CEO of Hustler Fund Henry Tanui hands over certificate to the oldest borrower, Mary Bartilol, during a training in EldoretThe Financial Inclusion Fund, popularly known as the Hustler Fund, is training some of its best-performing borrowers in Uasin Gishu to improve their businesses and prepare them for larger financing from commercial banks.
Fund CEO Henry Tanui said more than 200 borrowers had completed the first phase of training, with the programme targeting more than 1,000 borrowers who have demonstrated responsible use and repayment of the funds.
The training, conducted in partnership with experts from Strathmore University, focuses on record-keeping and effective business management.
“We have trained them on a variety of aspects, including record-keeping and overall good management of their businesses,” Tanui said.
He said the borrowers were selected based on their ability to borrow and repay consistently since the fund was launched three years ago.
Tanui said the initiative would help successful borrowers transition to commercial banks, where they could access larger amounts to expand their businesses.
“For the training, we chose those who have demonstrated ability to borrow and repay consistently since the fund started three years ago as we work to transition them to commercial banks because they need more financial support for growth,” he said.
The programme targets borrowers who took the money for investment rather than personal use.
Tanui said responsible borrowing, consistent repayment and proper record-keeping would improve the borrowers’ chances of attracting banks and accessing higher credit limits.
“Hustler Fund can support them to certain limits, but we are transitioning them to banks where they access higher limits to further grow those businesses,” he said.
By last Friday, Tanui said the fund had disbursed more than Sh91 billion, with borrowers repaying more than Sh77 billion.
The fund currently has a revolving fund of Sh13.7 billion and savings of Sh7 billion. Tanui said the highest borrower was from Uasin Gishu county.
He said the trained borrowers were evidence that the fund is helping Kenyans grow their businesses.
“There are those who may think there is nothing good from Hustler Fund, but those we have trained have stories of how they have been borrowing to expand their business activities successfully,” Tanui said.
Among those trained is Benardith Kones, aged below 28, who has used the fund to expand her second-hand clothes business in the region.
The oldest borrower in the programme is Mary Bartilol, 79, who runs a herbal medicine business at Maili Nne in Eldoret and has used the fund to expand her enterprise.
Bartilol said the training had equipped her with skills that could help her secure financing beyond the Hustler Fund.
“The training has been very useful because I can now keep good records for my business and use the same to access loans from banks if in need,” she said.
INSTANT ANALYSIS
The Hustler Fund story offers a useful shift from viewing the programme solely as a source of small loans to examining whether it can help borrowers build sustainable businesses and graduate to mainstream finance. Training in record-keeping and management could improve borrowers’ ability to demonstrate creditworthiness to commercial banks. The participation of both young and older entrepreneurs also illustrates the fund’s broad reach. However, the Sh91 billion disbursement and Sh77 billion repayment figures require scrutiny beyond headline totals, particularly on repayment rates, defaults and the actual number of businesses that have expanded. The real test will be whether successful borrowers can secure larger, sustainable financing.
