Govt Sets June 30 Deadline for Delayed NYOTA Grant Payments
The announcement comes after weeks of uncertainty and growing concern among beneficiaries who had been waiting for the second tranche of startup grants under the World Bank-supported initiative aimed at empowering youth through entrepreneurship and skills development.
In a statement issued on Tuesday, June 2, Principal Secretary for Micro, Small and Medium Enterprises (MSMEs) Development Susan Mang’eni assured beneficiaries that the pending funds would be disbursed by June 30, attributing the delay to budgetary pressures brought about by changes in the programme’s implementation model.
According to the PS, the project was initially designed to be rolled out in phases through three separate intake groups. However, the unexpectedly high number of applications from young Kenyans forced the government and its development partners to rethink the implementation strategy.
“The government acknowledges the increasing inquiries and concerns from beneficiaries on the disbursement of the second tranche and regrets the delay, which was caused by the compression of the project and concentration of the attendant budgetary requirements in one financial year,” Mang’eni said.
Officials revealed that the overwhelming demand for the programme made the original phased rollout impractical, prompting consultations between the government, the World Bank, and President William Ruto.
Following the discussions, authorities agreed to restructure the programme and conduct a nationwide intake instead of enrolling beneficiaries in multiple phases over several years.
“Following the intervention of His Excellency the President and the World Bank leadership in Kenya, the component was rolled out as a one-off intake nationwide to avoid delays for beneficiaries,” the statement added.
Under the revised arrangement, all eligible applicants are being considered simultaneously rather than being divided into separate cohorts. Government officials argue that this approach ensures fairness while reducing waiting periods for prospective beneficiaries.
Officials noted that proceeding with the original staggered rollout would have left many applicants waiting for years before receiving support, making the one-time national intake the most practical solution.
Despite the restructuring, the grant payment framework remained unchanged. Beneficiaries are entitled to receive startup support in two separate installments, with most already having received the first tranche of Ksh25,000.
The confirmation is expected to provide relief to thousands of beneficiaries who had become increasingly anxious about the status of their payments.
Beyond direct financial support, the NYOTA programme also seeks to equip young people with practical workplace skills and employment experience.
One of its major components is the On-the-Job Experience (OJE) programme, which aims to provide apprenticeship opportunities and workplace training for approximately 90,000 young people across various sectors of the economy.
The initiative is primarily funded through support from the World Bank, which has committed approximately Ksh25.8 billion toward the broader programme.
Government officials maintain that the project remains central to efforts aimed at reducing youth unemployment, promoting entrepreneurship, and creating sustainable economic opportunities for young Kenyans.
As the June 30 deadline approaches, attention will now shift to the timely release of the remaining funds, with thousands of beneficiaries hoping the latest assurance marks the end of a period of uncertainty and the beginning of new business opportunities across the country.
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Govt Sets June 30 Deadline for Delayed NYOTA Grant Payments
