President Ruto explains how Hustler Fund will operate
Speaking during the 58th Mashujaa Day celebrations at Uhuru Gardens on Thursday, President Ruto noted that the funds will only be availed to small enterprises enrolled on digital platforms at affordable rates.
The Fund, which is meant to aid Kenyans in doing business, was among Ruto's key promises during his presidential campaigns.
"Credit products will be available under the hustler fund to small businesses on digital platforms at affordable rates, being single-digit rates, to individuals through chamas, saccos and cooperatives," he said.
He further emphasized that Kenyans who will have enrolled onto the platform will afford the advantage of saving on short-term and also access pension arrangements.
"All borrowers in this platform will not only access affrodable credit but also participate in short-term saving plans and long-term pension planning," he noted.
The third component Ruto highlighted was the ratio at which savings made by Kenyans on the platform will be merged by the government as dictated by the programme.
"Every saving made by borrowers on this platform will be merged by the government on a 2:1 ratio to a level to be determined by the programme," said Ruto.
The Head of State had earlier noted that the funds will not be availed as grants, but loans which will be paid back.
Under Ruto's plan, those seeking to benefit through the Ksh.50 billion annual kitty ought to have joined cooperative groups, which will act as their guarantors.
The Commander-in-Chief had earlier noted that the government had put up a ministry in charge of the funds to ensure accountability and that the funds reach everybody that they’re meant to reach.
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