MARCH 2015

EQUITYA QUARTERLY NEWS N PUBLICATIONEWS OF EQUITY BANK www.equitybankgroup.com | @KeEquityBank | KeEquityBank NOT FOR SALE Issue 8 Reaching for the stars Young entrepreneurs author their dreams

In 2008, Francis Mburu found himself at a crossroads. into poultry farming. His story (page 3) not only quashes However, this energetic and resourceful demographic He had recently graduated from college and living in the notion that farming is a hobby for retirees or old people, group finds itself beset with several debilitating challenges crumpled quarters in after his family was uprooted but also highlights how entrepreneurship is changing the top of which is unemployment. from their Eldoret home following the 2007-08 General economic landscape in . elections, the young man found himself with few options. According to population statistics published by Kenya At his lowest point, he made a decision that continues Country Reports in 2014, the youth in Kenya (15-34 Continued on Pg. 2 to pay dividends to date: he rolled up his sleeves and went years) make up for more than 35% of the total population.

“I want to be Entrepreneur Agency a regional redefines herself Banking pays giant” in pharmaceutical off for Embu Alex Ndegwa venture entrepreneur In this Elizabeth Nadupoi Eliud Kaara issue... Page 5 Page 7 Page 10 EQUITY NEWS Issue 8 | March 2015 Our youth, Our future What our youth require today is economic potential in Kenya. the youth by recognizing and rewarding opportunity. Opportunity to pursue their Across the world, young people youth entrepreneurship. For two years economic dreams; opportunity to be all are taking the mantle of leadership in now, the Foundation has held the Equity they can hope to be. entrepreneurship. Young people are Innovators’ Club awards. Entrepreneurs The good thing is that young people heading big companies. Mark Zuckeberg with unique business cases receive are gifted with the intangibles of energy launched Facebook in his 20’s. The Kenya cash awards and a chance to benefit and creativity and all that is required Vision 2030 manifesto envisages a country from business mentorship by seasoned is a launching board and an enabling with very high standards of living in the entrepreneurs as well as business advisory environment. next 15 years. The youth are expected to services. For years, the accepted school of play a critical role in the realization of this We want to finance your dreams. We thought was that to succeed in life, one ideal and one of the ways to include them want to equip you with all the necessary could only pursue traditional fields such in that journey is economic empowerment. tools you require to gain the necessary as Medicine, Law or Academia. Reality At Equity Bank, we have taken a impetus for your success. We want to give however has debunked this myth: while very deliberate approach towards youth you the chance to articulate your ideas. the aforementioned disciplines are empowerment. We realize that for many We are now on the verge of rolling out important, it has become apparent that young people venturing into business, our mobile banking platform which will there is need to nurture other talents lack of capital is the main hindrance. To also give our customers added benefits of among the youth; their creativity, address this challenge, we have established telephony. Through this platform, we hope innovativeness and entrepreneurial youth-centric loan and account products to more of you will access mobile banking and potential. enable young entrepreneurs actualize their unlock your dreams to build wealth during It’s now a universally accepted fact business plans. your youthful years. that the quickest way to wealth creation Additionally, Equity Group At Equity Bank, we exist to transform is entrepreneurship. Entrepreneurship Foundation through its Innovation pillar the lives and livelihoods of our people. is the key that will unlock the immense has been supporting ingenuity amongst

“ The youth are gifted with the intangibles of energy and creativity that need to be harnessed”

Dr , CBS

Continued from Pg. 1

on an entrepreneurial culture that is very to 250,000 youth have benefited from the Vijana Business much part of the Kenyan spirit, the youth Loan, with nearly Ksh 10.5 billion in loans disbursed, are venturing into business and making a setting the entrepreneurs on the road to entrepreneurial mark. success. To help young entrepreneurs tap into “The transformation brought about by the availability the entrepreneurial space, Equity Bank has of capital is very encouraging,” says Peterson Ngangu, the taken a central and active role in propelling Relationship Manager-Micro Credit at Equity Bank. the youth to success. In addition to offering Statistics show that nearly 80% of all business relevant and timely products, the Bank has startups fail within the first year of operation; either partnered with the government in its youth as a result of lean capital or competition, but equally empowerment programmes such as the importantly for lack of entrepreneurial knowhow. It is Youth Fund. for this reason that Equity Group Foundation (EGF) in “We are cognizant of the fact that the partnership with The MasterCard Foundation rolled out youth are indeed the future of the country, a free-of-charge financial education curriculum under Today, unemployment in Kenya stands at 40% and and the more we support them, the better the Financial Knowledge for Africa (FIKA) programme an estimated 67% of those unemployed are below age the fortunes of the country,” says Dr James Mwangi, targeting women and youth in business. 35. A report by the World Bank estimates that roughly Equity Bank CEO. “We are constantly coming up with In the last four years, more than 1.2 million 800,000 Kenyans join the labour market each year, and innovative products and services tailored to this market.” entrepreneurs have graduated from the programme. only 50,000 succeed in getting professional jobs. The deep In 2007, Equity Bank rolled out the Vijana Business Follow up on many of the entrepreneurs who have chasm has led many job-seekers to seek alternative means Loan product-a bespoke credit facility for youth engaged in undergone FIKA training reveals sturdier businesses. of earning a living. business. With favourable repayment terms and interest With the major bottlenecks to entrepreneurial success Like Mburu, more and more young people are turning rates, the product has offered a quick platform for budding significantly mitigated, dreams of young entrepreneurs to self employment as a way of earning a living. Riding youth entrepreneurs to realize their goals. To date, close are being lit and sustained.

2 Issue 8 | March 2015 EQUITY NEWS “I found my calling in poultry farming” Francis Mburu Francis Mburu knows what it feels like For a person who has studied to plummet to the lowest depths; but also accountancy up to Level 6, Mburu can easily how it feels like to bounce back and savour “Most young people fit in an office at a financial institution, but the fruits of success. for him farming is not a pastime, but rather Mburu is in many regards the face of believe that farming is a fulfilling and worthwhile engagement. the modern young farmer: knowledgeable, The accountancy course comes in handy in involved and ready to take risks. At 27 for old people, but that the balancing of his books. years of age, he is a poultry farmer who “Farming is not something you do counts to his name a brood of nearly 8,000 notion is misplaced” after you retire,” Mburu says. “Most young layers. In five years, Mburu has managed people believe that agriculture is for old to rise from a construction site casual people, but that notion is misplaced.” labourer to one of the most successful “I took up odd jobs to earn a living; Mburu approaches poultry farming poultry farmers in Ruiru, Kiambu County. construction work, na