President Ruto orders two-year business permit waiver for NYOTA beneficiaries

President William Ruto has directed the implementation of a two-year business permit waiver for all beneficiaries of the National Youth Opportunities Towards Advancement (NYOTA) programme, in a move aimed at easing the cost of doing business for young entrepreneurs.

Speaking during the launch of the second phase of the NYOTA programme at the Ulinzi Sports Complex in Nairobi on Friday, the President said the government must remove bureaucratic hurdles that prevent youth-owned businesses from growing.

"Having seen what these young entrepreneurs have achieved with modest support, the government of Kenya now has a responsibility to remove the barriers that still stand in their way. Success should never be constrained by unnecessary bureaucracy," Ruto said.

"I therefore direct the Intergovernmental Budget and Economic Council, working together with the county governments, to develop and implement a two-year business permit waiver for all NYOTA beneficiaries. Young businesses deserve to find their feet before they bear the full cost of compliance," he added.

The President further directed the Ministry of Cooperatives and MSMEs Development to establish a national NYOTA identification mechanism to enable beneficiaries to seamlessly access government services, incentives and enterprise support programmes.

He also instructed state-backed financing institutions, including the Youth Enterprise Development Fund, the Uwezo Fund, the Women Enterprise Fund and other relevant agencies, to develop a dedicated NYOTA Growth Product to provide follow-on financing for businesses that outgrow the initial grants.

"The first grant must never become the last opportunity. As business grows, they require larger financing, better equipment, wider markets and stronger partnerships. So, we as government, must and will provide a clear pathway from startup to sustainable enterprise," Ruto said.

The directives came as the President announced the rollout of the second phase of the NYOTA Enterprise Development Programme, with Ksh.3.06 billion set aside to support 122,000 young entrepreneurs across the country.

"We are engaging 122,000 young people today and we are going to fund them in a few hours. We are going to spend over Ksh.3 billion across Kenya," he said.

According to the President, 88,934 young entrepreneurs who successfully invested their initial Ksh.25,000 grants will receive a second tranche of Ksh.25,000, bringing their total support under the programme to Ksh.50,000.

At the same time, he said 33,269 young Kenyans will receive their first Ksh.25,000 grants, marking the start of their entrepreneurial journeys under the initiative.

Ruto said the additional support is intended to help youth-owned businesses expand, create jobs and contribute to economic growth.

The NYOTA programme is one of the government's flagship youth empowerment initiatives aimed at supporting young people with startup capital, skills development and access to financing to establish and grow sustainable businesses.