President William Ruto on Sunday, June 25, unveiled a strategy the government is using to ensure that Hustler Fund defaulters paid their dues in full.
Attending a church service in Kajiado, Ruto stated that despite encouraging Kenyans to form groups for receiving higher Hustler fund loans, no one will be allowed to access the funds while still having arrears from solo borrowing.
Ruto stated that the whole group will be denied access to the loans if any member failed to repay the initial loans they borrowed individually.
The Head of State added that if the defaulters did not show any interest in borrowing the group funds, he would find another way to corner them and ensure that they paid the debt.
“I will wait for those who are not paying back the loan. I know where to find them. Some of you think that you can borrow the money individually and come back later after forming groups for another loan.
“Some people are now stuck because they have to repay the other loan before they get the subsequent funding from the Hustler Fund,” he stated.
Additionally, Ruto reiterated that there was enough money in his government to fund all businessmen in the country through the Hustler Fund designated for small groups.
He argued that businesses ought not to struggle because of the provision adding that the programme was the best option since it did not require Kenyans to leave behind any documentation or collateral before borrowing.
“Why are you struggling yet there is enough money to be borrowed? There is a hustler fund designated for the groups. If 10 of you come together, you can get that money and use it to build your businesses. However, you have to pay back that money.
"This is for any businessman in the country, we have money for you. I am impressed that the people of Kajiado have already borrowed up to Ksh800 million from the Hustler Fund and more than 70 per cent of the borrowers have paid back the money," he added.
During Kenya’s 60th Madaraka Day, Ruto launched the second product of the Hustler Fund allowing Kenyans to access funding through groups and enable the growth of collective-driven competitive market enterprises.
"The Hustler Fund will use groups like Chamas and Saccos to help people overcome exclusion and barriers to credit, savings, social security, health insurance, and other socioeconomic amenities," Ruto stated at the time.
