The government will continue pursuing repayment of loans issued under the Hustler Fund, according to the fund’s Chief Executive Officer Henry Tanui.
Speaking about the recovery of loans, Tanui said the programme relies on borrowers’ national identification details, meaning individuals who took loans cannot easily evade repayment.
According to him, the loans remain linked to the borrower’s national ID number regardless of the SIM card used during the application process, allowing the fund to trace those who fail to repay.
Tanui maintained that the government intends to recover all outstanding loans issued through the programme, except in cases where borrowers have passed away.
He revealed that as of Wednesday, Kenyans had borrowed a total of KSh83 billion through the fund, with KSh71 billion already repaid and KSh5.3 billion saved by borrowers under the programme’s savings component.
The CEO further noted that the fund currently has a default rate of about 15 percent.
Tanui added that Nairobi accounts for the highest number of borrowers under the programme, followed by Kiambu County.
Responding to a question raised by Rahim Dawood on whether defaulters risk arrest, Tanui clarified that the government does not intend to use aggressive or punitive measures to recover the money.
Instead, he said the fund will focus on educating borrowers on the importance of repaying the loans.
“We will not behave like shylocks. We will not come to pick your items if you default,” Tanui said, adding that public sensitisation will be prioritised to encourage voluntary repayment.
