Hustler fund beneficiaries who have demonstrated good borrowing behaviour will soon be upgraded to a new product.

Speaking in a video shared via his official X account on Wednesday, September 25, 2024, Cabinet Secretary for Cooperatives and MSMEs Development Wycliffe Oparanya said that the hustler fund borrowers with a good record will be graduated into the mainstream financing sector.

This, Oparanya says, will be enabled through the SME loan product that the government will soon launch in conjunction with the commercial banks.

The new product will allow the beneficiaries to easily get loans from the commercial banks.

Loans disbursed

Oparanya pointed out that Ksh57 billion has since been disbursed to 22 million beneficiaries since the Hustler Fund was launched.

Out of the funds that have been so far disbursed, Oparanya says Kenyans have only repaid Ksh44 billion, with Ksh13 billion still in the hands of the borrowers who have defaulted.

“So far, the Hustler Fund has disbursed Ksh57 billion to 22 million Kenyans, and out of that, Ksh44 billion has been repaid. Ksh13 billion is still out there,” Oparanya stated in the video.

Beneficiaries

In the statement that accompanied his video, Oparanya noted that over 2 million Kenyans have shown good borrowing behaviour, and that they are the ones that will be soon upgraded to the new hustler fund product.

“Over 2 million hustler fund beneficiaries have demonstrated good borrowing behavior and we are in the process of graduating them to the mainstream financing sector through the SME loan product that we are launching in conjunction with the commercial banks,” Oparanya stated.

So far, the Hustler Fund has disbursed Ksh. 57 billion to 22 million customers.

Over 2 Million hustler fund beneficiaries have demonstrated good borrowing behavior and we are in the process of graduating them to the mainstream financing sector through the SME loan product that… pic.twitter.com/hN8rKANOW2

— Hon Wycliffe A. Oparanya, EGH (@DrOparanya) September 25, 2024

Tracking defaulters

Last month, Oparanya announced that he would be going after Kenyans who have defaulted in repaying loans from the Hustler Fund.

Speaking at a Small and Medium Conference in Nairobi on Friday, August 23, 2024, Oparanya said his ministry is developing a system to track Kenyans who have not repaid their loans.

“You will see someone knocking at your door and asking, ‘Can you pay the Hustler loan back for the benefit of others’,” he said.

The CS said the Hustler Fund was an innovative idea that promised to create wealth and job opportunities.