But what will be the uptake and repayment?
Banks are commercial institutions !I'm willing to bet that the 250B will be backed by government guarantee where incase of default, the government pays. There's zero incentive for Equity to give huslers loans at 10% when market rate is 14%.
Very deft move. Equity leadership sees things other lenders cannot see.We have offered to scale the Hustler Fund by fivefold to Ksh.250 billion. When one pays (the Hustler Fund loan) two times, we will graduate them to Equity lending and have a loan limit at Ksh.150,000,” said Equity Group Managing Director Dr. James Mwangi