Speaking on Saturday, October 26, 2024, Mang’eni said that the World Bank was offering to start factories.
“This financial year we have certain funding from the World Bank which we will give you to set up businesses. I urge the youth to come together so that we can co-invest even for machines that you want even if it is Ksh10 million we will fund you up to 70 per cent and give you working capital,” she stated.
“I also have other funding for the youth in which I will give grants. From next month I will be giving out Ksh50,000 for every young person. However, they must not have Hustler Fund debts.”
Mang’eni also promised that from November 30, 2024, the government will review upwards the Hustler Fund limit for Kenyans.
“From November 30th (2024) we shall review the (Hustler Fund) limit. If your limit is Ksh5,000 and you are paying well you will be able to borrow Ksh10,000. Kenyans whose limit is Ksh50,000 will have their limit increased to Ksh100,000,” she stated.
“When I start giving grants and find that you have Hustler Fund debt I will not give you.”
Ministry of Co-operatives and Micro, Small and Medium Enterprises (MSMEs) Cabinet Secretary Wycliffe Oparanya confirmed 22.8 per cent of total advanced loans are yet to be repaid, a situation he said is worrying and likely to dilute the key purpose of the fund if not tamed.
“As at September 24, 2024 morning, some 22 million Kenyans have borrowed Ksh57 billion from the Hustler Fund. Out of the total borrowed money, Ksh44 billion has been repaid with the balance of Ksh13 billion not recovered. It has been lost in the wilderness and thus becoming difficult to recover,” he said.
Oparanya noted that two million Kenyans have consistently borrowed and repaid since the fund was established in the second quarter of the 2022/23 Financial Year.
He confirmed that the government, Safaricom and other telecoms are expediting the recovery of the loans to ensure all Kenyans benefit.
Past investigations by government agencies have revealed that some Kenyans who borrowed the loans in the initial months later deactivated their phone lines with the major telcos while others have deliberately declined to repay the loans.