Gov’t Reveals Amount Disbursed as Hustler Fund Reaches Nearly 28 Million Kenyans

The Hustler Fund has reached nearly 28 million Kenyans and disbursed close to Ksh94 billion since its launch less than 100 days after President William Ruto assumed office.

Speaking in an interview, Principal Secretary for the State Department for Micro, Small and Medium Enterprises Development Susan Mang'eni said the programme had expanded its reach over the years, enabling millions of Kenyans who previously struggled to access formal credit to obtain financing for their economic activities.

She said the fund had also mobilised nearly KSh7 billion in mandatory and voluntary savings, with voluntary savings approaching Ksh900 million.

Mang'eni said one of the key achievements of the programme was the creation of digital credit records for borrowers, allowing them to establish credit histories based on their borrowing and repayment patterns.

She explained that the records could eventually serve as an alternative form of security when Kenyans seek affordable loans from mainstream financial institutions.

Traditionally, borrowers have often been required to provide title deeds, other property or payslips as security when seeking loans, requirements that can exclude many small-scale entrepreneurs from formal credit.

Mang'eni said the Hustler Fund was giving people who previously lacked access to formal financial services an opportunity to demonstrate their creditworthiness and develop a digital financial profile.

"The platform gives people who previously did not have access to formal credit an opportunity to demonstrate their creditworthiness and build a digital financial profile that can help them secure loans to invest in their businesses," she stated.

This comes months after Ruto announced that the Hustler Fund lends Kenyans Ksh50 million daily. 

This is according to the brief he received from the Cabinet Secretary for Cooperatives and Micro, Small and Medium Enterprises (MSMEs), Wycliffe Oparanya.

Ruto explained that the money is lent to borrowers across three Hustler Fund products, further disclosing that Kenyans have saved Ksh7 billion since the Fund's inception.

"So far, the Fund has disbursed KSh90 billion to 28 million borrowers on three products - Personal Loan, Bridge Loan and Hustler Groups - and is lending KSh50 million a day.

"The borrowers have saved KSh7 billion, a major achievement in the role the Hustler Fund was meant to play in mobilising national savings," the statement read in part.

Ruto intimated that the Fund had 10 million repeat customers, 4.5 million of whom maintained credit scores of A and B courtesy of their good borrowing and repayment behaviour.

He expressed his pride in the milestones achieved by the Fund and the digital platform on which it was built and operates. Consequently, the Head of State promised to increase funding.

"Hustler Fund is making a difference in the lives of customers. We will continue resourcing the fund so that Kenyans can continue accessing the most affordable credit in the country," he added.