The Hustler Fund has reached nearly 28 million Kenyans and disbursed close to KSh94 billion since its launch, Principal Secretary for the State Department for Cooperatives Susan Mang’eni has said.
Mang’eni said the digital lending programme was launched less than 100 days after President William Ruto assumed office, fulfilling his administration’s commitment to provide affordable credit to small-scale business people and help them sustain their enterprises.
The fund is expected to mark four years of operation in November this year.
According to Mang’eni, the programme has also mobilised nearly KSh7 billion in mandatory and voluntary savings, with voluntary savings alone approaching KSh900 million.
She said the savings component, alongside the borrowing facility, was part of efforts to deepen financial inclusion among Kenyans who have traditionally struggled to access formal credit.
One of the fund’s key achievements, Mang’eni said, has been the creation of digital credit records for borrowers.
The records allow borrowers to build a credit history based on their borrowing and repayment behaviour, potentially giving them a new pathway to access financing from mainstream financial institutions.
Mang’eni said the digital records could eventually serve as an alternative form of security when Kenyans seek affordable loans, reducing dependence on conventional requirements such as title deeds, other property or payslips.
“The idea is to give people who previously did not have access to formal credit an opportunity to demonstrate their creditworthiness,” she said.
She added that borrowers who consistently meet their repayment obligations can develop a digital financial profile that demonstrates their ability to manage credit and could help them secure larger loans to invest in and expand their businesses.
Dignity for every hustle
Mang’eni also linked the Hustler Fund to the Kenya Kwanza administration’s broader economic philosophy of recognising and supporting different forms of work.
She said the government had sought to “decriminalize work” by promoting the principle that every hustle matters and giving dignity to people engaged in various forms of employment.
She cited boda boda riders and hawkers as examples of workers whose activities are critical to the economy despite often operating in the informal sector.
According to the PS, efforts to stop such activities would have wider economic consequences because millions of Kenyans depend on them for their livelihoods while consumers and businesses rely on the services they provide.
The approach, she said, recognises that Kenya’s economy is supported not only by formal employment and large enterprises but also by millions of small traders, transport operators and other informal-sector workers.
The Hustler Fund was therefore positioned as part of the government’s effort to expand access to affordable financing and enable small-scale entrepreneurs to build sustainable businesses.
Mang’eni said the combination of affordable credit, savings and digital credit histories could help bring more Kenyans into the formal financial system while giving them opportunities to grow their enterprises.
Read: PS Mang’eni Rebuts Gachagua Over Hustler Fund, Says Nyeri Borrowers Accessed KSh1.88bn
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