PS Gives Timeline for Second KSh 25,000 NYOTA Fund Payout
Micro, Small and Medium Enterprises (MSME) Principal Secretary Susan Mang’eni has now shared an update on when beneficiaries of the NYOTA business support program should expect the second phase of funding.
According to the PS, the next disbursement of KSh 25,000 will be released immediately after the ongoing nationwide mentorship program is fully completed.
Speaking after a successful consultative meeting between ministry officials and NYOTA project coordinators, Mang’eni said the government was pleased with the progress made so far.
She explained that once all beneficiaries finish the mentorship stage, they will qualify for the second tranche of the NYOTA Business Support startup capital.
This second payout will be worth KSh 25,000, helping young entrepreneurs strengthen and expand the businesses they started with the first phase of the fund.
The PS also revealed that the mentorship exercise is now in its final stages, an indication that the second round of payments could begin very soon.
She emphasized that this next release of funds will be important in helping the youth-led businesses move from the startup stage into sustainable growth.
Mang’eni noted that after the mentorship phase, every beneficiary will receive the second tranche of KSh 25,000. She added that this amount includes KSh 3,000 set aside as savings under the NSSF Haba Haba savings scheme.
This means that by the end of the two phases, each beneficiary will have received total support worth KSh 50,000. According to her, this financial boost is expected to greatly improve business growth, stability, and long-term sustainability among the youth-owned enterprises.
She further disclosed that the program has already recorded major success, with more than 94 per cent of the first-tranche beneficiaries having completed the mentorship sessions.
In addition, 98 per cent of those who received the first funds have already launched their businesses, showing strong uptake and commitment among the young participants.
For the few beneficiaries who are yet to complete the training, the government has allowed a short extension period to ensure nobody is left behind. These remaining participants are expected to finish the mentorship program by April 8, 2026.
The government has consistently defended the mentorship phase as a key part of the NYOTA initiative.
Officials say the training is designed to equip young people with practical business skills, including financial management, customer service, record keeping, and growth strategies.
The aim is to make sure the beneficiaries do not just receive money, but also gain the knowledge needed to successfully run and expand their enterprises.
After the mentorship phase ends, the next step will be the Business Expertise Classroom Training, which is scheduled to begin on April 15, 2026, in all constituencies across the country.
This classroom-based training will provide additional business knowledge before the second tranche is finally disbursed.
Once this process is complete, the mainly youth beneficiaries will have received a full KSh 50,000 in business support under the NYOTA initiative.
The government hopes this amount will be enough to help many of them start strong, stabilize operations, and create even more opportunities for themselves and others.
The first phase of the fund rollout was officially concluded by President William Ruto in early February. During that phase, the government distributed nearly KSh 2.5 billion to youths drawn from all 47 counties.
The rollout reached over 100,000 young beneficiaries, marking one of the largest youth empowerment financing initiatives in recent years.
During the first phase, each selected participant received KSh 25,000 as startup support capital. With the upcoming second phase, these beneficiaries are now set to receive an additional KSh 25,000, bringing their total financial support to KSh 50,000.
This extra capital is expected to help them purchase stock, expand services, improve operations, and increase profitability.
The NYOTA project is largely financed by the World Bank, which has committed approximately KSh 25.8 billion toward the program. The funding is aimed at supporting youth entrepreneurship, job creation, and skills development across Kenya.
Apart from direct business funding, the government is also using part of the project resources to support young people through the On-the-Job Experience (OJE) program.
This component focuses on apprenticeship opportunities and workplace-based learning, targeting about 90,000 youths nationwide.
Under the OJE program, every beneficiary will receive a monthly stipend of KSh 6,000 for six months. The stipend is meant to support the youth while they are attached to employers for hands-on training.
Through this arrangement, participants are expected to gain practical job experience, improve workplace skills, and develop industry-relevant expertise that can improve their employability and long-term career growth.
Overall, the NYOTA initiative continues to stand out as one of the government’s biggest youth empowerment programs, combining direct business capital, mentorship, classroom training, savings culture, and workplace experience to prepare young Kenyans for both entrepreneurship and employment success.
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