NAIROBI, Kenya – President William Ruto has come out strongly in defence of the Hustler Fund, dismissing growing criticism as misinformed and politically motivated.
Speaking during a roundtable meeting with private sector leaders in Nairobi, the President rejected claims that the financial inclusion initiative had failed, insisting that the programme has made significant strides in empowering millions of low-income Kenyans.
“Our critics—the naysayers, the perpetual pessimists, the chorus that never sees anything working in Kenya—would have you believe the Hustler Fund is a total failure,” said Ruto. “They say this because they either do not understand or refuse to acknowledge the daily realities of the millions of Kenyans this fund was designed to empower.”
Since its launch in late 2022, the Hustler Fund has disbursed over Ksh72 billion to 26 million Kenyans, according to official figures.
It has also mobilized more than Ksh5 billion in savings, and, Ruto added, provided critical working capital to micro and small enterprises across the country.
The President also hit back at reports of a high default rate, calling the widely cited 60% figure a “deliberate distortion of facts.”
He maintained that the actual repayment rate is 83.3%, nearly matching the formal banking sector’s 83.6% recovery rate.
His remarks come just days after a damning report by the Kenya Human Rights Commission (KHRC) titled “Failing the Hustlers” raised alarm over the fund’s long-term viability.
The report alleges that the programme is financially unsustainable and poorly structured, estimating a 68% default rate, where “for every Ksh500 loan disbursed, Ksh340 is effectively lost.”
It warns that continued losses could push the government to rely more heavily on domestic borrowing through Treasury bills to keep the fund afloat.
KHRC also cited early data showing a steady rise in defaults barely weeks after the fund was rolled out—claims that have been met with sharp rebuttal from government officials.
Co-operatives and MSME Development Cabinet Secretary Wycliffe Oparanya accused KHRC of “using flawed data and biased methodology to discredit the fund.”
“Professionalism demands a response from key players. The conclusions made are keen to sentence the Fund to death without trial,” Oparanya said.
Despite the criticism, President Ruto stood firm, declaring he would not be distracted by “merchants of doom and negativity” as his administration pushes forward with economic reforms targeting the informal sector.
“The Hustler Fund is not perfect. But it is real, it is working, and it is touching lives,” the President said.
The Hustler Fund remains one of the signature initiatives of the Kenya Kwanza administration, aimed at offering low-interest digital loans to individuals and small businesses that have historically been excluded from formal credit systems.
