect commercial and industrial interests of Kenyan business community. KNCCI advocates for the creation of a favorable commercial, trade and investment environment that supports enterprise expansion. The membership of KNCCI constitutes small, micro enterprises (MSEs), medium and large enterprises. For more information on KNCCI, please visit: www.kenyachamber.or.ke
About Mastercard Foundation
The Mastercard Foundation works with visionary organizations to enable young people in Africa and in Indigenous communities in Canada to access dignified and fulfilling work. It is one of the largest, private foundations in the world with a mission to advance learning and promote financial inclusion to create an inclusive and equitable world. The Foundation was created by Mastercard in 2006 as an independent organization with its own Board of Directors and management. For more information on the Foundation, please visit: www.mastercardfdn.org
About Grassroots Business Fund
Grassroots Business Fund (GBF) is an impact investment organization that utilizes the power of blended capital to invest in traditionally under-financed businesses. GBF’s mission is to grow viable, sustainable, and inclusive businesses that generate incomes or cost savings for lower-income people in Africa, Asia, and Latin America. GBF leverages it’s experienced in-country investment teams as well as local technical assistance providers to source and strengthen its investee companies.