Small Business Owners to Benefit as New Bill Seeks to Prioritise Locally Manufactured Goods

An image of business shops in Nairobi, Kenya
An image of business shops in Nairobi, Kenya
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Small and medium business owners are set to benefit if a new Bill seeking to prioritise locally manufactured goods is passed.

The Micro and Small Enterprises (Amendment) Bill (National Assembly Bill No. 25 of 2025) had its first reading on Wednesday, October 1. It seeks to, among others, amend the current Micro and Small Enterprises Act, Cap 499C.

"The principal object of the Bill is to amend the Micro and Small Enterprises Authority to collaborate with other agencies to promote the marketing, development and branding of the products and the services by the micro and small enterprises to enhance their consumption in the local market," part of the Bill, sponsored by Manyatta MP Gitonga Mukunji, reads.

This means that small businesses will have more structured support in making their products stand out and reach wider audiences.

Parliament Mps
Members of the National Assembly during a vote to entrench the NG-CDF, NGAAF, and Senate Oversight Fund into the Constitution on July 1, 2025.
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National Assembly

By basically encouraging Kenyans to “buy Kenya, build Kenya,” the Bill promotes greater uptake of local goods and services, reducing reliance on imports and giving local enterprises more consistent customers.

Additionally, it seeks to amend Section 74 of the Principal Act to allow the Cabinet Secretary to make regulations to prescribe the mechanism for development, and affirmative action on the local enterprises' products and services to enhance their consumption in Kenya. 

This will, once again, be achieved with the advice of the authority, which could include favourable policies, incentives, and protections for small businesses.

The main objective of the Bill is to give small businesses a stronger footing in a competitive market. 

With government-backed branding and value addition initiatives, small businesses will compete better against established brands and imported products if the Bill is passed.

These amendments will institutionalise support for MSEs, ensuring small businesses are not just helped on an ad-hoc basis but through a sustained legal and policy framework.

In a nutshell, the Bill aims to stimulate growth in the micro and small enterprise sector, which forms the backbone of Kenya’s economy.

If passed, small businesses will basically be more visible, more competitive, and more supported, which translates to more sales, more jobs, and more growth.

A photo of  man at a manufacturing company
A photo of a man at a manufacturing company
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Alliance Employment Services