Kie presenation-aid- youth credit and training nov 2013

KENYA INDUSTRIAL ESTATES LIMITED

PRESENTATION ON

ACCESS TO AFFORDABLE FINANCE BY YOUTH AND WOMEN &

INCULCATION OF ENTREPRENEURIAL CULTURE IN YOUTH FOR JOB CREATION

PRESENTED BY : MONICA C. KOTUT

DURING

THE AFRICA INDUSTRIALIZATION DAY CELEBRATIONSAT

KICC GROUNDSON

20TH NOVEMBER, 2013

Kenya Industrial Estates Ltd

Government owned

Development Finance Institution

(DFI) within the Ministry of

Industrialization & Enterprise

Development

Established in 1967 with the

mandate to facilitate

industrialization through

promotion of SMEs countrywide.

Institutional - Mandate, Vision & Mission

MANDATE MANDATE

““To facilitate and promote To facilitate and promote Industrialization in Kenya through Industrialization in Kenya through

the development of Small and the development of Small and Medium Enterprises”Medium Enterprises”

VISION VISION

‘‘To be a Leader in Business To be a Leader in Business Incubation and Support Services in Incubation and Support Services in

Eastern Africa”Eastern Africa”

MISSION MISSION

‘‘To Incubate and Support Micro, To Incubate and Support Micro, Small and Medium Enterprises in Small and Medium Enterprises in

Kenya.’’Kenya.’’

NATIONAL COUNTY OUTREACH

The company has 42 outlets comprising:-

10 Regional Offices;

32 Branch/ satelite Offices supporting the regional offices;

KIE PRODUCTS & SERVICES

Industrial Workspace (SME Parks/Incubators)

SME Credit Finance

Business Development Services (BDS)

Facilitating Sub-Contracting /Linkages

ACCESS TO AFFORDABLE FINANCE BY YOUTH AND WOMEN

Women and youth form the majority of the country’s population and they also happen to be the marginalized and disadvantaged groups in the society. It’s for this reason that the company has come up with tailor-made products which are affordable and easily accessible to these groups.

Some of the products that KIE has developed include:-

1. Group guarantee loans: This product targets the youth and women groups especially in the marginalized areas. Members of the group are able to access funds using informal collateral such as group savings and group membership guarantee.

This enables them to borrow funds to run their enterprises even when they don’t have tangible security to secure the loans offered.

Through the same arrangement, members are able to benefit from entrepreneurship trainings which are normally conducted during their meetings by the Company’s officers.

ACCESS TO AFFORDABLE FINANCE BY YOUTH AND WOMEN Cont’d

2. Women Enterprise fund: KIE was one of the implementing agencies of this fund. This product is purely meant for women with ongoing business and also startups. The emphasis is mainly on value addition projects that utilize local materials for economic development. This program has a component of halal product to cater for the Islam faith women entrepreneurs. To date the institution has disbursed over Kshs. 150 million to over 400 women owned enterprises creating over 2,000 jobs.

3. Youth Enterprise Development fund: KIE was also one of the implementing agencies of this fund. The fund targets youth who are venturing into industrial projects both existing and startups. This program also has a component of halal product to cater for the Islam faith youth entrepreneurs. To date the institution has disbursed over Kshs 150 million to over 350 to youth entrepreneurs creating 1,750 jobs.

INCULCATING THE ENTREPRENEURIAL CULTURE AMONG THE YOUTH FOR JOB CREATION

One of KIE’s core functions is the inculcation of entrepreneurial culture. This has been achieved through various approaches targeting various groups including the youth and women. These approaches include:-

1. Training on Business Opportunities: KIE has development a training module (seminars on Business Opportunities –SBOs) designed to sensitize the youth and women on the business opportunities available within their localities. This training targets the general public and is not necessarily tied to KIE funding.

2. Client Orientation Programme (COP): This is a training targeted for entrepreneurs who are interested in KIE funding support and need to be trained on how to prepare bankable business plans that can be used to source for funding and for effective management of their business.

3

INCULCATING THE ENTREPRENEURIAL CULTURE IN THE YOUTH FOR JOB CREATION Cont’d

3. Partnership with other institutions:-

i) Women Enterprise Development & Economic Empowerment (WEDEE): KIE in partnership with ILO has been conducting trainings on women empowerment towards sustainable and decent employment. The training is mainly on identification of business opportunities, management skills and challenges faced by women entrepreneurs. So far a total of 240 women entrepreneurs have benefitted from the programme in Kisii, Kakamega and Kitui counties. Embu county will be benefitting from the same in due course.

ii) Youth Entrepreneurship & Sustainability (YES) Kenya program: KIE in Collaboration with UNDP trained the youth on development of business profiling and business plan preparation. The trained youth were to act as enterprise development agents (consultants) in various regions of the country.


iii) District Business Solution Centres (DBSCs): KIE in collaboration with UNDP established DBSCs to act as a one-stop-shop for the provision of business information and profiles, training on ICT and other business entrepreneurship skills. This programme was earmarked for the millennium districts e.g Muranga, Siaya, Bungoma, Garissa among others.

The trained youth in the YES Kenya program were to be based at the DBSCs and act as consultants in providing training and business plan preparation to the locals and other youth in the various locations. Currently, there are two DBCS managed under KIE/UNDP partnership (Bungoma and Siaya ).


iv) CDE project: KIE with funding from the Centre for Development of Enterprise (CDE) has been carrying out entrepreneurship trainings across the country on use of ICT among the youths and women to enhance ICT skills in their business management (communication, record keeping etc)

v) Partnership with training institutions/universities: The company has entered into MOUs with various training institutions to facilitate the training of students by KIE on entrepreneurship courses. The students are also facilitated for field trips to visit successful enterprises and to learn from the successful entrepreneurs who have gone through the same training before.

In addition, the institution provides internship programmes for students pursuing entrepreneurship and other business courses from various learning institutions.


3. County focus: The Company is currently putting in place modalities to enter into collaboration with county governments to assist in county resource mapping/profiling to create turnkey projects that consequently offer business opportunities to women and youth in the counties. This far, discussions are on course with various counties for offering training on investment opportunities for the youth and women within their localities.

4. Public procurement opportunities: The public procurement process currently requires all public agencies to offer 30% of all procurement opportunities to women and the youth. During this financial, the company has budget to provide procurement opportunities to the youth and women enterprises. The company is also in the process of developing a comprehensive tendering process training module to train the women and youth in matters relating to tendering and the management of the awarded tenders.


5. Market access: The Company has put in place programmes to assist youth and women entrepreneurs to participate in market exhibitions/trade fairs both locally and internationally. This provides marketing opportunities for clients that would not have otherwise management to do so individually. This exposes entrepreneurs to potential customers and to also learn from their competitors.

The institution actively participated in this year’s Nairobi International Trade Fair where the youth and women entrepreneurs were given an opportunity to display and market their products at the company stands.

Thank you! Thank you!

Our Contact KENYA INDUSTRIAL ESTATES LIMITED

HEADQUARTERS, LIKONI/LUSINGETI ROAD, P.O. BOX 78029-00507, NAIROBI

TELEPHONE: 651348/353 or 0739 332 052 FAX: 651355, EMAIL [email protected] or [email protected] Website: www.kie.co.ke