President William Ruto’s administration is under pressure. They need to reveal the identities of individuals who have defaulted on loans from the Hustler Fund. The fund has reportedly lost billions. The National Assembly’s Special Funds and Accounts Committee has given the Cooperatives Ministry a mandate.
They must supply a detailed list of these defaulters. The list should include their names, amounts owed, and contact information for each constituency. This move aims to guarantee transparency and accountability about the funds disbursed.
The committee’s directive follows alarming statistics. These statistics suggest a 78 percent default rate on the Hustler Fund. The Fund recently received over KSh13 billion. MP Fatuma Zainab led a session. During this session, the committee expressed frustration. They were frustrated over the Ministry’s failure to show necessary documentation.
These documents were related to outstanding audit queries from the prior financial year. The Ministry’s officials attributed their shortcomings to miscommunication and staffing shortages, which hindered their ability to manage the Fund effectively.
Concerns were raised about the qualifications of personnel managing the Fund, especially given the significant amount of money involved. The legislators questioned how the Ministry oversee KSh13 billion without adequate staffing and skill.
Additionally, it was revealed that the Fund lacks insurance. This raises further doubts about the government’s ability to recover the funds that have become bad debt.
This scrutiny comes shortly after Cooperatives Cabinet Secretary Wycliffe Oparanya announced plans to track down defaulters. The ongoing investigation highlights the government’s commitment to addressing financial mismanagement. It ensures that public funds are used responsibly. Pressure mounts to hold those accountable for the losses incurred by the Hustler Fund.
