Principal Secretary Urges Saccos to Avoid Overburdening Members with Loans
Hon. PS Susan Mangeni, the Principal Secretary in the State Department of MSE Development, addressed the NCBA Cybersecurity Forum on Monday morning, offering crucial advice to Savings and Credit Cooperatives (Saccos). Representing Hon. CS Wycliffe Ambetsa Oparanya, Mangeni emphasized the importance of ensuring that Saccos do not overextend their members with loans that may be difficult to repay.
Mangeni acknowledged the vital role of Saccos in promoting financial empowerment in Kenya but warned against practices that could strain members financially. “While Saccos are essential for financial inclusion, they must ensure that the loans they provide do not become a burden on their members,” Mangeni said.
The forum also highlighted the positive impact of the Hustler Fund on Kenya’s economy. Mangeni explained that the Hustler Fund is designed to address market failures and improve access to credit for many Kenyans, particularly those at the lower end of the economic spectrum. She noted that the fund helps individuals build creditworthiness, thereby enhancing their ability to access further credit and participate more effectively in the economy.
The Hustler Fund, introduced to support economic growth among lower-income individuals, is seen as a key intervention to stimulate economic activity and financial stability across the nation.
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