Ruto’s Hustler Fund Set To Be Unveiled ; Here are The Draft Regulations To Access The Money .
Banks and other financial intermediaries will be allowed to tap from the fund whose initial capitalization will stand at Ksh.50 billion but could be required to match funds accessed with their own capital. Individuals will be required to be above the age of 18 and hold a Kenyan identification card to qualify for loans under the fund. Meanwhile, MSMEs, Sacco’s, chama, groups and any other associations will be required to have all their members to be aged above 18 years old and be duly registered to qualify for the Hustler loans.
The government is set to partner with banks and other financial institutions in dishing out loans from the soon to be unveiled ‘Hustler Fund’
On Friday the National Treasury published draft regulations relevant to the creation of the fund which is set to be launched on December 1 and which are dubbed the Financial Inclusion Fund regulations.
Banks and other financial intermediaries will be allowed to tap from the fund whose initial capitalization will stand at Ksh.50 billion but could be required to match funds accessed with their own capital.
“A financial intermediary may apply for a loan from the Fund for on-lending to a business person or micro, small and medium enterprises,” reads part of the draft regulations.
“A financial intermediary that is entering into a lending agreement with the Fund under regulation 17 may provide matching funds of at least the amount as may be determined by the Board.”
The scope for partnership means that banks will disburse the hustler loans on behalf of the government.
Individuals will be required to be above the age of 18 and hold a Kenyan identification card to qualify for loans under the fund.
Meanwhile, MSMEs, Sacco’s, chama, groups and any other associations will be required to have all their members to be aged above 18 years old and be duly registered to qualify for the Hustler loans.
An advisory board comprising of a non-executive Chairperson appointed by the President is expected to oversight the operations of the fund.
The fund shall also have a Chief Executive Officer appointed by the Cabinet Secretary in charge of micro, small and medium enterprises who is expected to head a secretariat which will oversee the day to day operations of the fund.