The Principal Secretary for Micro, Small, and Medium Enterprises (MSMEs), Susan Mangeni, hosted a team from the United Nations Development Programme (UNDP) to discuss strategies for strengthening MSMEs and regional value chains across the continent.

The meeting explored key opportunities, including the Biashara Africa initiative and the African Continental Free Trade Area (AfCFTA), aimed at fostering trade and economic integration across the continent.The Government of Kenya is exploring avenues of unlocking access to funds for exporters and ensuring that  MSMEs can supply products to large enterprises. 

"We need for support mechanisms to help MSMEs export finished products while maintaining quality and brand visibility. For instance, ensuring that exported Kenyan tea retains its original taste would enhance global market appeal."She noted.

In Kenya, MSMEs play a vital role in job creation and GDP contribution. The country has made significant progress in promoting inclusive policies, such as the 30% government procurement reservation for youth, women, and persons with disabilities. Through such initiatives, Kenya aims to encourage other African nations to enhance their Affirmative Government Procurement Opportunities (AGPO) programs and integrate them into the private sector to unlock markets and support MSMEs.

According to the PS,one of the critical barriers is trade financing for MSMEs in Africa, as well as challenges in regional value chains and competitiveness.

"We need to rethink and be deliberate on making MSME financing more accessible and implementing reforms around collateral requirements to ease financial constraints." Noted the PS

Logistics and infrastructure remain major challenges for African MSMEs, often making it easier to export products outside the continent than within Africa itself. The meeting highlighted the need for enhanced logistics solutions to facilitate intra-African trade and improve supply chain efficiencies through coordinated infrastructural development that will open markets for MSMEs to traverse the continent  free.

Kenya has positioned itself as a strong advocate for Africa’s free continental trade. Notably, in November, the country flagged off its first shipment of locally manufactured goods, produced by a youth entrepreneur, to Juba, the Democratic Republic of the Congo (DRC), and Zambia.

Additionally, the meeting addressed the upcoming 25th East African Community (EAC) MSMEs Fair, which will be hosted Kenya. This year’s fair, scheduled ahead of the EAC Heads of State Summit, will provide a crucial platform for discussing MSME challenges and advocating for policies to unlock the sector’s full potential across Africa.

The discussion aligns with this year's  International MSMEs Day on
Business for MSMEs – Connecting the Entrepreneurs that will offer strategies of connecting  MSMEs with the resources they need including finance,technology and market access.