A Project submitted in the school of business and economics in partial fulfillment of the requirement for the award of master of science degree in Entrepreneurship of Meru University of Science and Technology

The purpose of this study was to investigate factors affecting profitability of fish farming under Economic Stimulus Programme in Tigania East District of Meru County in Kenya. In 2010, Economic Stimulus programme was initiated by Government of Kenya with the main aim of encouraging fish farming in the region and reduce poverty. Many people turned to fish farming as a source of food and also as an income generating activity. The descriptive research design was used where qualitative and quantitative data was collected. The study targeted 200 fish farmers within Tigania East district who had benefitted from the Economic Stimulus Programme, fish farmers were provide with free fish pond construction, feeds, fingerlings and technical advice. Startified simple random sampling was used to select fish farmers within the district. The respondents were positive about the sustainability and positive impact of fish farming on their lives. It was evident from this study that, despite the initial support from the government trough the Economic Stimulus Plan,fish farmers still faced challenges in terms of access to market, access to technical information, predators and lack of support from government extension services.The findings from the study may be useful to the ministries of fisheries,Finance and Planning in assessing the usefulness and challenges of Economic Stimulus programme, allocation of resources, policy formulation and implementation. Since no tangible development can take place in isolation, the study concludes that the Government needs to provide technical capacity building, market accessibility to the fish farmers in their ventures. This will enable them move from a purely subsistence venture to a more commercial one. Community sensitization on importance of fish need be done . Finally, more evidence need to be collected on the overall social impact on the community as a result of fish farming in Tagania East District.