Micro, Small and Medium Enterprises (MSMEs) are strategic drivers of socio-economic transformation in developing nations. In Kenya’s Vision 2030 blueprint, growth of the manufacturing sector is among the six drivers of the Kenyan economy under the economic pillar. Sustainable Development Goal number nine identifies building of resilient infrastructure, promoting inclusive and sustainable industrialization and fostering innovation as key sustainable development. MSMEs play a critical role in job creation and wealth generation in all sectors of Kenya’s economy.
Kenya Industrial Estates (KIE) is a parastatal and a development finance institution (DFI) in the Ministry of Industrialization, Trade and Enterprise Development established by the Government of Kenya to champion the development of Micro Small and Medium Enterprises (MSMEs) throughout the country with focus on clustering of industries, entrepreneurship development and value addition to locally available raw materials.
The mandate of KIE involves: facilitating the industrial sector by promoting entrepreneurship; providing medium and long term development finance to indigenous MSME and incubation of MSMEs countrywide to facilitate their survival and growth. It indeed facilitates the graduation of micro and small enterprises to medium and large enterprises commonly known as the “Missing Middle’’ as well as facilitating rural industrial development.
KIE conducts SME incubation at its industrial sheds/SME Parks and estates. Enterprises within the incubators are able to access a pool of shared support services to reduce overhead/production costs (e.g. water, electricity, waste disposal, security services, training centres/halls and exhibition halls), management and technical assistance which involve skills upgrading, marketing and advisory services; networking services which creates synergy between client firms and associations, and also acquisition of machinery/equipment and financial support services.