Kenyans who fail to repay Hustler Fund loans will face difficulties accessing credit from banks and microfinance institutions. This warning comes from Cabinet Secretary for Cooperatives and MSMEs Development, Wycliffe Oparanya, during an event in Mombasa on Wednesday, September 10, 2025.
The government has partnered with financial institutions to flag loan defaulters in the credit system.
“Kama haujalipa Hustler Fund, ukienda kwa benki yoyote watakwambia hawawezi kukupa pesa yoyote,” said Oparanya.
Purpose of the Hustler Fund
The Hustler Fund was created to empower ordinary Kenyans, including:
- Small-scale traders
- Boda boda operators
- Other low-income earners
Oparanya emphasized that the fund is not free money. It is meant to support entrepreneurship and financial independence.
Importance of Repayment
Repaying loans on time helps borrowers:
- Build a good credit history
- Access future government-backed financial programs
- Grow their businesses responsibly
Oparanya stressed that repayment discipline ensures the sustainability of the Hustler Fund and allows others to benefit from the program.
“When you repay, you build trust with lenders and open more doors for your business growth,” he added.
Challenges and Criticism
Despite its benefits, repayment rates have been low, prompting tighter regulations. Analysts believe linking repayment to access to other loans may improve repayment behavior.
However, critics warn that this could exclude vulnerable groups from financial services.
The Political Angle
With the 2027 elections approaching, the Hustler Fund remains a hot topic. Leaders continue promising reforms to make the program more effective for ordinary citizens.
