The Kenya Private Sector Alliance (Kepsa) and the Mastercard Foundation have launched a fund to offer loans to 400 micro, small and medium enterprises (MSMEs) who have been largely affected by the pandemic, media reports said. The loans will be offered to a maximum of 400 MSMEs in the country.
The COVID-19 Recovery and Resilience Program has provided support for creation of the fund. It is reported that Kepsa will screen the MSMEs seeking to receive a loan. The screen process will check whether they are eligible to access loans.
Frida Mwangi, Founder of KaziRemote, told the media, “Covid-19 has affected my business negatively in terms of work consistency and revenue and as a result fewer working hours for my virtual employees. As a business that relies 90 percent on the outsourcing of transcription work, clients are cutting costs and my service offering is at the top of the list to be cut. Through business development services, the solution would be to remodel the business to offer skills that will be in demand now and beyond the pandemic.”
Kepa and the Mastercard Foundation are largely focused on ensuring the health and safety of employees, communities, and healthcare workers, in addition to supporting continuity of business operations on the back of the protracted pandemic.