Second Phase of NYOTA Fund to Be Disbursed After Mentorship Completion, PS Confirms
The government has announced that the second phase of the NYOTA Business Support Fund will soon be disbursed to beneficiaries, following the completion of an ongoing nationwide mentorship programme aimed at strengthening entrepreneurial skills among youth.
Micro, Small and Medium Enterprises (MSME) Principal Secretary Susan Mang’eni confirmed the development after a consultative meeting between ministry officials and project coordinators overseeing the NYOTA initiative. The programme, which targets youth-led enterprises across the country, is a key component of Kenya’s broader economic empowerment strategy.
“Upon completion of the mentorship program, beneficiaries will receive the second tranche of NYOTA Business Support startup capital amounting to Ksh25,000 (inclusive of Ksh3,000 in savings under the Haba Haba scheme by NSSF), bringing the total support to Ksh50,000 per beneficiary, further accelerating business growth and sustainability,” Mang’eni stated.
The mentorship programme, implemented in collaboration with the Micro and Small Enterprise Authority (MSMEA), has been central to preparing beneficiaries with practical skills in financial management, business planning, and market access. Government officials have emphasized that the training ensures recipients are better equipped to utilize the funds effectively and sustain their enterprises.
Progress reports indicate that over 94 per cent of beneficiaries who received the first tranche have already completed the mentorship component, while approximately 98 per cent have successfully launched their businesses. The remaining participants are expected to conclude the programme by April 8, following a short extension granted to accommodate late enrolments.
The government has maintained that linking funding to training is a deliberate strategy to enhance accountability and reduce the risk of business failure among first-time entrepreneurs.
Following the mentorship phase, beneficiaries will proceed to the second stage of training, known as the Business Expertise Classroom Programme, scheduled to begin on April 15, 2026. This phase will be conducted across all constituencies and is expected to further refine participants’ entrepreneurial competencies before the release of funds.
The NYOTA programme, largely targeting young people, is designed to stimulate grassroots economic activity by supporting small business startups and expansion. Through the initiative, beneficiaries will ultimately receive a combined total of Ksh50,000 to establish and grow their ventures.
The first phase of fund distribution was officially launched earlier this year by President William Ruto, who oversaw the rollout of approximately Ksh2.5 billion to youth beneficiaries across all 47 counties. Each participant initially received Ksh25,000 as seed capital under the programme.
The NYOTA project is primarily funded by the World Bank, with a total project cost estimated at Ksh25.8 billion. The funding supports both direct financial assistance and capacity-building initiatives aimed at fostering sustainable entrepreneurship.
Officials say the combined approach of financial support, mentorship, and workplace experience is intended to create a holistic empowerment model that not only promotes business creation but also enhances employability and long-term economic resilience.
As the mentorship phase nears completion, attention now shifts to the timely disbursement of funds and the programme’s broader impact on youth entrepreneurship across the country.
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Second Phase of NYOTA Fund to Be Disbursed After Mentorship Completion, PS Confirms
