Youths in agribusiness urged to take up loans to boost ventures

Youths in agribusiness in Isiolo County have been urged to apply for grants and loans to improve their ventures.

Isiolo County Agriculture and Livestock Executive Lawrence Mwongela said the youth groups, which must have high women representation, should take advantage of the funding being offered by the European Union and Denmark's development cooperation (Danida) to grow their businesses and increase their productivity for improved livelihoods.

The applicants can apply for grants or loans, the latter being payable in three years at six percent interest rate.

The applicants can also get grants ranging between Sh300,000 and Sh1 million and loans from Sh500,000 to Sh1.5 million.

“The youths should take advantage of the funding to increase their productivity for economic empowerment,” Dr Mwongela said adding that the programme targets groups and individuals from rural and peri-urban who lack financial resources and skills to start and sustain viable businesses.

The official said agribusiness value chains are facing serious headwinds that have led to a slowdown in productivity, threatening not only sources of livelihood for millions, but also the nation’s food security.

The programme is being undertaken in Meru, Isiolo, Kiambu, Machakos, Uasin Gishu, Kilifi, Bungoma and Kisii counties and targets funding 2,400 youth and women-led agribusinesses and in the process create 4,000 jobs.

Kenya Climate Innovation Centre

Majority of the young people in agribusiness face a lot of challenges including limited access to land, lack of finances and capacity to sustain the enterprises.

Aware of the challenges youths and women faced during past application, Danida’s Agribiz programme has embarked on sensitisation of stakeholders, which will last until October 26 when the ongoing applications close.

Isiolo County Agribiz Programme Manager Erick Chweya said more than 9,000 people applied during the previous window but only 99 were picked for grants and loans.

“We had people from other fields applying, others left out crucial information such as their ID numbers and contacts while a number were aged above 35 years,” Mr Chweya said during a sensitisation meeting in Isiolo town.

Besides the funding, he said, the programme also provides a range of services for agribusiness enterprises and Small and Medium Enterprises (SMEs) including technical assistance and access to crucial documents such as permits and KEBS certification.

The programme is being implemented by Kenya Climate Innovation Centre.