According to the Principal Secretary of MSMEs, Susan Mang’eni, the second
phase of the Hustler Fund is set to be launched in February and will be
targeting small groups and associations such as chamas.
Speaking during the second day of public hearings and the participation forum
for the 2023-2024 budget in Nairobi, Mang’eni stated that they are working
on microloans for saccos, associations, cooperatives and other small groups.
These small groups will receive loans between Sh100,000 and Sh2.5 million,
to expand their financial inclusion and grow their businesses.
Mang’eni also highlighted that the Hustler Fund is off to a tremendous start
even though naysayers had said it would not work.
“When we started off, people said Kenyans are not going to repay. However, if
you look at the figures we have so far, you see that there was a need for those
small loans of Sh500, Sh1,000, Sh3,000 in the market,” she said.
MSMEs CS Simon Chelugui recently announced that just above 18 million
borrowers have opted into the government’s credit plan with 5.5 million
repeat customers noted in the past month.
Furthermore, at least Sh707 million has been saved since the programme was
launched, with 70 per cent invested in long-term plans and 30 per cent in
short-term debt plans.
“So far, Sh6.3 billion has been repaid, representing more than 40 per cent self-
sustainability test,” he said.
The PS also revealed that the third phase of the Hustlers Fund will target ICT
startups and regulations are being put in place to see it rolled out by the end
of the year.
This is a significant step in the growth and expansion of the Hustler Fund,
which aims to provide financial support to small businesses and
entrepreneurs in Kenya.
It is expected that the Phase 2 and Phase 3 of the fund will further drive the
growth and development of small businesses in the country, helping them to
achieve their full potential and contribute to the overall economic growth of
the nation.
