This archive report was first published on 29 June 2021.
June 29, 2021 - The COVID-19 pandemic has brought unprecedented changes to the world, but Kenya's small and medium-sized enterprises (SMEs) are showing resilience in the face of adversity.
According to a recent study by Mastercard, 62% of SMEs in Africa are optimistic about the next 12 months, with 61% of SMEs in Kenya seeing positive signs of recovery.
As Kenya begins its economic recovery, SMEs have identified easier access to funding (73%), acceptance of digital payments, better data and insights, and digitizing business operations (72%) as the top three drivers for growth.
Mastercard has pledged $250 million to connect 50 million micro, small and medium-sized businesses to the digital economy by 2025. The company works closely with stakeholders, including the government and banking institutions, to create opportunities for SMEs, which represent 98% of all businesses in Kenya.
“SMEs have been among those hit hardest by the pandemic, and Mastercard is dedicated to continuing support to this sector, especially in terms of connections to the digital payments acceptance tools, insights and cybersecure tech solutions they need,” said Shehryar Ali, Country Manager, East Africa, Mastercard.
When asked about the main thing that keeps them up at night, 49% of SMEs in Kenya mentioned the challenge to maintain and grow their business was their top issue. Looking at concerns over the next 12 months, almost three-quarters (73%) identified the rising cost of doing business, while 44% cited access to capital.
