The Micro and Small Enterprises Authority (MSEA) has renewed its call for stronger partnerships between the government, financial institutions, development partners, and the private sector to improve access to affordable financing for Micro, Small and Medium Enterprises (MSMEs), describing the sector as the backbone of Kenya's economy.

The appeal was made during the 23rd East African Banking School (EABS) Conference held in Kwale County, where MSEA Director for Business Development, Marketing and Trade, Dr. Caroline Kaua, represented MSEA Chief Executive Officer Henry Rithaa.

Delivering the CEO's remarks, Dr. Kaua emphasized that unlocking finance for MSMEs requires innovative and inclusive financing models tailored to the unique realities and challenges facing small businesses.

She noted that while MSMEs continue to drive employment creation, innovation, and economic growth, many entrepreneurs remain locked out of formal financial systems due to limited access to credit, inadequate financial literacy, and informality.

Dr. Kaua highlighted MSEA's ongoing efforts to build investment-ready enterprises through business formalization, entrepreneurship training, incubation programmes, market access initiatives, and financial literacy, saying these interventions are designed to enhance the capacity of MSMEs to access and effectively utilize financial services.

She further called for closer collaboration among public institutions, banks, fintech firms, development agencies, and private sector players to bridge the financing gap and create sustainable opportunities for small businesses across the country.

The conference, themed "Navigating Credit Risk in the Digital Transformation Era," brought together key stakeholders from the banking, technology, policy, and development sectors to discuss emerging trends in digital finance, credit risk management, and financial inclusion.

Participants explored strategies to leverage technology to improve lending while ensuring responsible risk management, with discussions focusing on expanding financial services to underserved enterprises and promoting sustainable economic growth across the East African region.

MSEA reiterated that enhancing access to finance remains critical to unlocking the full potential of Kenya's MSME sector, which contributes significantly to employment and national economic development. The Authority expressed confidence that stronger partnerships between policymakers and financial institutions will accelerate enterprise growth, boost innovation, and create more jobs for Kenyans.