Micro, Small, and Medium Enterprises (MSME) Principal Secretary Susan Mang’eni has come out strongly in defense of the government’s request for additional funding for the Hustler Fund, amid scrutiny over its performance and repayment rates.
Speaking at the 42nd Annual Institute of Certified Public Accountants of Kenya (ICPAK) Seminar in Mombasa, Mang’eni emphasized the fund’s role in bridging a major financial gap for millions of Kenyans at the base of the economic pyramid.
“When we launched the Hustler Fund, we were addressing a market failure,” she said. “Many Kenyans cannot access affordable credit because they lack visibility in formal financial systems and are unable to provide traditional collateral like payslips, logbooks, or title deeds.”
Mang’eni explained that the Hustler Fund was specifically designed to overcome these barriers by providing unsecured loans through a simple USSD application process via *254#, with no airtime costs.
Since its inception, the fund has reached 25.8 million Kenyans—approximately 75% of the adult population. Beneficiaries start with loan limits between Sh500 and Sh50,000, which can increase with responsible borrowing and timely repayment.
“The uptake has been impressive. We disburse over Sh50 million daily,” said Mang’eni. “But as users build their limits, we need more funds to sustain and expand access.”
She also pointed to the recently introduced Hustler Fund Bridge Product, launched in December 2024. It targets borrowers with strong repayment records under a new nine-band credit rating system, from A1 to C3. Those in higher bands—A and B—can now borrow up to Sh150,000. Currently, 4.5 million Kenyans qualify.
Addressing concerns about loan defaults, Mang’eni confirmed that the government is tracking defaulters and is not planning any write-offs. A Hustler Fund clearance certificate, akin to the HELB or Certificate of Good Conduct, will soon be introduced to encourage repayment.
Mang’eni reiterated that the fund’s long-term vision is to ensure every Kenyan, upon reaching 18 years of age, has the opportunity to build a formal credit history and access affordable financial services.
