Biashara Stimulus Programme: Kamukunji residents express views over proposed plan

Residents of Kamukunji voiced their concerns during a public participation session held at the Eastleigh Social Hall regarding the proposed Nairobi County Biashara Stimulus Programme.

The programme, designed as a flagship initiative of Nairobi County, aims to empower Micro, small, and medium enterprises (MSMEs) in Nairobi by recognising their significant role in job creation, economic growth, and poverty reduction.

Anne Wangari, a small business owner, emphasised the need for additional support for small business owners currently facing significant challenges. She suggested that funds should be provided directly to community leaders for a better understanding of community needs rather than relying on banks.

"Discussions about saving money are unnecessary, and instead, authorities should simply provide the funds directly. They should entrust the money to the leaders of the chamas, who have a better understanding of the community's needs," says Wangari.

She criticised the reliance on bank opinions rather than consulting those directly involved, urging a reconsideration of the approach.

Henry Ouma, chair of Kamukunji Sub-County and community health promoter, expressed dissatisfaction with the public participation process, stating that the information provided did not align with previous sensitization sessions. He emphasised the importance of clear communication and proper sensitisation to ensure understanding among participants.

"The programme was not to my satisfaction. We were sensitised at Charter Hall regarding this same business stimulus topic, but what was discussed today was nothing like it. We were told that this programme was for hustlers at Charter Hall, but that is not the case here," Ouma said.

Ummu Risaala women's group chairperson Saumu Saidi giving her opinion on the Biashara Stimulus Program during the public participation forum held at Eastleigh Social Hall on April 3, 2024. (Photo: Ahmed Shafat).

According to him,  they had been told that mama mbogas could form a group, register, and be given loans. Further, he said they were told that individual businesses that have been running for at least two years with a valid business permit can access the loans.

"But today, we have been introduced to something different."

He noted that, as businesspeople, they would appreciate low-interest rates to make the loans affordable.

"When we talk of single-digit interest, they should not just go to the highest digit number, which is 9. Why can't they start with the 3? If my business was falling and I had a loan that attracted a 13 per cent interest rate, it would be expensive. So if the governor wants to help us, he should start with even 4 per cent so that we can afford it," he adds.

Ronald Mulema, Sub-County Administrator for Kamukunji, at Eastleigh Social Hall on April 3, 2024. (Photo: Ahmed Shafat).

Samuel Ondicho, Secretary of the Nairobi County Youth Network Organisation, criticised the public participation process, saying their opinions were not valued and decisions were predetermined.

"I don't understand our presence here since they have come with their fixed decisions and our opinions do not hold much weight. We only appear as a form of schedule for them but whatever drafts they have come with is what will be passed. We have had hundreds of public participation forums, yet our concerns are not addressed," says Ondicho.

Ronald Mulema, Sub-County Administrator for Kamukunji, assured residents that their concerns would be addressed in the final report and incorporated into the programme's implementation.

"Today's public participation has been okay. People gave out their opinions regarding the Biashara Stimulus Programme. We have taken their views, and we shall incorporate them and come up with a report. Their concerns will be addressed in their best interest," Mulema said after the forum.

Warda Shariff, the MSMEs County Officer at Eastleigh Social Hall on April 3, 2024. (Photo: Ahmed Shafat)

Warda Shariff, the MSMEs County Officer, acknowledged that while the programme may not address all concerns, efforts would be made to accommodate a significant number of them. She highlighted plans to increase access to affordable finance and provide mandatory training programmes for beneficiaries.

"It was an above-average programme, and there are those that have taken it positively, and others are on the fence, and we will do our best to represent their interests to the cabinet. We will hold another forum to give them feedback from the cabinet so that they will see how responsive the county is," Warda said.

The county aims to subsidise the cost of credit to achieve single-digit interest rates for MSEs, engage strategic partners to enhance entrepreneur capacity, and provide market linkages. Existing registered business enterprises will have access to loans ranging from Sh20,000 to Sh100,000, with mandatory training requirements for beneficiaries.

Earlier, County Executive for Business and Hustler Opportunities Maureen Njeri announced that the Biashara Stimulus Programme will boost MSMEs, which are the backbone of today’s economy, "hence the need for us to create an environment within which these businesses can thrive and effectively contribute to the GDP of the city."

“This programme will strictly benefit existing businesses, either individually or through common interest groups,” Njeri further stated. “Verification will be conducted to ensure the businesses receiving support are legitimate, viable businesses in need of support to grow.”