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Over the years, I have been involved in financial, operational and strategic matters in the business world, partly in private capacity and in employment.  I have also been involved in lending schemes from a business perspective and being involved in debt collection and risk management. 

So I know a thing or two about matters credit and growth of enterprises and individual or household incomes.  Which is why the matter of the Hustler Fund fascinates me and I am keen to see it succeed for the purpose of defeating poverty, unemployment and anything that demeans human life.

But the Hustler Fund alone is not the magic bullet in solving our economic woes. Other strategies and actions have to be put in place, but it is part and parcel of the of the sum total of solutions to be pursued.

Nonetheless, and this is important, the fund needs de-risking measures if it has to attain the noble ideals being pursued. De-risking to mean various strategies and mechanisms that would effectively prevent failure.

Giving money or loans is one thing but ensuring they impact or are effectively used to solve the problem appropriately is another.  Giving credit is one part of the enabling or facilitative condition/mechanism, but ensuring credit does what it should and give the required return and is paid back is another.

While it is the responsibility of the borrower to do what he/she intended to do with the money and pay back, prudent management practices behoves the lender to develop de-risking mechanisms. How then do we de-risk the Hustler fund?

Part of my proposals to de-risk the Hustler fund would involve various strategies and measures. 

They include aggressive and persistent long term public education on the benefits and better use of the fund in the long term. Think about how campaigns were done for family planning in the 1980s, the 1990s end early this century. 

Look at how the campaigns against HIV/Aids were done in the 1990s and even early 2000s. So similarly we can campaign on the benefits and how best to utilise the Hustler funds credit, building credit scores, savings and many others.

It is also important to research on markets, products, services and the niches that the fund can serve through entrepreneurship of individuals and groups in various parts of the country while also identifying what other markets we can serve elsewhere in the world.

Thirdly, there is need to promote heavily the culture of entrepreneurship and savings and investments in the country.

Insurance schemes tailor made to the entrepreneurial ventures or enterprises arising out of the hustler fund funding will also go a long way in increasing the success rate.

Furthermore, there is need to provide horizontal and vertical linkages for the hustler fund entrepreneurs and enterprises with other financial institutions and group schemes and other useful networks.

It is also necessary to continuously explore the export markets which these hustler fund funded entrepreneurs and others can explore as groups like chamas, co-operative societies and companies.

Another strategy is to continuously innovate the fund and build more capabilities, including scaling up on funding at individual, enterprise and fund level scale.

Lastly, it is crucial to build strong legal mechanisms properly anchored in law to ensure the fund is fortified against fraud, corruption and other potential misuse.

The idea is to look for ways to manage risks whilst growing the hustler fund as part of the national endeavour to increase incomes, employment opportunities and grow the economy.

— The writer is a political, economic and social analyst and commentator