TikTok, and Yunus Social Business (YSB) have today announced a trans formative $1.5 million partnership to financially invest in selected social enterprises in Kenya and Africa.
According to research conducted by YSB in 2021, micro, small and medium-sized enterprises (MSMEs) play a pivotal role in Kenya’s economy, making up 98% of all businesses and employing 90% of the workforce.
In support of social businesses in Kenya, alongside the announcement of this partnership with YSB, TikTok announced its first investment in BURN Manufacturing with an injection of $450,000.
The clean cook stoves produced by BURN use less fuel, cook faster, produce less fumes, and save families $150 per year. It is the only modern cookstove manufacturing facility in Africa that reduces greenhouse gas emissions by 80% and has already reached over 22.5 million people.
Cabinet Secretary Ministry of Youth Affairs, Creative Economy, and Sports Hon. Ababu Namwamba, he highlighted the important role TikTok has played in the lives of users across Kenya.
“TikTok has had an impact that extends beyond entertainment and social interaction.It has also empowered creators to express themselves, build communities, and find their voices, fostering inclusivity and diversity” he said.
He also reiterated the impact of the partnership in Kenya and the region.
“The collaboration between TikTok and Yunus Social Business (YSB) represents a pivotal effort to leverage business solutions for social good; it will help address the “missing middle” problem for entrepreneurs by providing long-term, low-interest loans and growth support to social businesses” he added.
Other social enterprises to benefit from this partnership include Ndivisi Enterprises and ED Partners Africa amongst others; they will get access to digital skills training, resources and brand-building mentorship as part of the offering.