Youth Fund to process loans in 48 hours as it rolls out turnaround plan

Cabinet Secretary public service youth and gender affairs, Sicily Kariuki PHOTO: COURTESY

The Youth Enterprise Development Fund is set for additional changes that could see it process loans within 48 hours.

Youth Affairs Cabinet Secretary Sicily Kariuki (pictured) said the fund will undergo major changes to make it more accessible and relevant to the youth, especially those without business experience.

Speaking in Homa Bay County over the weekend, Ms Kariuki, who is fighting to turn around the image of the fund that has been rocked by scandals in the recent past, directed the new board to overhaul its processes and adopt modern practices and technology.

Doing business

She also asked the board to match its turnaround time to the banking sector, which is able to issue loans within 48 hours of application.

Currently, it takes as long as three months for the youth to get money from the fund.

The period could even be longer for applicants of other products, such as greenhouses and chicken incubators, given the tedious paperwork required and bureaucracy.

Kariuki was presiding over the graduation of 4,700 youths from Homa Bay who were trained in entrepreneurship by the Youth Enterprise Development Fund (YDEF), in partnership with the county government.

The training covered business planning, registration and doing business with Government, and targeted youth in business and those aspiring to start income-generating activities.

The fund’s new board chairman Ronald Osumba said the new changes would be implemented under 100 days rapid results initiative that will be rolled out in the coming days.

The fund’s former chairman, Bruce Odhiambo, was accused of sanctioning a change in bank signing instructions days before about Sh181 million was wired out of the institution’s account.

 It was said he wrote a letter to Chase Bank, where the institution had a fixed deposit account, asking for a change in the signing mandate.

The new instructions gave the chief executive exclusive powers to transfer funds from the account. Mr Osumba said his team, which was appointed a month ago, would focus on improving awareness, enhancing access to services, re-engineering products and improving customer experience.

He said the board will develop products that meet sectoral, cultural and geographical needs.

The CS challenged young people to take the initiative to improve their economic well-being. She asked them to give suggestions on how they want to be served as the Government “serves the interests of its people”.