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NYS to Launch Commercial Arm in Push for Youth Employment and Financial Sustainability

Cabinet Secretary for Public Service, Human Capital Development and Special Programmes, Hon. Geoffrey Kiringa Ruku

The Government is moving to turn the National Youth Service (NYS) into a commercially viable enterprise, with the goal of creating sustainable youth employment and reducing the Service’s reliance on the Exchequer.

Appearing before the Senate on Wednesday, November 12, 2025, Public Service, Human Capital Development and Special Programmes Cabinet Secretary Hon. Geoffrey Kiringa Ruku told lawmakers that the commercialization of NYS will align with the Government’s Bottom-Up Economic Transformation Agenda (BETA) and Medium-Term Plan IV (2023–2027).

The plan, he said, is to unlock the Service’s vast human, land, and technical resources into income-generating ventures that not only provide employment opportunities but also strengthen institutional accountability.

“The government’s plan seeks to make NYS self-sustaining and capable of creating employment opportunities for young people through structured enterprise engagement,”
said CS Ruku.
“We are optimizing the Service’s capacity to deliver both economic and social value.”

New NYS Commercial Arm to Drive Business Operations

To operationalize the initiative, the Government is setting up the National Youth Service Enterprise and Services Company, which will function as NYS’s commercial arm. The company’s approval and registration process is already underway.

Once established, it will implement business ventures across key sectors including mechanization, construction, agriculture, agro-processing, textiles, hospitality, and security services. These enterprises are expected to transform NYS into a hub of production, innovation, and technical excellence.

A commercialization matrix will be developed to track investment performance, financial returns, and socio-economic outcomes. The model emphasizes partnerships between NYS and both public and private sector players to promote market access, technology transfer, and innovation.

“Through collaboration with industry, we will ensure NYS enterprises are competitive, sustainable, and aligned with Kenya’s broader industrialization goals,”
CS Ruku explained.

Youth Employment and Skills Development at the Core

One of the major objectives of the commercialization strategy is to address Kenya’s persistent youth unemployment challenge. The CS said the plan would create structured employment and training opportunities for thousands of young people, particularly from marginalized and underserved areas.

Under the new framework, NYS will integrate its training programmes with practical enterprise engagement, ensuring graduates acquire technical, entrepreneurial, and managerial skills relevant to market needs.

“This structured approach will link training with production and market access, ensuring that youth gain long-term employability and self-reliance,”
said Ruku.
“We are focusing on skills that translate directly into income and productivity.”

Participants will also receive accredited certifications, enabling them to transition seamlessly into formal employment or self-employment. The Government hopes this integration of training, enterprise, and certification will significantly improve youth employability while reducing idleness and dependency.

Reinforcing Transparency and Oversight

The Cabinet Secretary assured lawmakers that the commercialization process would be anchored in strong governance and accountability frameworks to prevent a repeat of past scandals that have plagued the Service.

He said the NYS Council will continue to oversee operations, reporting directly to the Principal Secretary for Public Service and Human Capital Development, while the National Treasury has already drafted regulations under the Companies Act to guide the establishment and management of NYS Enterprises and Services Limited.

“The company will have an independent board with representation from the National Treasury, the Ministry of Public Service, and the NYS,”
said Ruku.
“It will also be subject to oversight by the Office of the Auditor-General, the Public Procurement Regulatory Authority, the Ethics and Anti-Corruption Commission, the DCI, and relevant parliamentary committees.”

The CS added that the Government has strengthened internal audit systems, procurement oversight, and risk management frameworks within NYS, integrating preventive oversight mechanisms and closer collaboration with anti-corruption agencies.

“Lessons from previous NYS financial scandals have informed the development of stronger controls, improved procurement systems, and enhanced compliance structures,”
he said.
“We have institutionalized preventive oversight and reinforced collaboration with anti-corruption agencies to safeguard public resources.”

A Shift Toward Sustainable Public Service Models

The NYS commercialization agenda marks a broader policy shift within Government towards enterprise-driven public service institutions that combine social mandates with commercial viability. It follows a growing trend to reduce dependency on the Treasury by converting government departments into self-sustaining entities through productive investments.

Analysts note that NYS, which has thousands of trained youth and extensive physical assets nationwide, is well positioned to leverage its capacity for large-scale projects in construction, logistics, and agribusiness.

However, success will depend on whether the Service can maintain transparency, operational discipline, and professional management — challenges that have derailed past reform efforts.

Government Commitment to Reform

In closing his Senate remarks, CS Ruku reaffirmed the Government’s commitment to reforming NYS into a transparent, commercially viable, and youth-centered organization that contributes meaningfully to national growth.

“Commercialization will enable NYS to sustain its operations while providing structured opportunities for training, employment, and innovation among Kenya’s young people,”
he said.
“Our ultimate goal is to turn NYS into a model of accountability and productivity in public service.”