By: Robert
Kwaku Annor
Kenya’s DigiKen programme is
bringing together government, the United Nations, development partners and the
private sector to accelerate digital transformation, with approximately US$4.26
million in funding and co-financing supporting initiatives focused on citizens,
businesses and innovation.
The update was announced by
Principal Secretary for the State Department of ICT and Digital Economy, Eng.
John Kipchumba Tanui, following a meeting of the DigiKen Joint Steering
Committee, which he chaired.
The programme supports 15
digital innovation hubs delivering initiatives in media and information
literacy, digital skills, digital platform entrepreneurship and sustainable
artificial intelligence technologies.
DigiKen targets more than
20,000 public-sector officials for capacity building in digital transformation,
governance and AI, while also supporting 150 MSMEs, start-ups and
entrepreneurs, with half of the beneficiaries expected to be women and
youth-led businesses.
The programme is also
targeting approximately two million digital platform users and about 4,500
direct jobs as Kenya seeks to strengthen an inclusive and sustainable digital
ecosystem.
The Joint Steering Committee
meeting brought together senior representatives including United Nations
Resident Coordinator in Kenya Dr Garry Conille, UNESCO Regional Director and
Representative for Eastern Africa Louise Haxthausen, UNCDF Regional Investment
Team Lead Omon Ukpoma Olaiya, UNESCO Programme Coordinator John Okande, UN
Women Women’s Economic Empowerment Unit Team Lead Millicent Okello, and
representatives of Co-operative Bank of Kenya, Zakayo Maina and Alex Kinyua.
According to Tanui, Kenya
has the highest growth rate of home-grown digital platforms in Eastern Africa
at 71%, while digital platforms are projected to mediate 30% of global economic
activity by 2030. With about 1.2 million Kenyans already working in the gig
economy, he stressed the importance of building a digital ecosystem that is
both inclusive and sustainable.
A key component of DigiKen
is improving access to finance for digital MSMEs, particularly asset-light
businesses and enterprises operating in arid and semi-arid lands (ASALs). The
United Nations Capital Development Fund (UNCDF) has established a US$900,000
portfolio guarantee with Co-operative Bank, providing 50% coverage for eligible
financing and up to 70% coverage in higher-risk and underserved areas.
Co-operative Bank has
approved four DigiKen financing products covering digital credit providers,
fintech businesses, e-commerce and MSMEs digitising their operations, as well
as digital hubs and ecosystem enablers. The financing is intended to demonstrate
that digital enterprises can become a viable commercial lending segment beyond
the guarantee period.
Tanui said Kenya’s digital
transformation agenda must ultimately be measured by whether it makes life
easier for citizens and businesses. For citizens, this means easier access to
services, lower costs, online tracking and timely feedback, while businesses
should benefit from simpler compliance, better access to information and
finance, and greater opportunities to grow, create jobs and reach markets.
