Kenyans who defaulted on their Hustler Fund loans will not qualify for the government’s newly launched NYOTA Programme, according to Principal Secretary Aurelia Rono of the State Department for Parliamentary Affairs.
Speaking during the programme’s launch at St. Bhakita Hall in Bomet County on Monday, October 6, 2025, PS Rono said the exclusion is based on poor credit performance among defaulters, adding that repayment discipline is a key requirement for participation in government financial initiatives.
“For this NYOTA Programme, you will not benefit if you take and never return. This shows that your credit report is not good,” she said. “If you cannot return the money you borrowed, then how can you manage your business?”
The PS emphasized that the government’s financial support schemes, including the Hustler Fund, are designed to foster entrepreneurship and build individual creditworthiness—not to provide free handouts. She noted that those who fail to repay their loans will be held accountable, as public funds must be used responsibly.
Rono’s remarks echoed recent comments by Cooperatives and MSMEs Cabinet Secretary Wycliffe Oparanya, who warned that Hustler Fund defaulters will face hurdles accessing loans from both state and private lenders due to negative credit records.
“The money you have been given is meant to assist you in your business. It is taxpayer’s money that should be used prudently,” PS Rono stated.
So far, the Hustler Fund has disbursed over Ksh74 billion to 25.6 million Kenyans, with a portion of borrowers already qualifying for bridge loans due to consistent repayment. However, the PS noted that some individuals mistakenly believe the funds were free and therefore chose not to repay. “We have a few who think this is free money…but at the end of the day, utashikwa tu,” she warned.
The NYOTA Programme will provide Ksh50,000 startup capital to qualified entrepreneurs, but only those with positive credit histories will be eligible. PS Rono affirmed that the government remains committed to supporting responsible borrowers under the Kenya Kwanza Initiative, ensuring that public funds continue to empower credible and accountable business owners.
