Khwisero: The government will merge the Uwezo Fund, Youth Fund, and Women Enterprise Fund into a single entity, the Biashara Fund, to streamline access to financing for small businesses and eliminate loopholes that have led to misuse, Cabinet Secretary for Co-operatives and MSMEs Wycliffe Oparanya has said.
According to Kenya News Agency, CS Oparanya spoke in Khwisero Sub-County during the disbursement of Uwezo Funds, stating that the consolidation aims to enhance efficiency, improve resource allocation, and curb cases of individuals unfairly benefiting multiple times from different funds.
Oparanya expressed concern over youth and women taking advantage of the current fragmented system to access multiple loans, unfairly denying others a chance to benefit. 'We have cases where a woman applies for the Women Enterprise Fund, then again takes the Youth Fund, and later joins a self-help group to secure Uwezo Fund. This is exploiting the system, while many others who need support remain locked out,' said Oparanya.
He added that the Biashara Fund will seal these loopholes by introducing a single, centralized database to track and regulate beneficiaries and ensure fair distribution of resources. The Biashara Fund will provide affordable credit, capacity-building programs, and mentorship to youth, women, and small business owners across the country.
By merging the funds, the government aims to simplify access, reduce bureaucratic hurdles, and prevent duplication. 'The government is consolidating these funds under the Biashara Fund to ensure a more efficient, transparent, and impactful financial support system for small businesses,' Oparanya said.
Several Western Kenya leaders in attendance, including MPs Christopher Aseka (Khwisero), Bernard Shinali (Ikolomani), Emmanuel Wangwe (Navakholo), Fred Ikana (Shinyalu), Elsie Muhanda (Kakamega County), and Titus Khamala (Lurambi), backed the proposal, saying it would empower local businesses and drive economic transformation.
Khwisero MP Christopher Aseka said the move aligns with the government's efforts to boost entrepreneurship and create sustainable job opportunities. 'By consolidating these funds, we eliminate inefficiencies and ensure that every business owner, especially our youth and women, can access capital more easily,' Aseka noted.
Navakholo MP Emmanuel Wangwe added that proper management and transparency would be crucial for the fund's success. The government is expected to officially roll out the Biashara Fund in the coming months with clear guidelines on application procedures, interest rates, and repayment terms.
The move is seen as a major step in Kenya's economic transformation agenda as it seeks to empower MSMEs, create jobs, and drive inclusive economic growth while eliminating misuse and unfair distribution of resources.