The State Department for MSME Development has clarified the delay in disbursing the National Youth Opportunities Towards Advancement (NYOTA) grants to beneficiaries, setting the payment date for June 30.
The clarification regarding the delayed payment of the second tranche follows public concerns and the circulation of misinformation through fake notices.
In a statement issued on June 2, Principal Secretary Susan Mang’eni attributed the delay to ongoing changes in the program and budgetary constraints.
“ The government acknowledges the increasing inquiries and the concerns from the beneficiaries on the disbursement of the second tranche and regrets the delay, which inadvertently is caused by the compression of the project and concentration of the attendant budgetary requirements in one fiscal year, necessitating budgetary enhancements,” part of a press statement dated June 2 read.
However, the government explained that the National Treasury is resolving the issue with the project budget.
In addition, the National Treasury is set to make a budgetary adjustment to enable the effective implementation of NYOTA projects.
Also Read: Govt Confirms Preparations for 2nd Tranche of NYOTA Funds
Nyota Grant Disbursement
According to PS Susan Mangeni, disbursement will commence on June 30.
Unlike the earlier NYOTA grant disbursement, all beneficiaries will receive the grant at the same time, rather than in clusters, as the government explained.
122,147 beneficiaries of the NYOTA grant from the project across the 1,450 wards in the country have been advised to await the disbursement patiently.
Further, the government has urged beneficiaries to rely only on official communication channels for updates on the NYOTA grant and avoid getting misinformation.
About NYOTA Project
The National Youth Opportunities Towards Advancement is a job-creation initiative, in partnership with the World Bank, aimed at empowering marginalized and vulnerable youth across Kenya.
In coordination with the Ministry of Youth and Sports, the Ministry of Cooperatives and MSMEs Development, and the Ministry of Labor and Social Protection, and agencies such as NITA, the project supports the youth in job creation.
Through the implementation of the project in March 2025, the Business Component NYOTA had an intake of approximately 2 million applicants.
Currently, the project has a total of 122, 147 youths benefiting from the project who were selected through the Entrepreneurial Aptitude Test (EAT).
Further, the selected beneficiaries of the project have undertaken the Business Development Support training and received the first business start-up NYOTA grant of KSh 25,000.
However, during the disbursement of the grants, the government retains KSh 3,000 as savings under the NSSF Haba Haba Scheme.
In addition to providing grants, the project has engaged 46 business development firms in Kenya that have over 3,600 trainers and over 5,500 mentors.
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