President William Ruto Addresses Loan Defaulters and Highlights Economic Opportunities
President William Ruto has spoken out against individuals who have defaulted on their loans from the Hustler Fund, emphasizing that such actions have hindered their potential for growth and financial improvement. His remarks were made during the launch of the NYOTA Program at the Mumias Sports Complex in Kakamega County.
During his speech, the President highlighted how some borrowers took small initial loans but failed to repay them, which limited their ability to access larger amounts in the future. He used a local proverb to stress the importance of responsibility, stating that those who took small loans and disappeared would not be able to grow their borrowing limits.
He said:
“There are people who took Sh500 and then disappeared. The loss is yours. You should get your act together. By now, you would be taking Sh50,000, but because you took Sh500 and defaulted, you are still struggling with that Sh500. Use your common sense, please.”
Despite this criticism, the President assured that there would be no coercion against those who had defaulted on their loans. He emphasized that borrowers could repay at their own pace and resume accessing the fund when they were ready.
“That Sh500 you took and disappeared with—no one is coming after you, relax. Just get your act together. Once you’re back on your feet, come and take Sh1,000, and from there you will keep growing step by step,” he added.
Empowering Small Entrepreneurs Through the Hustler Fund
Ruto explained that the Hustler Fund was created to support small traders, boda boda riders, mama mboga (street vendors), and youth starting small enterprises. He noted that the program allows borrowers to build creditworthiness over time, gradually increasing their loan ceilings as long as repayment is consistent.
Midway through his address, the President introduced the NYOTA Program, an initiative aimed at empowering young people with skills, mentorship, and opportunities to engage in income-generating activities. This program combines training, access to credit, and enterprise support for youth from vulnerable backgrounds, offering structured pathways to economic independence.
The disbursement of a Sh5 billion grant targets 100,000 youth across the country. The President encouraged young people to enroll in the program, describing it as an extension of the government’s commitment to expanding financial inclusion and improving livelihoods.
A Personal Message to Young People
Ruto shared a personal story about his own humble beginnings, recalling how he once sold chicken by the roadside before rising to national leadership. He used this experience to encourage young people to start small and believe in their potential.
“I used to sell chicken at Sh13 or Sh17, but now I stand before you and tell you I have many chickens. I do not want to say how many. But I want to encourage you that you can start small. There is a future,” he said.
He also dismissed the idea that small loans are insignificant. “There are those who will tell you that Sh50,000 cannot do much, but I want to appeal to you that if you think wisely, Sh50,000 can make a difference in your life and grow your business,” he added.
Overview of the NYOTA Program
The NYOTA Program is a five-year initiative supported by the World Bank. It aims to increase employment, earnings, and promote savings among youth. The program has four main components:
- Improving youth employability
- Expanding employment opportunities
- Supporting youth savings
- Strengthening youth employment systems
Applicants must be between 18-29 years old, with up to 35 for persons with disabilities. They must have completed up to Form 4 or below and be unemployed or under-employed/low income.
The program uses digital application options, such as the *254# mobile platform, to simplify access and reduce barriers for participants.