The Ministry of Co-operatives and Micro, Small and Medium Enterprises has explained how groups and chamas can apply for the Hustler Fund.
This is after the ministry received many questions in different forums on how a group can acquire a loan from the fund.
"Just like the personal product, groups can access the fund by dialing *254# on their phones and then follow the prompts," the Ministry said.
The first step is to create a group with a minimum of 10 members, including 3 officials. Only a chairperson, treasurer, or secretary can create a group.
Once the official creates the group, he or she proceeds to add 2 other officials. The members of the group are added by one of the three officials.
The ministry said the invited members must accept the group invite for it to be active.
"Complete Group Creation. Any official can complete group creation; the group must have a minimum of 10 members, including 3 officials. Members will receive a notification with the group's limit."
The ministry says once the group creation process is complete, officials can move to request a loan.
"Only officials can request a loan, and the request must be approved by five random members—three members and two officials."
Five random members and two officials must approve the loan request for the funds to be disbursed into the group's account.
During the transfer of funds only an official can initiate the transfer of funds, and for the members to receive the funds, it has to be approved by three random members and two officials.
Additionally, five random members consisting of two officials and three members must approve the transfer of funds for the funds to be disbursed into the members' accounts.
