Nairobi County lists conditions for unregistered business owners to access loans

May 7, 2024 Vaseline stjohnson 0

The Nairobi County Government under Johnson Sakaja has revealed the conditions that wedding riders and poultry farmers must meet to access loans in a new proposal.

Under the Biashara Stimulus Programme, Kenyans living in Nairobi and working in these two sectors will need to be registered with the county or be part of a common interest group.

According to a document drafted by Governor Johnson Sakaja’s administration, this will ensure that the business owner has a group guarantor to qualify for the loan.

Nairobi Governor Sakaja chaired the 24th Nairobi County Government Cabinet Meeting on April 30, 2024.

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Nairobi County Government

The county government was responding to concerns raised by city residents during a public participation session.

“Participants asked whether BodaBoda and poultry farmers should have all business permits and documents to be eligible for the stimulus programme,” asked Kenyans in Embakasi North.

In addition to these two categories, street vendors will also need to be registered to have a business permit or be part of the group to qualify.

On the other hand, those who operate informal businesses, such as those who manage their establishments under temporary structures, will also need to obtain a Unified Business Permit (UBP) and be part of a group, association or chama.

Digital businesses will also be considered for loans if they meet the necessary requirements as set forth by the county.

When this program is implemented, all beneficiaries will have to complete mandatory training that will be free for everyone. The county will also subsidize the interest rate on the loan.

All members of a Common Interest Group must not be listed negatively on a Credit Reference Bureau (CRB).

“Members of the group will apply for loans as individuals, the rest will be guarantors. The CRB status of the loan applicant and guarantors must be positive to qualify for a loan,” the county explained.

All eligible business owners were urged to form groups and take advantage of the upcoming program. Loan limits for business owners increase the more they borrow.

A market in Kenya.

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UpKenya