The third-order susceptibility is investigated in a five-level atomic system in which the laser beams couple the ground state to a four-level closed-loop system. It is found that under the condition of the multiphoton resonance, one can enhance the Kerr nonlinearity of such a medium by properly adjusting the amplitudes and phases of the applied fields. In this case, the linear and nonlinear absorption reduce considerably in a region with a positive group velocity. It is demonstrated that the third-order susceptibility is very sensitive to the relative phase of the applied fields. An analytical model is presented to elucidate such phase control of the Kerr nonlinearity. A comparison is also made between the Kerr-nonlinear indices for the five-, four-, and three-level systems. It is realized that the magnitude of the Kerr nonlinearity for the five-level system is larger than that of the threeand four-level counterparts. Finally, it is shown that effect of Doppler broadening can lead to an enhanced Kerr nonlinearity while maintaining linear and nonlinear absorption.