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Ruto commends Chelugui for successful Hustler Fund

President William Ruto has praised Co-operatives and MSME Development Cabinet Secretary Simon Chelugui and his team for the success of the Hustler Fund since its launch in November.

During the release of the Performance Contracting Report for the 2021-2022 financial year at KICC on Tuesday, April 11, the President recognized the impressive performance of the fund, saying that they had done extremely well within a short time.

“We have a product that has given us the opportunity to lend Sh26 billion in a record five months,” he stated, lauding the government and private sector players.

The latest data from the ministry indicates that Sh26 billion had been disbursed by Tuesday morning while repayment stood at slightly Sh16 billion, and the savings account has hit Sh1.3 billion from 38.6 million transactions.

The Hustler Fund was established to provide financial empowerment and security to the people at the bottom of the pyramid, and the President said that it would free low-income citizens from the bondage of loan sharks.

Also read: Hustler Fund borrowing hits Sh14 billion mark

Borrowers can access the fund through their cell phones, and according to the ministry, most borrowers are using feature phones. The fund’s interest rate is 8 percent, and no collateral is required.

The government had allocated a startup capital of Sh50 billion, and the initial minimum borrowing amount was Sh500, which would be doubled depending on an individual’s borrowing and payment pattern.

The President also commended public servants who did their best, saying that the people can feel it, and we’re witnessing it.

He said that the Kenya Kwanza administration had a product that seven million Kenyans borrow daily and pay and that the fund would provide Kenyans with financial empowerment and security.

A total of 19.6 million Kenyans have registered with the fund, while those who have borrowed more than once are 6.8 million.

The Hustler Fund has successfully achieved its goal of providing financial security and empowerment to low-income citizens, and the government is committed to supporting it.

Also read: More than 800,000 Kenyans struggling to repay Hustler Fund loan