Thousands of young Kenyans who have been waiting for financial support under the NYOTA programme are set to receive a major boost after the government confirmed that the second tranche of start-up capital will be released by June 30, 2026.
The funding, which is being provided through a partnership between the Government of Kenya and the World Bank, had faced delays due to budgetary challenges.
Speaking on the programme’s progress, Principal Secretary for the State Department for MSMEs Development Susan Mang’eni said all beneficiaries will receive the funds at the same time. This is a departure from the earlier plan that would have seen the money disbursed in phases.
The National Youth Opportunities Towards Advancement (NYOTA) project is a five-year initiative aimed at helping vulnerable and marginalized youth gain employment opportunities and build sustainable businesses.
The programme provides support through skills training, apprenticeships, mentorship, business development services, savings promotion, and market linkages. It also offers training on Access to Government Procurement Opportunities (AGPO), helping young entrepreneurs understand how to compete for government contracts.
The project is being implemented through collaboration between several government ministries and agencies, including the Ministry of Youth Affairs, Creative Economy and Sports, the Ministry of Cooperatives and MSMEs Development, and the Ministry of Labour and Social Protection. Other implementing agencies include NITA, MSEA, NEA, and NSSF.
According to the government, the programme began implementation in March 2025 through its Business Support Component and attracted nearly two million applications from young people across the country. Since then, 122,147 beneficiaries from all 1,450 wards have been enrolled in the programme.
Participants were selected through an Entrepreneurial Aptitude Test and later received business training, mentorship, and an initial start-up grant of Ksh25,000. Out of this amount, Ksh3,000 was set aside under the NSSF Haba Haba savings scheme to encourage a culture of saving among young entrepreneurs.
Government data shows that more than 99 percent of beneficiaries have already started businesses after completing the training and mentorship programmes. To support the initiative, 46 business development firms, over 3,600 trainers, and more than 5,500 mentors have been engaged across the country.
Following the completion of the second phase of business development training in April, beneficiaries are now awaiting the release of the second capital disbursement, which will be accompanied by additional mentorship support.
The government says it is working closely with the National Treasury to address funding gaps and ensure the smooth completion of the programme’s first phase within the current financial year.
