Paul Arithi 
Micro, Small, and Medium Enterprises(MSMEs) in the country have been urged to take advantage of the available financial solutions offered by banks to boost their businesses.
The announcement was made during the opening ceremony of the 2022 Inua Biashara forum, hosted by the Kenya Bankers Association, which brought together key financial industry players to explore measures that financial institutions, government agencies, and other key stakeholders can take to help MSMEs to scale up their businesses in efforts to help them recover from the adverse effects of the
Covid-19 pandemic.
Speaking during the event, Dr. Julius Muia, Principal Secretary at the NationalTreasury and Planning said that banks have enough financial products that if well utilized can revolutionize the MSME industry.
“Micro, Small and Medium-sized Enterprises are critical drivers of economic growth and contribute greatly towards poverty alleviation and employment creation in the country. However, this vital sector continues to face grave challenges that inhibit its ability to reach its full potential. One such challenge is their failure to access affordable bank finance. This was worsened with the advent of the health crisis in
2020. However, there are many financial solutions being offered by banks in Kenya which MSMEs need to take advantage of to boost their businesses.”
He also urged the small businesses in the country to take up affordable government business loans under the National Credit Guarantee Scheme launched in 2020.
“The National Credit Guarantee Scheme was designed to support micro, small and medium-sized enterprises to secure affordable credit with low collateral requirements from formal lending institutions. The Government, therefore, encourages eligible MSMEs to approach the participating banks in order to access these facilities. It is our hope that the participating lenders and borrowers will utilize this opportunity in the most responsible way to ensure that the objective of stimulating our economy and preserving and creating employment is realized,” added Dr Muia.
Dr. Muia further encouraged the banking industry to develop suitable, tailor-madefinancial solutions that address MSMEs challenges and help them reach their full potential.His sentiments were echoed by I&M Bank CEO Kihara Maina who encouraged MSMEs to apply for the Inuka Enterprise Program.
