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{
    "id": 493717,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/493717/?format=api",
    "text_counter": 81,
    "type": "speech",
    "speaker_name": "Hon. Angatia",
    "speaker_title": "",
    "speaker": {
        "id": 2153,
        "legal_name": "Ayub Savula Angatia",
        "slug": "ayub-savula-angatia"
    },
    "content": "Hon. Deputy Speaker, thank you for giving me this opportunity to contribute to this important Motion. I apologize for having been called when I was out. I was attending to an important call from the constituency. First of all, I will say that this is an important Motion, considering the level this country is at in terms of business and general development. I think we need to understand the principle behind this Motion. The principle behind this Motion is to cushion the master of business. You only master business at the age of 35 to 40. I can tell you from experience that there is no youth in this country between the age of 25 and 35 who can carry on a business successfully involving an amount of money between Kshs500 million and a billion without bank support. So, this Motion is meant to cushion the masters of business, who are between the ages of 35 and 55 years against open market bank interest rates . Let those who are opposing this Motion look at a country like South Africa. They have a similar arrangement. This Fund is not going to be for political freebies like Uwezo Fund. We are creating a fund that will cushion businessmen against the open market interest rates of commercial banks. Maybe this Fund will be charging an interest rate of 3 per cent. We are exporting businesses like road construction from this country to Chinese companies. I think governors should be given a model similar to this one when they are asking for Pesa Mashinani . Take that money to mashinani, but do they have the capacity to absorb the money in tarmacking roads in the villages? Will boys in the villages have enough capital to tarmack roads in the villages? They will go to commercial banks which will charge them high interest rates. When you go to a bank they look at your history. When you go to a bank, they look at your collateral, and ask, “Are you able to repay the loan?” If we start a fund like this one, we will cushion people aged between 35 and 50 years against open market interest rates. So, people who are opposing this Motion should look at the principle behind it. It is not a political thing. You take the loan from that enterprise fund and you repay it. This model should be set up at the constituency level. Get approval from the constituency level; each constituency will need to be allocated money for those businesses that can be done in a constituency. We have an arrangement in the constituency for giving money to the youth and people aged between 35 and 40 years for just doing local roads, that is roads classes “D”, “C”, “E” and “F”. But they are unable to do it. They need letters from the Constituencies Development Fund (CDF) to go to the bank to access the cash. Hon. Deputy Speaker, if you have a similar fund, the bank will charge 18 per cent interest on it. If you have a similar fund, you will not suffer as a Member of Parliament. You will go to the enterprise fund and get the fund at 3 per cent interest or less. You will loan out to the youth or the wazees in the village. They will carry out the tarmacking of the roads in the villages using CDF money. In the process, they will get higher returns than they would have got from the bank had they accessed similar funds to carry out the business. Let us look at this thing as an issue that is going to boost the economy from the constituency level to the national level. With those few remarks, I beg to support this Motion. We should move ahead and establish a fund similar to the South African structure and we do it from the constituency level to the national level. Thank you so much. The electronic version of the Official Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Hansard Editor."
}