The first phase of the highly anticipated Hustler Funds programme will be rolled out later this month.
This follows the approval of the Fund’s legal and institutional framework during the second cabinet meeting on Tuesday, chaired by President William Ruto.
Cabinet approved the framework with a view to rolling out the first phase of the Hustler Fund programme on November 30.
Loan limits will be a minimum of Sh500 up to a maximum which will be determined by the borrower’s credit score and capped at Sh50,000.
The cabinet said the loan interest rate will be capped at 8 per cent yearly and computed on a pro-rated basis.
At the same time, the Cabinet has approved the proposed launch of the Centre for Entrepreneurship in a bid to create employment through the use of micro and small enterprises.
The Centre, which will be set up within Kenya Industrial Estates (KIE), will be established through a partnership between Kenya and Germany.
It targets 250,000 youth entrepreneurs across the country, aged between 18 and 35 years.
The programme will provide them with information on brand campaigns, website and call-in to the centre.
Additionally, 100,000 youth entrepreneurs are expected to access in-depth screening services including coaching, mentoring and career guidance.
It is also expected to create over 50,000 direct and indirect jobs by expanding manufacturing output and improving the overall country’s competitiveness.