Africa-Press – Kenya. The Hustler Fund loaned out Sh2billion in the last one week as more Kenyans continue to borrow from the state run digital lending platform.
According to latest data, more than Sh41 billion had been disbursed by the fund by the start of this week, a rise from Sh39 billion last week.
The Principal Secretary in charge of MSMES, Susan Auma said the number of borrowers from the fund has risen steadily.
She downplayed concerns of mass default saying the fund had empowered millions of Kenyans, mainly the low wage earners in boosting their small businesses.
“As at the start of this week, the amount disbursed to Kenyans from the Hustlers Funds has risen to Sh41 billion with over 22 mililon people benefitting,” she said.
Speaking on the sidelines of the on-going MSME workshop in Naivasha, the PS expressed concern over the harassment of small-scale traders by county government officers.
She singled out Nairobi as the most affected and has gone to the extent of criminalising hawking, but said the national government has engaged the top leadership on the issue.
“We have seen cases where hawking has been criminalised and we are working for a win-win situation for both the county and the hawkers,” she said.
Auma said the government plans to set up a MSMEs fund targeting the informal sector that employs more than 16 million people.
She said the fund would issue loans of up to Sh1 million with the first phase targeting groups as one way of supporting the Micro, Medium, and Small Enterprises.
“We plan to digitise the issuance of loans to the Micro, Medium, and Small Enterprises by working with county governments that have a similar entity,” she said.
Moses Banda an MSME advisor from State House noted that the sector was largely ignored despite employing more than 16.5m Kenyans.
“The Micro, Medium, and Small Enterprise is one of the top employers in the country but it has been largely ignored and forgotten and hence the need to give it more support,” he said.
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