200 groups benefit as business loans kitty launched

Kiambu Governor William Kabogo flanked by county executive committee member in charge of youth sport and communication Machel Waikenda yesterday at Kiambu county headquarters where they disbursed Kiambu biashara funds to the first batoictch of beneficiaries, picture taken July 1/2018. PHOTO BY JOHN KARUME.

Some 200 groups of youth, women and persons with disabilities have received the first batch of funds under the created Biashiara Fund.

Disbursing the money, Governor William Kabogo said it is to be used by the beneficiaries as capital to start small businesses to empower themselves economically.

He challenged the beneficiaries to spend the funds wisely and repay the money in time.

"This fund belongs to the government and the beneficiaries should not misuse it. They should spend it wisely, return it and apply for more funds," said Mr Kabogo

Youth and Sports Executive Machel Waikenda, who came up with the idea, said the kitty will employ other people at the grassroots level.

Mr Waikenda said the money does not attract any interest rate apart from the five per cent administrative fee spread across the life of the loan.

He added that a 0.05 per cent insurance will be charged on the loan to cater in case of life or permanent disability.

Waikenda told those who missed out not to give up since the disbursement was the first batch as within three weeks, other groups will benefit from the same.

Revolving fund

"It's a continuous process. The money will be released from time to time since it's a revolving fund that will be given out at least once a month," he said.

Beneficiaries got between Sh200,000 and Sh700,000, which is repayable within 36 months. Beneficiaries can apply for more funds even before completing paying the first loan.

Applicants were thoroughly vetted with the vetting panel going round the 60 wards for capacity building.

"I know those who have benefited will be successful in their businesses and be able to repay the money as soon as possible for others to also benefit," he said.