NAIROBI, Kenya, Nov 1 – A total of Sh3.37 billion in micro loans has been disbursed to support Micro, Small, and Medium Enterprises (MSMEs) in Northern Kenya.
Announced during this week’s Northern Kenya Impact Investment Conference, the funds were provided by the Impact for Northern Kenya (INK) Fund, a sustainable investment initiative by USAID Kenya and East Africa in collaboration with USAID Kuza.
This financing has so far benefited over 13,000 businesses and created 23,700 jobs in agri-processing, livestock, manufacturing, energy, and climate resilience across 10 counties, including Garissa, Isiolo, Lamu, Mandera, and Turkana.
Ronald Musundi, Senior Investment Manager for AV Ventures, which manages the INK Fund, highlighted the significant impact of the funds on marginalized groups, noting that 46 percent of the loans have gone to women-led enterprises.
“We call on local and international investors to join in the economic revival of Northern Kenya, especially in high-potential sectors that create sustainable, long-term impact,” Musundi said.
Due to the region’s climate challenges, over $11 million (Sh1.4 billion) has been allocated specifically to climate-smart projects.
The INK Fund distributes these loans through institutions such as First Capital Ltd., Agricultural Finance Corporation, and Mwangaza Microenterprise Ltd.
Kello Harsama, Principal Secretary in the Ministry of East African Community, ASALs, and Regional Development, underscored the economic potential of Kenya’s arid and semi-arid lands (ASALs).
“ASALs make up 80% of Kenya’s landmass and support 35% of the population,” he stated, pointing to investment opportunities in water management, solar energy, tourism, and climate-resilient agriculture.
This year’s conference, themed ‘Unveiling Opportunities: Redefining Northern Kenya as an Investable Destination’, explored strategies to attract sustainable investments and build economic resilience in the region.
The event built on earlier county-level conferences in Turkana, Lamu, and Isiolo, where stakeholders discussed the local investment landscape.
The Frontier Counties Development Council, in collaboration with USAID Kuza, has developed a Regional Investment Plan highlighting the potential for climate-smart agriculture, water resource management, and sustainable livestock farming in Northern Kenya.
