Government Increases Funding for NYOTA Program As Beneficiaries Rise

The government has increased funding for the National Youth Opportunity Towards Advancement (Nyota) programme after expanding the number of beneficiaries targeted this financial year.

An additional Sh3.38 billion has been allocated through a mini-budget, raising the total funding for the programme this year to Sh4.8 billion. The increase follows a decision by the government to raise the number of youths benefiting from the programme to 50,000, up from the earlier target of 17,500.

The Nyota initiative, which is supported by the World Bank, focuses on helping young people aged between 18 and 29 to start and grow businesses. It combines startup grants, business mentorship, skills training, and digital lessons on how to access government opportunities.

According to MSMEs Principal Secretary Susan Mang’eni, more than Sh3 billion has already been released as part of the first round of startup funding. She added that young entrepreneurs who receive the grants will also benefit from about two months of mentorship aimed at improving the success rate of their businesses.

Beyond direct financial support, the programme also aims to equip thousands of youths with practical skills needed in the job market. The government plans to provide digital training to about 600,000 young people, while another 90,000 are expected to undergo training in skills that are currently in demand. In addition, 20,000 youths are set to receive professional certification.

The initiative will also support business growth through capital and expansion grants targeting about 120,000 beneficiaries. These grants are expected to total Sh6 billion, with Sh720 million automatically directed to National Social Security Fund (NSSF) savings to encourage long-term financial security.

Overall, the Nyota programme has a budget of Sh33 billion and will run until December 2028. Of this amount, the World Bank will provide Sh29.5 billion, including a loan component of Sh25.8 billion, while the government will cover the remaining portion.

The programme is part of broader efforts by the government to address youth unemployment by supporting entrepreneurship, improving skills, and creating more opportunities for young people across the country.