Youth Urged to Tap Government Startup Funds to Boost Entrepreneurship

By Mbungu Harrison

Email, thecoastnewspaper@gmail.com

With youth unemployment remaining a persistent challenge, leaders and development partners are calling on young people at the Coast region to seize newly available opportunities in entrepreneurship.

At an Entrepreneurship Summit held in Mombasa and organised by BrighterMonday Kenya in partnership with the Mastercard Foundation, youth were encouraged to embrace entrepreneurship as a pathway to financial independence.

The event brought together government officials, financial institutions and development organisations. They were all united by a common goal to empowering the next generation of business owners.

BrighterMonday Kenya managing director Sarah Ndegwa urged young people to take a leap of faith and utilise the government’s financial programmes tailored for youth enterprises.

“We are asking them to start small and then grow. We hope that the whole interaction, engagement and the partnerships that we have and the different partners that have also come here today will help them start their businesses or even grow the small businesses that they have already started,” she said.

The MD applauded persons living with disabilities for their resilience and commitment to building sustainable livelihoods, noting that self-reliance not handouts is the key to long-term success.

“The youth are motivated to be self-reliant. The handouts are not really the solution. The solution is to find them something sustainable that they can use every day, in and out, to build themselves and to continue their lives,” she said.

Her sentiments come at a time when coastal youth are being encouraged to tap into government financial inclusion programmes such as the National Youth Opportunities Towards Advancement (NYOTA) fund.

These funds aim to provide capital for income-generating ventures and reduce overreliance on short-term assistance.

However, despite the availability of youth-friendly financing options, the State Department of Youth warns that uptake in the Coast region continues to lag.

Assistant director Rhoda Kisunza expressed concern over both low applications and poor repayment rates.

“Those who have taken them haven’t been able to repay the loans. Even though these loans are zero-rated, they’re not profitable,” she noted.

The director emphasised the need to shift prevailing attitudes and encourage more youth to pursue available funds, pointing out that other regions have shown stronger enthusiasm and better performance.

“We’re trying now to change that mindset through our training. We are trying to show them that even in the Central region, they started like that, and they have now grown. Most of the time, you find that we are closing a financial year and we still have money in our accounts.”

“When you go to the counties in the mountain region, you find that the money has run out, and even the political leaders have to add more money. I’m urging our youth in Mombasa and the coast region to apply for the funds. These programmes are there, and they have been made youth-friendly for our youth to grow,” she added.

To increase uptake, the Youth Department has joined hands with BrighterMonday Kenya, Equity Bank and other partners to train young people in entrepreneurship, financial management and government procurement opportunities (AGPO).

Youth also receive specialised training on funds such as Youth and Uwezo and are offered platforms to showcase their products at trade fairs and exhibitions.

Equity Bank Coast regional manager Joseph Ndungu underscored the critical role young entrepreneurs play in driving economic transformation.

He noted that the bank remains committed to supporting youth with essential skills and financial access.

“The biggest problem youth encounter in business is access to capital,” he said adding that many fail due to weak securities, poor financial management, governance is yoursues, tax policy shifts and global supply chain disruptions.

Despite the challenges, organisers expressed optimism that strengthened collaborations, enhanced awareness and targeted capacity-building will inspire more young people to pursue entrepreneurship and in the process, unlock the region’s economic potential.