NAIROBI, June 18 (Xinhua) -- The World Bank said on Monday that it has approved 50 million U.S. dollars for a project to increase scale innovation and productivity amongst Kenya's small enterprises.
Diarietou Gaye, World Bank Country Director for Kenya, said the Kenya Industry and Entrepreneurship project (KIEP) is expected to benefit some 33,050 individuals and 2,393 firms.
"We are partnering with Kenya as it works to improve its human capital, technology and knowledge outputs," Gaye said in a statement issued in Nairobi.
She said the lender is committed to supporting the East African nation in creating employment and business opportunities as part of the county's wider strategy to fast-track economic growth.
Gaye said the project will support the ambitious development targets outlined in Kenya's Big Four development agenda and Vision 2030 that require significant growth in private sector jobs and overall productivity.
The Big Four Agenda is a five-year development plan by President Uhuru Kenyatta to transform the lives of Kenyans through manufacturing, food security, universal healthcare and cheaper housing, meant to consolidate his legacy in his last term that ends in 2022.
The country's trade and industry ministry has prioritized technology and innovation as the basis for national industry development and the role that private sector firms play in driving Kenya's industrialization.
Elena Gasol Ramos, Senior Private Sector Specialist and Task Team Leader, said the project will directly benefit 250 SMEs, 640 students, 15 corporates, 162 startups, 30 technology hubs and seven technology bootcamp providers.
"In today's fast-paced, globalized economy, start-up driven innovation is key for economic development as it creates new jobs for the growing youth demographic," said Ramos.
The World Bank says Kenya lacks the adequate skills that can produce a solid pool of internationally competitive, technology enabled businesses.
According to the lender, the small enterprises, which are key drivers of the economy, face difficulties in improving their productivity due to poor managerial practices and information failures around how to upgrade.
