President William Ruto has today unveiled launched the second product of Hustler Fund dubbed the Hustler Group Loan.
The president said that enterprises will now have access to affordable and accessible financing to spur their growth.
This follows today’s launch of the second product of the Financial Inclusion Fund, known as the Hustler Group Loan.
President William Ruto said this will boost the hustler spirit and deepen financial inclusion in the country.
The birth of the Hustler Group Loan follows the launch of the Hustler Fund early in the year that has described as revolutionary.
So far, the Fund has witnessed Sh42.5 million transactions through which 20.2 million Kenyans have accessed about Sh30 Billion.
Speaking during the 60th Madaraka Day celebrations in Embu Thursday, the President said the fund is a Financial Inclusion Fund, which is aimed at facilitating Kenyans to access funding through groups.
“I am glad that this launch of the group loan product is taking place against the backdrop of the phenomenal success of the Hustler Fund Personal Loan product. I expect that this product will encounter even greater appetite from the market.” The president said.
According to Ruto, the credit score of an individual will determine the amounts one can access, and the group one is enrolled in will act as the collateral.
Meanwhile, the president added that the government is set to unveil low-cost financing for electric motorbikes in a bid to shield boda boda operators from predatory lenders.
“I have some good news for my boda-boda friends. By September, we are developing a mechanism where you can get electric boda-bodas that do not operate on petrol that will run by electricity.” The president added.
Currently the boda boda riders pay at least Sh300 per day and Sh15,000 deposit to for motorbike financing, an arrangement that more than doubles the price of a motorbike, in schemes seen as exploitative.
“Our boda boda industry is about to experience inclusive transformation through the introduction of more efficient, affordable and clean vehicles. I am eager that this information reaches the seconder of my presidential nomination, Calvin Ochieng, who operates in Kilimani, so that he can escalate his hustle to the next level.” He added.
Hire purchase businesses have adamantly refuted the charge, claiming that they assist low-income people in acquiring assets that would increase their worth.
