It targets five investment areas and will be provided by the United States Agency for International Development (USAID) for over five years.
USAID says that the funding will be undertaken by the Kenya-US private sector and is expected to plough in an additional Sh1.4 billion ($9.3 million) in a number of areas, including increasing the incomes of smallholder participants in cattle cooperatives.
The funds will also be utilized to reduce youth unemployment in urban and rural areas by developing and advocating for youth worker cooperative knowledge products, as well as improving health outcomes for cooperative members.
“Cooperatives are a vital part of the Kenyan economy and society, providing essential services to millions of Kenyans. They are also a powerful tool for promoting inclusive economic growth and reducing poverty,” said USAID Kenya Office of Economic Growth Deputy David Rogers.
“That is why USAID is proud to support the cooperative movement in Kenya.”
USAID is optimistic that the funding will play a key role in creating employment for at least 500,000 Kenyans.
Other activities the funds will go into include modernizing Saccos through climate-smart loans as well as supporting cooperative apex bodies.
The announcement was made at the Cooperative Development Partners Consultative Forum that was hosted by the State Department for Cooperatives.
The Cooperative Development Program (CDP) is USAID’s flagship program to support the cooperative movement in Kenya.
