Kenya Commercial Bank (KCB) launched a youth programme dubbed “2jiajiri” back in 2016. The programme was aimed at formalizing the Informal Sector and Skills to encourage self-employment especially for the youth who currently suffer the high unemployment rates in the country. It is also among the goals of the programme to grow youth micro-businesses in the informal sector and finally elevate them to a position of employing at least 5 other young people. The ultimate goal being creating 250,000 jobs in 5 years.
The programme has grown yearly in leaps and bounds mainly due to the single digit interest rates that they offer on their funding. In 2018, for example, KCB disbursed a total of Kshs. 18.3 billion in funding local SME’s and has over time advanced a total of Kshs. 4.4 billion to slightly over 17,000 micro SMEs to finance their growth while over 10,000 other SMEs have accessed Kshs. 13.9 billion in loans.
The programme employs a 3-step approach as below:
Inception
This includes provision of vocational skills training mostly in construction, automotive engineering, beauty, domestic services and agribusiness. Already 4459, 1383, 2119, 1145 and 13953 respectively are beneficiaries of the programme.
Incubation
This is provision of Financial Support and Business Development Services (BDS) for existing or new businesses for a 12-month period to the programme’s participants. The BDS structures a three-member consultancy team dealing with legal, marketing and financial management support available for the new businesses.
Maturity
Finally, the new businesses achieve a Bankable Status whereby they are facilitated to secure business services from a Financial Institution.
KCB Kenya through the Group CEO and MD Joshua Oigara recently announced a Kshs. 50 billion commitment towards boosting the Youth Entrepreneurship Programmer, therefore offering fresh opportunities to thousands of budding entrepreneurs. 2jiajiri is truly going a long way in promoting President Uhuru Kenyatta’s “Big Four” Agenda during his Second Term in office.
