Gov’t Clarifies Sharing Hustler Fund Defaulters’ Phone Numbers After Uproar
The government has responded to the National Assembly Special Funds and Accounts Committee’s directive on Tuesday, which requested that the Ministry of Cooperatives and MSMEs provide its members with data on Hustler Fund defaulters.
While issuing the directive, the Committee directed Cooperatives Principal Secretary Susan Mang’eni to provide a list of defaulters’ names, amounts owed, and phone numbers by constituency.
The Committee believes that the information will assist in verifying the accuracy of the information provided by the borrowers during registration.
In response to the Committee’s request, the Ministry of Cooperatives and Micro, Small, and Medium Enterprises (MSMEs), represented by PS Susan Mang’eni, denied it on Wednesday.
Mang’eni revealed that the government will follow data protection laws.
CLARIFICATION ON THE HUSTLER FUND DEFAULTER LOAN RECOVERY MEASURE!! pic.twitter.com/g5DQ4pmUQf
— Susan Auma Mang'eni (@HonSusanMangen1) October 2, 2024
“The default recovery measures under consideration will be in line with laws of Kenya and particularly in strict adherence to data protection laws,” PS Susan said in a statement.
Article 31 of Kenya’s Constitution guarantees the right to privacy.
The PS also denied the Committee’s claim that in a recent disbursement, the Fund had a 78 percent default rate.
Led by Migori Town MP Fatuma Zainab, the Accounts Committee claimed that the number of defaulters had increased.
“Since inception, the Fund has disbursed loans amounting to more than Ksh 57.8 billion out of which ksh45.5 billion has been repaid,” the PS said.
PS Susan clarified that the Hustler fund should not be treated like banks or mobile money wallets.
The fund is not offered as part of the intermediaries’ financial product portfolio, but rather as a service provided by the intermediaries to the Fund.
ALSO READ:
- Rogue Motorist Harasses Female Police Officer, NPS Issues Statement
- KRA Clarifies Tracking Kenyans’ Phone Transactions, Lists Targets
- Over 50 Police Recruits Discontinued From Training At Kiganjo
- REVEALED: Countries Exploiting Kenyans With Fraudulent Recruitment [LIST]
- NTSA Issues New Data On Driving Licenses, Urges Applicants To Track Progress
The PS clarified that the Fund is fully government-owned and follows Kenyan laws.
“The Fund is fully owned by the government and implemented in adherence to the laws of Kenya. The Hustler Fund clients belong to the Fund and not the intermediaries.”
The government has, however, urged all defaulters to repay their loans so that the Fund can replenish its reserves, grow, and disburse loans to other deserving Kenyans.
“We also encourage Kenyans to repay their loans on time to build their credit score for higher loan limit access,” the statement continued.
Gov’t Clarifies Sharing Hustler Fund Defaulters’ Phone Numbers After Uproar
