Kenyans will be allowed to borrow a minimum of Sh500 and a maximum of Sh50,000 when President William Ruto’s Hustler Fund programme is officially launched on November 30.
According to details released by cabinet on the ambitious programe, the exact amount a “hustler” will be allowed to borrow will be determined by their borrower's credit score.
This comes after the establishment and implementation of the programme was rubberstamped by the Cabinet on Tuesday during its second meeting with President Ruto.
The cabinet brief says the interest on the Hustler Fund loan will be 8 per cent per annum and calculated pro-rated basis with the funds set to be the first single credit product in Kenya.
“The implementation of the Administration’s signature pledge is tipped to liberate the people of Kenya from the bond of predatory lending," said the cabinet in its brief.
Ruto, in his inauguration speech, said the Sh50 billion Hustler Fund will provide Kenyans with cheap and easily accessible credit to cushion them from what he termed predatory lenders.
He had indicated then that the kitty to be dispensed annually through SACCOS and investment groups will support Micro, Small and Medium Enterprises (MSMEs).
Already the National Treasury has commenced town hall meetings to collect feedback from members of the public on the Hustler Fund draft legislation to make it compliant with the Constitution.