Critical Factors in Repayment of Constituency Youth Enterprise Scheme in Kirinyaga Central District, Kenya

Abstract

YEDF continues to lend more money through C-YES component that is meant to be a revolving fund and if the trend continues there may be no more money to lend in the near future. However, factors affecting its repayment have not been studied adequately. The purpose of this research was to find out factors affecting the repayment of Constituency Youth Enterprise Scheme (C-YES) in Kirinyaga Central District. The study was guided by three objectives; to investigate the relationship between availability of resources on repayment of Constituency Youth Enterprise Scheme Loan (C-YES) in Kirinyaga Central District, to determine how time taken between application and receiving of funds affect the repayment of constituency Youth Enterprise Scheme Loan (C-YES) in Kirinyaga Central District and to determine how amount of loan given affect the repayment of Constituency Youth Enterprise Scheme Loan (C-YES) in Kirinyaga Central District. The researcher used descriptive survey. The study employed both stratified random sampling and simple random sampling. Data was collected using closed and open-ended questionnaires. These questionnaires were administered by the researcher. The data was then analyzed by use of frequency distribution tables and pie charts. The study revealed that Constituency Youth Enterprise Scheme (C-YES) is faced with numerous challenges in its attempt to empower the youths and sustain itself in repayment. Inadequate funding was cited as a factor contributing to any economic activity not to realize its full potential and this negatively affects it.