What is the Jiinue Growth Program?

A consortium of financing ecosystem players in Kenya, including Grassroots Business Fund, DT Global, Kenya Private Sector Alliance, Kenya National Chamber of Commerce and Industry, GROOTS Kenya, 4G Capital, Powered by People partnering with the Mastercard Foundation have come together in the Jiinue Growth Program (JGP) to provide tailor- made financing and technical support to Micro, Small and Medium Enterprises (MSMEs) in Kenya to enhance their resilience and growth:

• The five-year partnership seeks to provide technical assistance and access to finance to mainly young women and men and young women led businesses.
•  The initiative is implemented in all 47 counties across Kenya making it possible for MSMEs to sign up through membership with the program partners
• The partnership aligns with and leverages Mastercard Foundation and the partners mutual commitment to support young people and women to tap into entrepreneurship for economic prosperity and to employ others.
• The partnership will prioritize sectors with high participation of young people such as retail and trade, agriculture, manufacturing and healthcare.

Why participate in JGP?

The credibility of JGP lies in the strong partnership it has with reputable organizations, both Kenyan and global, its backing by the Mastercard Foundation, and the expertise and knowledge of its partners. Its strategy is based on our extensive experience working in the entrepreneurship ecosystem and is targeted towards solving real- world problems faced by Kenyan entrepreneurs.
 

Why does JGP exist?
 

JGP exists because there is a significant funding gap in the MSME sector in Kenya, especially for young people and women-led businesses. Its solutions are designed to provide both financial and technical support to these enterprises, helping them grow, creating sustainable jobs and income.

How does JGP work?

JGP offers an integrated solution that combines financial support with technical assistance. It targets promising entrepreneurs and provides them with the funding and skills they need to grow their businesses. JGP offers an integrated solution that combines financial support with technical assistance. It identifies promising entrepreneurs and provides them with the funding and skills they need to grow their businesses.

Who are the partners in the program?

JGP has a consortium of seven (7) diverse Kenyan partners, including Grassroots Business Fund, 4G Capital, Powered by People, Kenya Private Sector Alliance, Kenya National Chamber of Commerce and Industry, GROOTS Kenya and DT Global.

The collaborative effort brings a wealth of expertise and resources to the table that allows the program to tap into different skills and resources to ensure it provides a comprehensive solution to the financial and technical challenges MSMEs face.

What are the roles of the partners on JGP?

JGP’s seven (7) partners play distinctive roles in the program. There is access to finance partners and eco-system partners. The fund manager Grassroots Business Fund is responsible for the delivery of the program and is supported by DT Global in program management. Kenya Private Sector Alliance, Kenya National Chamber of Commerce and Industry and GROOTS Kenya comprise the eco-system partners in the program. Grassroots Business Fund additionally provides an access to finance role in the program, along with 4G Capital and Powered by People.

Access to finance partners:

Grassroots Business Fund: GBF’s mission is to grow viable businesses that generate sustainable earnings or cost savings for people with low incomes in Africa, Asia and Latin America. GBF is the leading implementing partner of Jiinue Growth Program, in charge of overall fund management, program strategy and implementation. GBF is supported by DT Global; an international development contractor and thought leader offering technical assistance, framework contract implementation, and on-the-ground support. In Jiinue Growth Program, DT Global is supporting program management specifically in technical assistance implementation. GBF has a dual role as a financial intermediary in the JGP targeting small and medium enterprises.

Powered by People: Powered by People (PBP) is a B2B (business to business) wholesale platform connecting small-batch producers and handmade brands from around the world (mostly living in low-income communities) to buyers in North America. In Jiinue Growth Program, PBP will assist businesses through purchase order financing and technical assistance.

4G Capital is a digital lender supporting micro and small business growth to build economies and generational success. In Jiinue Growth Program, 4G Capital provides different financial products for MSMEs.

Eco-system partners:

Kenya National Chamber of Commerce and Industry (KNCCI) is a member-based Trade Support Institution (TSI) working to protect commercial and industrial interests of the Kenyan business community. In Jiinue Growth Program, KNCCI will support MSMEs to access funding opportunities by sensitizing its membership base and facilitating capacity building.

GROOTS Kenya is a national movement of over 5,000 grassroots women and girls' led community-based organizations in Kenya whose mission is to facilitate the effective engagement of grassroots women and girls in development. In Jiinue Growth Program, GROOTS Kenya supports young men and young women-led businesses by providing mentorship, community support and access to finance opportunities.

Kenya Private Sector Alliance (KEPSA) is the apex organization of the private sector in Kenya. Its role in Jiinue Growth Program will be to support and enable young men and women MSEs (50% women led) to access finance, increase market access through innovation, and to mainstream gender strategy within its network.

Why does JGP focus on young people-led and women-led MSMEs?

Sixty-eight (68%) of Kenya’s wider MSMEs report access to finance to be a major constraint i.e., they lack access to capital and diversity in financial products to match their needs. Young-people and women-led MSMEs fare even worse. They require a range of financial services, business support services, and access to markets.

The partnership places particular emphasis on young and women led MSMEs, offering a blend of finance and technical assistance. It is believed that this targeted approach will translate into sustainable work opportunities for young people, ultimately driving social and economic change.

Why does JGP program offer technical assistance and not just access to finance?

JGP offers technical assistance to participants to further enhance their capacity to effectively support the growth of the targeted businesses. Technical support to Micro, Small and Medium Enterprises (MSMEs) in the form of book-keeping training, investment readiness, marketing etc will support their resilience and expansion. It equips them with value-adding management capacity to make the most of capital and steer their businesses towards growth.

Who can receive funding?

JGP targets promising micro, small and medium sized businesses owned by young people and women in Kenya working in the sectors of retail and trade, agriculture, manufacturing and healthcare with membership of the participating program partners.

 
How do MSMEs apply for funding?

MSMEs can apply for funding on JGP through the access to finance partners on the program. For more information about the access to finance program component, please contact your local BMO. 

What are the eligibility criteria to receive funding?
 

To qualify for funding under JGP, you are a young Kenyan man between the ages of 18 – 35 years or a Kenyan woman running a business in retail and trade, agriculture, manufacturing and healthcare. Your business must not engage in alcohol, tobacco and drug-related activities, weapons manufacture, war-related activities, gambling/betting, sex-related industries, or have ownership by state or parastatal actors. In addition, your application must be approved to receive funding.
 

What impact does the program hope to achieve?
 

The program aims to contribute to improved quality of life and voice for participating young women and men by supporting businesses to scale and absorb commercial capital which will in turn ensure their sustainability. This will lead to increased revenues and job creation.

Which counties can MSMEs access the financing and technical assistance?
 

JGP assistance can be accessed by targeted young men and women living and working in all forty-seven (47) counties in Kenya.
 

What evidence backs JGP?

JGP is backed by credible and renowned partners, including the Mastercard Foundation. Furthermore, its approach is based on extensive research and program partners’ experience working in the Kenya financial ecosystem, underscoring the viability of its solutions. JGP is committed to delivering impactful results and transforming lives through entrepreneurship.

Short-term Working Capital Loan (MSME)

What is the loan limit for the working capital loan?

Minimum value - Ksh 5,000 
Maximum value - KSh 100,000

How can I qualify for the working capital loan?

Members from below partners qualify.

• KEPSA
• KNCCI
• GROOTS
• MESH
• PBP

How do I access the program?

Dial *376# to register. Follow the prompts to submit initial data required. Once you complete the USSD journey, you will receive a series of SMSes, each with a prompt to respond with some additional information to complete your registration

What happens if I get to the end of the USSD journey and do not receive any SMS?

You have most likely blocked promotional/ marketing messages. Communications are done via short code 21183. Dial *456*9*5*5*1# to unblock promotional messages.

What is the interest rate for a working capital loan?

0.83% per month

What is the loan duration?

Up to 12 months for the MSME window

How do I track my account balance?

Dial *376# to check balance. The balance is sent via SMS. If you do not receive the SMS, you have probably blocked promotional messages. Dial *456*9*5*5*1# to unblock promotional messages and re-dial USSD to check balance again

How do I make repayments?

• LIPA NA MPESA Pay-bill: 4027157. Your account number is your phone number or,
• Dial *376#, select repay loan

When do I make my payments?

Monthly installments through USSD or Paybill, clear the balance by the due date

How do I get a repeat loan?

Call 0111113001, Whats app number 0758693270 or send an email to jiinuesupport@4g-capital.com.
A customer only qualifies for a repeat loan if they pay for their loan on or before the due date.

How long do I have to repay?

Depending on your loan, you have between 6, 9 or 12 months repay your loan, with monthly installments every 30 days.

If I take 20,000KES how much am I expected to pay back in 90 days?

You will pay back a total of Ksh.20,322. The interest amount will be ksh. 332. Interest is calculated on outstanding principal balance. Principal + interest due is repayable every 30 days. See example below;

Month 1
Principal due = 6,667 (20,000/3) 
Interest due: 20,000 * 0.83% = 166
Installment 1 amount = 6,667 + 166 = 6,833

Month 2
Principal due = 6,667 (20,000/3) 
Interest due: 13,333 * 0.83% = 111
Installment 1 amount = 6,667 + 111 = 6,778

Month 3
Principal due = 6,667 (20,000/3) 
Interest due: 6,667 * 0.83% = 55
Installment 1 amount = 6,667 + 55 = 6,722

If I take 20,000KES how much am I expected to pay back in 60 days?

You will pay back a total of Ksh.20,249. The interest amount will be KES. 249. Interest is calculated on the outstanding principal balance. See example below.

Month 1
Principal due = 10,000 (20,000/2) 
Interest due: 20,000 * 0.83% = 166
Installment 1 amount = 10000 + 166 = 10,166

Month 2
Principal due = 10,000 (20,000/3) Interest due: 10,000 * 0.83% = 83
Installment 1 amount = 10000 + 83 = 10,083

My friend wants to access the JGP loan, and she/he is a 4G Capital customer. How can she/he join the program?

JGP does not finance customers who are already getting financing from 4G Capital. As such she/he should continue with the current financing plan.

Is there a penalty on late repayments?

No. JGP has no late payment penalty fee.

What should I do if I get contacted by a different phone number?

We need to have your correct Safaricom M-Pesa phone number in our system to provide you with capital. If your number changes, please call the customer care number (0111113001) to inform us about your new phone number.

What happens to a customer if they default?

JGP won’t provide a new loan unless the previous loan is paid. Meanwhile, the JGP lending team will approach the customer via phone calls and SMS to collect the outstanding amount. If the client is going through financial difficulties JGP will offer a payment plan to the customer.

Who is a reference/ referee/alternative?

Reference/ Referee is the alternative person who can be contacted in case the borrower is unreachable on call.

Why do you collect details of the referees/Alternative?

The financial intermediary (lender) collects referee/ alternative person details to be reached out to in the event where the borrower cannot be reached/is unreachable for a sustained period of more than five (5) days.

Are beneficiaries of the CRRP program eligible for this program?

Beneficiaries of the CRRP program will qualify for the program if they cleared/paid in full the previous loan and are not 4G Capital commercial customers. If a beneficiary has a balance on the previous loan they do not qualify.

How long will it take for the loan to be processed?

Within 8 business days. We are, however, working to reduce the duration to 3 business days.

JGP SME LOANS - Grassroots Business Fund (GBF)

How much funding could I receive?

Loans to small and medium enterprises will range from above KES 100,000 to KES 14,000,000. The loans are based on the cash flows of the business and their ability to repay the loan.

 
When will I need to repay the loan?

The loans will be repaid within 3 to 24 months based on the funding purpose and requirement.
 

How may I use the funds?

The funds will be used to support the operational requirements of the business and to meet short- term and medium-term business opportunities like servicing local purchase orders, local service orders, expanding the business and paying critical off critical short-term creditors.
 

What kind of technical support will I receive over the course of the loan?

JGP via GBF will provide technical support, training and updates via in person physical training and virtually through on-line platforms. You will receive updates and important information from your loan officer or via SMS. The support will include financial literacy training, business growth strategies, and financial and operational plans to help your business thrive. 

Note that this program is not for businesses engaged in alcohol, tobacco & drug-related businesses, weapons manufacture & war-related activities, gambling/betting, sex-related industries, or have ownership by Government or parastatal actors.
 

How will participants be selected?

We first confirm your eligibility to the requirements of the program such as a viable business, majority women and youth owned. We will also run a credit check on both the owners of a business and the entity. Once you have passed the credit check and meet all other basic criteria, you will be contacted by a loan officer.

Thereafter we’ll review your business financial status by looking at elements such as the transactional data from your mobile money statements, sales records, purchase records, merchant and creditor records etc.

How will I know if I have been approved?

Your loan officer will be in constant touch with you during the appraisal journey and will keep you up to date all the time. Due to the large volume of applications, we receive, we are currently unable to provide a status on each application.
 

Can I make applications from multiple companies which I own, or where I am a director?

Yes, but you will only be considered for one loan for one business/company at a time.

What factors will lead to disqualification on my application?

The following factors will lead to automatic disqualification from the loan application: canvassing, non-inclusion of requested documents, submission of forged documents or wrong information among other illegal activities as per the program requirements or laws of Kenya.
 

Are JGP staff members with companies eligible to apply for a loan under the program? 

Staff members and their families are not eligible to make an application for a loan under this program.

Who can I contact if I have further questions on the SME window?

Any questions should be submitted via email to  jgp@gbfund.org