The 22nd Kenya Private Sector Alliance (KEPSA) Annual General Meeting (AGM) was successfully held on 18th June 2026 at the Pan Pacific Hotel (GTC), Nairobi, bringing together business leaders, government representatives, development partners, and stakeholders to chart the future of Kenya’s private sector.
Held under the theme “Shaping Kenya’s Future: Private Sector Leadership in AI Governance, Strategic Investment, and Youth Employment,” the AGM reflected on KEPSA’s achievements over the past year while outlining strategic priorities for the future. Discussions focused on strengthening strategic investments, advancing responsible AI governance, and accelerating youth employment through collaborative public-private partnerships.
The meeting also marked the presentation of KEPSA’s audited financial statements, with B M Musau & Company Advocates LLP serving as the Corporate Secretaries to the Alliance.
Private Sector Demonstrates Resilience Amid Economic Challenges
In her address, Carole Kariuki, Chief Executive Officer of KEPSA, noted that Kenya’s private sector continued to demonstrate resilience and adaptability despite both global and domestic economic challenges.
She highlighted that Kenya’s economy recorded a 4.6% real GDP growth, according to the KNBS Economic Survey 2026, driven largely by the services sector, which contributed approximately 55% of economic output. Strong recoveries in accommodation and food services, alongside consistent growth in finance, insurance, and ICT, played a significant role in sustaining economic expansion.
Kariuki further observed that macroeconomic stability improved through easing inflation, a more stable exchange rate, and gradual reductions in the Central Bank Rate.
Despite challenges such as global maritime supply chain disruptions and evolving international regulatory requirements, including the European Union Deforestation Regulation (EUDR), KEPSA remained at the forefront of advocating for a predictable business environment. She emphasized the Alliance’s continued engagement with government to address policy uncertainty and expedite the settlement of pending bills, helping unlock liquidity and reinforce Kenya’s position as East Africa’s leading economic hub.
Board Commends KEPSA’s Consistent Leadership
While presenting the Board’s report, Dr. Jas Bedi, Chairperson of KEPSA, reflected on the Alliance’s role in maintaining confidence within Kenya’s business ecosystem during a challenging period.
“We take quiet pride in KEPSA’s steady leadership voice. The CEO’s Statement details the year’s policy wins and programmatic outcomes. What the Board observed was different: a consistency of purpose, a willingness to bring unlikely partners to the same table, and an institutional steadiness that preserved trust across government when that trust was fragile. In a climate where business confidence could have easily shattered, KEPSA held the line.”
Launch of the NextGen.Ke Youth Employment Programme
One of the AGM’s major highlights was the official signing ceremony to launch the NextGen Youth Employment Programme (NextGen.Ke).
The initiative is a collaborative national programme spearheaded by the Government of Kenya, the United Nations Development Programme (UNDP), and the private sector through KEPSA. Its objective is to expand employment opportunities, strengthen workplace skills, and create structured career pathways for young professionals across Kenya.
With youth unemployment remaining one of Kenya’s most pressing socio-economic challenges, the programme represents a significant step toward coordinated action by government, business, and development partners. It aims to provide graduates with meaningful workplace experience while helping employers access qualified, work-ready talent.
Structured Internship Opportunities for Young Graduates
Implemented by KEPSA with strategic support from UNDP, NextGen.Ke connects carefully screened graduates with private sector host companies through structured one-year internship placements.
Participants will receive:
- Monthly stipends
- Pre-placement work-readiness training
- Structured onboarding
- Supervised workplace learning
- Continuous professional development
- Merit-based employer matching
The pilot phase, scheduled to run between July and December 2026, will support approximately 500 graduates, comprising:
- 250 university graduates
- 150 diploma graduates
- 100 certificate holders from TVETs and other training institutions
If successfully sustained, the initiative aims to benefit more than 15,000 graduates over the next three years, creating lasting economic and social impact across Kenya.
UNDP Highlights Need for Practical Work Experience
While outlining the programme’s design, Dr. Jean-Luc Stalon, Resident Representative of UNDP Kenya, noted that approximately one million young Kenyans enter the labour market every year, making youth employment one of the country’s most significant development priorities.
He explained that many graduates struggle to secure employment because employers often require prior work experience, creating a cycle that limits opportunities for first-time job seekers.
NextGen.Ke has been designed specifically to bridge this gap by providing structured workplace exposure that strengthens graduates’ employability while enabling employers to actively contribute to talent development.
“This initiative is designed to complement existing government and partner interventions. The aim is not to duplicate existing efforts but to strengthen the ecosystem of youth employment pathways. Beyond placement, the programme will provide continuous skills development and structured mentorship within host companies while also completing mandatory online learning modules. Employers will play a central role not only as placement hosts but also as active contributors to skills development.”
Government Reaffirms Commitment to Youth Employment
The programme has received strong government backing, including a KSh 2 billion allocation announced during the National Budget Statement to support the rollout of NextGen.Ke.
In a statement delivered on behalf of Dr. Chris K. Kiptoo, Principal Secretary at the National Treasury, the government reaffirmed its commitment to strengthening collaboration between the public sector, private sector, and development partners in promoting youth employment and economic empowerment.
The statement emphasized that ongoing economic reforms under the Bottom-Up Economic Transformation Agenda (BETA) are focused on improving Kenya’s competitiveness while fostering investment, innovation, and inclusive growth.
Speaking on behalf of the Principal Secretary, Hezbon MacObong’o encouraged all stakeholders to ensure the partnership delivers measurable outcomes that transform the lives of young Kenyans through meaningful employment opportunities.
Looking Ahead: The One KEPSA Vision
As KEPSA looks to the future, the Alliance reaffirmed its commitment to its “One KEPSA” model, designed to strengthen institutional effectiveness, increase collaboration, and enhance its ability to respond to emerging economic opportunities and challenges.
By continuing to work closely with its members, government institutions, development partners, and the wider business community, KEPSA remains committed to championing business-friendly policies, supporting innovation, and positioning Kenya as Africa’s preferred destination for trade, investment, and sustainable economic growth.
Acknowledgements
The successful hosting of the 22nd KEPSA Annual General Meeting was made possible through the generous support of Nairobi Global Trade Centre (GTC) Industry, CPF Group, and KPMG.