NAIROBI, Kenya, Nov 12 – Treasury Cabinet Secretary Njuguna Ndung’u has published regulations that will govern the Sh50 billion Hustler’s Fund under the Public Finance Management Act.
In the regulations, individuals will be required to be above the age of 18 years and hold a Kenyan identification card to qualify for the loans that will be charged under a single-digit interest.
They should also be members of Micro, Small, and Medium Enterprises (MSMEs), SACCO societies, Chama and table banking groups, or any other registered association.
The funds will be administered by a Chief Executive Officer (CEO) who will be obligated to open and operate such bank accounts with the approval of the Board and the National Treasury; as well as supervise and control the day-to-day administration of the Fund.
The Hustler Fund CEO who will be appointed by the Treasury CS will also ensure that he transmits to the Auditor-General statement of accounts relating to the Fund and shows the expenditure incurred from the Fund each financial year.
“Prepare quarterly and annual financial and non-financial reports in a format prescribed by the Public Sector Accounting Standards Board and submit the same to the National Treasury with copies to the Controller of Budget and the Commission on Revenue Allocation,” the regulation indicated.
Treasury also outlined four offences that will see Kenyans fined up to Sh10 million or an alternative jail term of five years.
The offences will include misappropriation of funds, failure to give information, or falsifying information while applying for the fund will attract penalties.
“Otherwise than for the purposes of these Regulations, commits an offence and shall be liable to a fine not exceeding ten million shillings or a term of imprisonment not exceeding five years, or to both,” read the regulations.
The custodians of the funds will attract a fine or a penalty for disclosing private information to anyone apart from those authorized by the board.
“Having possession of, or control over, or access to, any documents, information, returns or forms and communicates anything contained therein to any person other than a person to whom he is authorized by the Board to communicate it; or otherwise than for the purposes of these Regulations,” the regulations stated.
The highly publicized Fund is set to be launched on December 1, 2022, in partnership with financial institutions.
