Small Businesses, Big Future: Gov’t Starts Countrywide Review of MSME Act and Policy 2025
By Christine Ngitori
The government has launched a nationwide public participation and stakeholder engagement campaign to validate the draft Micro, Small and Medium Enterprises (MSME) Policy 2025 and the amended MSE Act, aiming to eliminate barriers hindering the growth of small businesses across the country. The forum held at Lowland Hotel in Ndagani, Tharaka Nithi County, is one of many being conducted in all counties, as the State Department for MSME Development seeks views from stakeholders in every region to strengthen Kenya’s MSME ecosystem.
The 3rd person from the left side is the assistant director micro and small enterprises authority
Tharaka Nithi County Commissioner David Gitonga emphasized the government’s resolve to create an enabling environment for small businesses, including access to resources, better infrastructure, and a simplified regulatory framework. “We are committed to ensuring that small-scale traders operate in humane conditions with access to tools that help them grow,” said Gitonga. He also encouraged the youth to embrace digital and remote work opportunities, stating that “the government has strategies in place—what the youth need is internet and the willingness to work.”
Gitonga pointed to government initiatives such as the Hustler Fund and Farming as a Business (Kilimo Biashara) campaign as avenues young people can explore for empowerment, instead of engaging in destructive behavior. Raynold Njue, Assistant Director at the Micro and Small Enterprises Authority (MSEA), said the forums aim to raise awareness about the new policy direction while collecting meaningful input from MSME stakeholders.
“This sector is the engine of our economy—over 90 percent of enterprises in Kenya belong to the MSME category. We want to ensure that any intervention agreed upon is realistic, inclusive, and capable of supporting business growth, enhancing infrastructure, and expanding market access both locally and globally,” he said. He added that public participation is being carried out across all 47 counties to ensure that no voice is left out in shaping the future of the sector.
Isiolo County CEC for Tourism, Trade, Cooperatives and Enterprises, Lorence Mwongera, praised the participatory approach, saying it respects and includes everyone’s voice. He urged young people to actively get involved in entrepreneurship, noting that many have yet to take up opportunities in the sector, which has often been left to older generations. He also stressed the importance of peace and infrastructure—such as roads and electricity—for sustainable business growth. The ongoing review of the MSE Policy 2020 and the proposed amendments to the MSE Act 2012 are expected to create a robust and inclusive MSME framework that supports job creation, wealth generation, and Kenya’s broader economic transformation.
