This archive report was first published on 27 October 2021.
On October 27, 2021, Tala, a fintech startup, launched the Jijenge na Tala Rebuild Fund Business Program to support Kenyan micro, small, and medium-sized enterprises (MSMEs) affected by COVID-19.
According to Ivan Mbowa, Managing Director at Tala EA, MSMEs are crucial to Kenya's economic growth but often struggle to access business credit. To address this, Tala will provide grants and subsequent business skills training to eligible businesses.
‘We understand the pivotal role that MSMEs play in our economy. They, however, remain disproportionately underfunded and with no financial assistance in most cases, we are keen to provide these enterprises with a boost to help them get back what they have lost during this and the past year,' Mbowa said.
Tala has partnered with various stakeholders, including Somo Project, to deliver the program's promise of helping growing businesses with the financial muscle and information they need to build back better.
Kevin Mutiso, the Digital Lenders Association of Kenya (DLAK) board chairman, commended Tala for rolling out the program, which he said sets the pace for a good relationship between digital credit providers and small entrepreneurs.
‘The future belongs to MSMEs and we need to help them position themselves for success as we hopefully begin to see an upward economic trajectory,' Mutiso said.
Tala's efforts are a continuation of their COVID-19 Rebuild Fund Initiative launched in 2020, which saw the lender offer 0 percent interest loans to over 180 businesses offering essential services.
