Digital villages come of age as kitty is launched

By MACHARIA KAMAU

Plans to take information and communication technology services to rural areas through digital villages are finally expected to come to fruition.

This follows the launch of a revolving kitty that will avail Sh320 million to local technology entrepreneurs to borrow and set up the technology centres across the country. The revolving fund, which has been set up with a $4 million (Sh320 million) loan from the World Bank, will be advanced as to entrepreneurs setting up digital villages or Pasha Centres across the country.

The project is expected to bridge the IT divide between rural and urban Kenya, with each constituency expected to get at least one Pasha Centre over the next two years.

The country has had plans to set up the centres for the last four years but failed due to lack of funding.

The Centres will be Internet access centres that will also offer ICT training, access to educational materials and Government services, Internet Protocol telephony as well as act as a retail centre for ICT-related services.

The project is expected to be implemented by the Kenya ICT Board and Family Bank. Family Bank will disburse the Sh320 million while the Board has trained over 1, 500 entrepreneurs to run the Centres and will offer technical support for an year after setting up before leaving them to run on their own.

Entrepreneurs can apply for a maximum of Sh3 million and repay over a 36-month period at a relatively low interest rate of 11.5 per cent. The loan application is open between today and February 25.