Kitui — Leaders from four counties in Lower Southern Kenya region have called for amendment of some of the draft regulations of the proposed Hustlers' Fund.
The leaders drawn from the four counties of Machakos, Makueni, Taita Taveta and Kitui and led by Eastern Regional Commissioner Evans Achoki and Kitui governor Dr Julius Malombe advised for easy access and equal distribution of the funds to all Counties across the country.
The leaders from different backgrounds who included politicians, bankers, Saccos, boda boda, matatu, farmers, business among others, were speaking during a public consultative forum held yesterday at Kitui Town, on proposed draft on National Financial Inclusion Fund Regulations, on which Hustlers Fund will operate.
The leaders also expressed concern over high interest rate proposed on the Hustler Fund of between eight to nine percent.
"Hustlers' fund is meant to uplift people who are economically disabled and the interest rate should be below three percent or no interest at all," said the leaders in their recommendations.
"The funds should also be decentralized to counties up to village level with involvement of County and National governments structures in respective counties," said Kitui County Government CEC for trade Esther Kilonzi, while presenting the county government proposal on behalf of Governor Dr Malombe.
Kilonzi expressed concern on involvement of financial intermediaries in disbursement of the funds advising for their defined role, terms of interest and amount allocated to them as the proposed regulations has no information on the same.
Sign up for free AllAfrica Newsletters
Get the latest in African news delivered straight to your inbox
Others issues of concern raised during the meeting included funds share towards affirmative action groups, composition and nomination of the fund's Advisory Board while advising for democratic, fair distribution of the slots across the country in respect to constitution.
The leaders decried proposed penalties of defaulters of Sh10 million fine and 5 years' imprisonment or both as per proposed fund regulations, terming them heavy and harsh, regretting that the penalties might bar hustlers from applying for the funds, due to their possibilities of default in case of failure of their respective business or other income generating ventures.
Some leaders lamented on chapters six in the proposed hustlers fund regulations claiming that scores of numbers of hustlers have criminal records and this will bar them from accessing the funds which are meant to uplift their livelihoods.
On issues of access of the funds to those hustlers listed with Credit Reference Bureaus (CRBs), the National director Mr Samuel Kiiru, who was leading delegation of the national treasury hustlers' funds secretariat at the forum said that their CRB listing will not bar them from applying and accessing the funds.
He said that the numerous concerns and proposals raised during today's public participation on the hustlers' fund regulations will be addressed in the final draft.
The proposals being collected from ongoing public participation forums across the counties will be tabled in Parliament soon in readiness for the official launch of the hustlers' fund by President William Ruto on December 1st. - Kna
