President Ruto Presides Over KSh 250 Million KDC Financing to Trans Elite SACCO, Unlocking Credit for Over 10,000 MSMEs

President H.E. Dr. William Samoei Ruto today presided over the issuance of a KSh 250 million financing facility from the Kenya Development Corporation (KDC) to Trans Elite County SACCO, a move expected to expand access to affordable credit for over 10,000 Micro, Small and Medium Enterprises (MSMEs) across the North Rift region. The financing will be deployed through the SACCO’s digital lending products, Vuka Digital Loan and Kilimo Biashara; providing flexible and accessible financing to farmers, traders and entrepreneurs in Nandi, Vihiga and Uasin Gishu counties. The facility will support key local value chains including dairy, tea, coffee and retail trade. The funding is part of the Kes. 13 billion Supporting Access to Finance and Enterprise Recovery (SAFER) Programme, supported by the World Bank, which aims to strengthen financial institutions and expand access to affordable financing for MSMEs across Kenya. Speaking during the event, President Ruto underscored the role of SACCOs and MSMEs in driving Kenya’s economic transformation. “SACCOs remain a powerful vehicle for advancing financial inclusion and supporting the growth of small businesses that form the backbone of our economy. I am particularly encouraged to witness the resilience of MSMEs across the country. Many of the businesses that were severely affected during the COVID-19 pandemic are now recovering and expanding as a result of improved access to affordable financing by the Kenya Development Corporation. This support is enabling entrepreneurs, farmers and traders to rebuild their enterprises, create jobs and contribute meaningfully to our Bottom-Up Economic Transformation Agenda,” said the President. MSMEs continue to play a critical role in the national economy, accounting for over 90%of all businesses, employing more than 15 million Kenyans and contributing over 30% of Kenya’sGDP. Despite their importance, access to affordable credit remains a key barrier to growth formany enterprises. The Director General of Kenya Development Corporation, Ms. Norah Ratemo, noted that the financing underscores the catalytic role of development finance institutions in unlocking capital for grassroots enterprises. “This financing to Trans Elite SACCO reflects KDC’s commitment to strengthening the liquidity of financial intermediaries that serve MSMEs. By channeling resources through SACCO networks, we are enabling thousands of entrepreneurs and farmers to access the capital they need to grow their businesses, expand productivity, create jobs, and contribute to Kenya’s broader socio-economic transformation,” she said. The SAFER facility to the Sacco has so far benefited 2,774 MSMEs enabling businesses to stabilize operations and sustain employment following the economic disruptions caused by the COVID-19 pandemic. Notably, 43.4% of the beneficiaries were women and youth entrepreneurs, demonstrating the programme’s contribution to inclusive economic participation. “The SACCO has embraced digital transformation through mobile and USSD banking platforms, allowing members to access financial services conveniently and enhancing financial inclusion in rural communities,” said Trans Elite CEO, Vincent Too. Under the SAFER Programme, KDC provides wholesale financing to financial intermediaries including SACCOs and microfinance institutions, allowing capital to reach enterprises operating at the grassroots level where access to conventional financing is often limited. To date, 83 percent of the programme funds have been committed to 14 financial institutions, with a target of reaching over 800,000 beneficiaries nationwide. The initiative aligns with the Government’s Bottom-Up Economic Transformation Agenda (BETA), which prioritizes strengthening MSMEs, supporting cooperative institutions and expanding financial inclusion as key drivers of job creation and sustainable economic growth. By leveraging SACCOs as trusted community-based financial institutions, the programme continues to unlock opportunities for entrepreneurs while accelerating socio-economic transformation across Kenya. Kenya’s small businesses are getting the boost they need to recover, grow, and create opportunities for all.