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Low uptake of loans among youth worries Turkana governor

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Mr Josphat Nanok, Turkana governor. PHOTO | FILE

Low loan uptake among youths in Turkana County has irked Governor Josphat Nanok who took time to lecture them on why the region cannot develop without their input in investment and job creation.

The move follows Youth Enterprise Development Fund chairman Ronnie Osumba’s revelation during the launch of the Biashara Centre in Lodwar town recently that since inception of the fund 10 years ago, 4,000 youth in the county have borrowed only Sh16 million.

Mr Osumba said the amount was small compared to other counties such as Uasin Gishu where Sh500 million has been borrowed, Kiambu (Sh1.2 billion) and Nairobi (Sh2.5 billion).

“We know how to take care of our livestock by treating them when sick, ensure they multiply and when a goat gets lost or stolen we can persevere and walk for over 1,000km until we find it. Why should we be unable to borrow loans and grow our business enterprises as we repay them?” Mr Nanok asked.

He said that it was time the youth learned how to do business through borrowed funds, adding that establishing businesses is one of the key solutions to tackling unemployment.

READ: Nairobi leads the pack in Youth Fund loans at Sh2.3bn

Mr Nanok said that he would ensure that his administration works closely with the national government, the United Nations Development Programme (UNDP) and other development partners to invest more in creating awareness among youths on how to manage loans and the right ventures to invest in.

The governor said that some of those taking loans for business were spending the money on sofa sets in rented houses and motorbikes to enable them hop from one entertainment joint to another instead of investing in productive ventures.

They were told that no country has developed without the youth taking part in job creation and investment.

He said that his administration had allocated Sh150 million to business enterprises to benefit close to 2000 groups of women, youth and people living with disabilities.

The Biashara Centre, the fourth in Kenya, is equipped with computers donated by UNDP and is expected to create a culture of online business among the youth as it is connected to the Internet.

Mwanamaka Amani Mabruki, the Devolution principal secretary, said achievement of Vision 2030 depends on empowerment of the youth.