Oparanya Vows to Pursue Hustler Fund Defaulters
Why the hustler fund loan is coming to haunt you…
Cooperative and MSMEs Cabinet Secretary Wycliffe Oparanya has announced a crackdown on Kenyans who have defaulted on their Hustler Fund loans. Speaking at a Small and Medium Enterprises Conference in Nairobi on Friday, Oparanya revealed that his ministry is currently developing a system to track down individuals who have not repaid their loans.
Oparanya issued a stern warning to defaulters, stating, “You will see someone knocking at your door and ask, can you pay the Hustler loan back for the benefit of others?” He emphasized the importance of repaying loans to ensure that other Kenyans could also benefit from the fund, which was designed to create wealth and job opportunities.
The Hustler Fund, which has seen 21 million people borrow money in its first round, has faced challenges with a significant number of borrowers defaulting. Oparanya disclosed that out of the 21 million borrowers, 19 million have not repaid their loans. Only two million borrowers are actively repaying and borrowing regularly.
To encourage responsible borrowing, Oparanya announced plans to recognize and reward good borrowers. He highlighted the success of some individuals who have been able to borrow up to Ksh 2 million and are running successful businesses. “This is public money that should be borrowed and repaid so that other people benefit from it,” he explained.
For those who have defaulted, Oparanya issued a clear message: “I am coming for you to make sure that you pay so that others can benefit, even yourself can benefit.” He noted that borrowers who do not repay their loans would not be able to borrow again, urging defaulters to repay so they could continue accessing funds.
Oparanya also reiterated the government’s commitment to creating a conducive environment for business growth, stressing that the private sector, particularly SMEs, plays a critical role in creating wealth and employment in Kenya. He noted that among the 20 million working population, 15 million are engaged in Small and Medium Enterprises, with only one million employed by the government, leaving four million jobless.
The CS’s remarks underscore the government’s focus on promoting entrepreneurship and ensuring that public funds, such as the Hustler Fund, are utilized effectively to empower more Kenyans.
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