By Obegi Malack
Kenyans will now access Hustlers Fund after launch by President William Ruto on Wednesday at Green Park in Nairobi City.
Hustler Fund borrowers will use *254# to access the fund, they will access the fund from leading network telcos Safaricom, Airtel and Telekom.
To be eligible for the fund one must be a Kenyan citizen aged 18 years and above, with a valid Identification Card and should have a mobile phone.
The president said the fund is 500 times cheaper than other loans in the market, the interest rate will be 0.002 % per day and 8 per cent per annum, the repayment will be 14 days.
Ruto said Kenyans should borrow and pay back to benefit from more funds from the kitty.
“The product only needs a citizen and his or her phone and a track record, it does not need a guarantee or committees,” he said
The first product which was launched on Wednesday will see individuals get loans of between sh 500 to sh 50,000.
The second phase of hustlers’ fund (Micro Loan) will be launched on February 2023, this will see individuals in Saccos and groups benefit from between sh 50,000 to sh 500,000.
The government will also launch another package that will see individuals in groups Saccos, Cooperatives benefit with up to sh 10 million this will be launched on February 2023.
Other package which will be launched on April will see Kenyans benefit with up to sh 100 million, this will be regulated by Saccos Societies Regulatory Authority (SASRA).
The president said more than 8 million Kenyans who had been locked out from credit system will be benefit from the fund.
“Those who will be given a second chance please do not abuse it, it will work for your future,” Ruto said.
Cabinet Secretary for Co-operatives and SMEs Development Simon Chelugui said cooperatives play key role in providing livelihoods to Kenyans. He said the Hustlers Fund will now benefit individuals who earn little income.
The Kenyans will also be able to save in the hustler’s fund, the government will give one shilling if two shillings are saved. If an individual saves sh 6,000 per year, he will get sh 3,000 from government. Objectives of the fund will be to create jobs, strengthen the economy and empower Kenyans.
