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{
    "id": 1026699,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1026699/?format=api",
    "text_counter": 415,
    "type": "speech",
    "speaker_name": "Kitui Central, WDM – K",
    "speaker_title": "Hon. Makali Mulu",
    "speaker": {
        "id": 1955,
        "legal_name": "Benson Makali Mulu",
        "slug": "benson-makali-mulu"
    },
    "content": " Thank you, Hon. Temporary Deputy Speaker. I cannot agree more with you because even in the Procedural Motion, ranking Members were not mentioned. So, I think we need to learn how to summarise our presentations so that we are within time. I also want to support this Bill. The issue of the Credit Guarantee Scheme started when we capped our interest rates. Most banks said that the small and micro enterprises were assessed as high risk. On that note, they were not accessing credit from the banks. So, that is the time most of us who were in this line started thinking about how we could guarantee that they also get loans. I am happy that it is being actualised now. Even as we talk about this Bill, I do not know how this will be done but I wish we had a way of coming up with a comprehensive review of the Public Finance Management (PFM) Act 2012. This idea of piecemeal amendments is likely to cause more confusion to this important Act. So, I wish that we could do a comprehensive review of this Act so that we make all the necessary amendments, come to the House to discuss and then pass them. That will help this country in terms of public management. Hon. Temporary Deputy Speaker, you know that in this year’s Budget, and it has been said, we made a provision of Ksh4.3 billion for this particular Credit Guarantee Scheme for the small and micro enterprises. Now we have the money and maybe the framework required is not really in place. That is why it is appearing like we must do it. So, even as I support this, because the money has already been provided in the Budget, I think we need to make the following observations: Those small and micro enterprises compete a lot in terms of employment. Actually, in this country, we have a serious challenge with unemployment. Once we streamline this sector and more so the funding part of it, we are likely to realise that more Kenyans will be able to access jobs when these enterprises become stable and grow. Most of them are started by Kenyans. This is the only sector where you will find the majority of the shareholders being Kenyans. Very few foreigners would engage in this sector. So, when we say that we will give money to these people, we are actually giving money to Kenyans and we are empowering Kenyans. However, research has also confirmed that most of these enterprises have a lifespan of about five years. By enabling them to access resources now, they should be able to be profitable and last longer than five years. To me, it is this bit of financing which has been missing. But I want to propose the following; that even as banks or financial institutions advance money to this important sector, there will be a need for capacity building. I have heard Members here say that"
}