Government has no access to Hustler Fund- David Ndii
Hustler Fund is managed by a private entity and no government official has access according to Economist David Ndii
Hustler Fund is managed by a private entity and no government official has access according to Economist David Ndii.
On Tuesday, February 14, economist David Ndii sought to clarify the source and those in charge of the Hustlers Fund, the centerpiece initiative of President William Ruto.
Appearing on Citizen TV, Ndii who is serving as the Chairman of the President’s Council of Economic Advisors (CEA) was hard-pressed to reveal the persons behind the Hustlers Fund.
Mr. Ndii pointed out that the Hustlers Fund was an initiative of a group of private companies that provided loans to Kenyans who were in need of money.
“The hustler fund is run by the private sector, we have no access to it. No public official has access to the hustler fund. It is run by an engine provided by telecom companies,” Ndii explained.
He maintained that President Ruto’s government was just a facilitator but not the source nor the owner of the Hustlers Fund.
The economist went on to refute the claim that President Ruto and a small group of people were behind for the Hustlers Fund kitty.
This comes after Bernard Odero Okello and Kevin Ndoho Macharia, two petitioners, filed a lawsuit in December 2022 to contest the organization’s founding.
In their appeal, the two claimed that by creating the Ksh50 billion fund, President Ruto had broken the law.
“There has not been any establishment of a board contemplated under Regulation 10 of the regulations by the cabinet secretary. Further, the cabinet secretary has not appointed the CEO under regulation 14(1),” noted the petitioners.
In their petition, the two petitioners claimed that the fund was being disbursed to Kenyans yet there was no proper system for management.
In particular, the petitioners explained that Hustlers Fund had no board of directors to regulate the Hustler Fund and a Chief Executive Officer as required by the Public Finance Management (Financial Inclusion Fund) Regulations, 2022.
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However, their attempt to have the fund suspended until the matter is heard and determined was utterly rejected by the court that gave President Ruto the green light to implement his economic recovery policy.
“Over Ksh100 billion will be unaccounted for from the consolidated fund without proper administrative mechanisms to safeguard the same as required under the constitution and the Public Finance Management Act as read together with the regulations establishing the fund,” Okello and Macharia argued.
In defense of the fund, Ndii noted that Regulations and the Public Finance Management Act, 2012 was fully complied with, as it was affirmed by the High Court.
It’s, however, not clear why President William Ruto on February 3, 2023, ordered for the increase of loan limits for borrowers who had faithfully repaid their loans.
Ruto explained the borrowing cap for six million Kenyans of the 18 million who have opted into the credit facility had been increased.
“We have identified KES 6 million people to increase their limit starting tomorrow,” Ruto noted.
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