On Wednesday, November 30, Kenya’s President William Ruto fulfilled one of his biggest campaign promises after he officially launched the hustler fund.
The president said the fund will not only put an end to the exploitation of Kenyans by unscrupulous lenders who have been charging borrowers exorbitant interest rates but will also encourage hustlers on the culture of savings.
Ruto who spoke while unveiling the fund said 5 percent of the borrowed amount will be deposited in your Hustler Fund saving account.
The Head of State on Wednesday, December 7, said that as of December 7, 2022, about 13 million people had registered for the hustler funds.
He said the minimum amount one can borrow is KSh 500 while the highest amount is KSh 50,000.
Ruto said that the government has already collected more than KSh 250 million in savings from hustlers.
“I am happy that in the last week, the hustler fund has been able to collect savings of KSh 250 million and it’s clear that we are going to collect more money in savings than what NSSF is currently collecting,” the president said.
Ruto however said that Hustler Fund borrowers will be able to access their savings immediately after they settle the short-term credit facilities.
“The bank shall retain the 30 percent [of principal] intended for short-term savings … in a suspense account until full repayment of the loan,
“Upon full repayment of a loan, the amount … shall be released to the customer who will be at liberty to withdraw it or keep it as savings,” reads the terms and conditions of the Hustler Fund Savings and Loan Product.
Ruto further asked borrowers to pay their loans on time to increase their loan limits.
“I urge Kenyans to pay their debts in order to increase their limit,” Ruto added.