The Cabinet Secretary for Co-operatives and Micro, Small, and Medium Enterprises (MSME) Development, Wycliffe Oparanya, has urged Kenyans to repay their Hustler Fund loans.
Speaking at the launch of a local foundation in Vihiga, Oparanya stressed the importance of financial responsibility among small business owners. He emphasized that timely repayment would ensure other borrowers can access credit in the future.
“Take loans, do your business and repay. Because there is another who will use that money to do their business too. You cannot fail to repay loans,” he said.
Oparanya’s statement comes amid growing concerns about rising loan defaults. Many Kenyans are struggling to repay loans borrowed through the Hustler Fund and Uwezo Fund, placing financial pressure on these government borrowing programs.
In October 2024, the government announced plans to introduce a legal framework targeting loan defaulters. The proposed measures aim to recover defaulted loans by accessing funds directly from mobile money services like Mpesa accounts and mobile airtime.
The government seeks to recover Ksh. 7 billion from around 13 million defaulters as of October 2024.
These efforts aim to secure the sustainability of the Hustler Fund and other financial assistance programs while ensuring compliance and continued access to credit for borrowers in need.
