NAIROBI, Kenya Dec 3 – The Hustler Fund kitty has so far disbursed Sh1.853 billion with the number of loans issued currently standing at 3,174,607.
The uptake of Kenyans for the loan is quite high with approximately 300 loan transactions per second on the digital lending system.
In the data released by the Ministry of Cooperatives and MicroSmall and Medium Enterprises, 6,037,427 people have since registered for the fund.
So far, Sh 66.1 million has since been paid back by Hustler Fund lenders.
To be eligible for the fund, one must be a Kenyan citizen aged 18 years and above, with a valid Identification Card and Registered Mobile number with mobile network providers like Safaricom, Airtel, and Telkom.
One will also be required to have a mobile money account that is either Mpesa, Airtel Money, or Tkash, and the sim card must have been in use for more than 90 days.
The Hustlers Fund identifier is the ID number, hence one customer can not use more than one number to borrow.
Additionally, savings are secure even if a mobile device is lost because the Hustler Fund account is PIN-protected. Once the SIM card is replaced, access to the account will be restored.
The fund, launched on Wednesday, will offer four different products: start-up loans, micro-loans, SME loans, and personal loans.
With a 14-day repayment period and an annual interest rate of eight percent calculated per day, a customer who borrows Sh500 will pay back KES 501.53 after 14 days, representing Sh1.53 in interest.
When a customer borrows, the approved loan is sent to their mobile money account, deposits 95 per cent of it in their money wallet, and places 5 per cent of it in their savings account.
The 5 per cent that goes toward the savings plan is split into 30 per cent for short-term savings and 70 per cent for long-term (pension) savings.
