President William Ruto addressed concerns about the interest rates charged on loans given to Kenyans under the Hustler Fund set to be launched on December 1.
Speaking during the Kenya National Chamber of Commerce and Industry (KNCCI) annual general meeting on Thursday, November 10, Ruto assured that the lending rates will be lower than that offered by banks.
He added that in future, the state plans to phase out the interest on credit given to small, medium and micro enterprises (MSMEs).
"I want to promise the country that the hustler fund is going to be on a single-digit interest and progressively for the smaller enterprises, we will begin with just a simple fee without interest," Ruto explained.
The President called on commercial banks in the country to work with the government in the actualization of the fund and offer exclusive rates under the fund.
"I want to persuade our financial institutions to be flexible in how they lend their finances but also consider the aspect of cost. We want to fire the bottom of the pyramid, that is where the engine of the economy is," he pleaded.
In addition, he reiterated the call to remodel Kenya's human capital, which he declared the most valuable asset in rebuilding the economy.
"We may not have gold and silver but we have the people of Kenya and that is the asset that is going to turn around our nation. We need to fund the human capital," he stated.
He added that human resource can attain their full potential through training and education to match the current global demands.
Ruto acknowledged the role of technology in improving the economy specifically the smartphone, which has become an integral part of doing business today.
He called on manufacturers to develop a locally produced affordable smartphone. Furthermore, he promised to push the digitization of government services to 100 per cent during his reign.
The president was accompanied by his Deputy Rigathi Gachagua and Trade and Industry Cabinet Secretary Moses Kuria.
{"preview_thumbnail":"/files/styles/video_embed_wysiwyg_preview/public/video_thumbnails/s69490CozYY.jpg?itok=9T2bALfK","video_url":"","settings":{"responsive":1,"width":"854","height":"480","autoplay":0},"settings_summary":["Embedded Video (Responsive)."]}
