NAIROBI, Kenya, Mar 11 – More women in Kenya are experiencing financial pressure compared to their male counterparts, a new report by the Old Mutual shows.
The latest Old Mutual Financial Services Monitor (OMFSM) shows that 54 percent of females are undergoing difficulties compared to males’s 41 percent.
However, a meager 16 percent of women are confident in the country’s economy.
The COVID-19 pandemic has also impacted earnings, with 91 percent of women and 90 percent of men reporting stagnant or decreased income levels.
The report also examines expenditure patterns, indicating that 60 percent of household income is spent on living expenses, 12 percent on debt, and one-fifth on savings.
Access to healthcare remains a challenge, with over half of Kenyan women lacking medical insurance and two-thirds not covered by their employer.
To cope with financial pressures, 41 percent of Kenyan women have used their savings, while 30 percent have borrowed from savings clubs (chamas).
Regarding retirement savings, although 8 in 10 women acknowledge its importance, only 2 in 10 are actively saving for retirement, indicating a significant gap.
Despite challenges, nearly three-quarters of Kenyan women believe their financial situation will improve in the next six months, and many are adopting adaptive strategies such as adjusting expenses and securing investments.
The report also highlights the entrepreneurial spirit among Kenyan women, with over half owning businesses, although most are small-scale.
“The entrepreneurial spirit among Kenyan women also continues to thrive, with over half owning businesses. However, most of these enterprises are small-scale, with 72% being proprietor-run and 28% employing five or fewer individuals,” the report highlighted.
Arthur Oginga, CEO of Old Mutual East Africa Group, emphasized the need for tailored financial solutions and support mechanisms, particularly for women in Kenya.
“The Old Mutual Group is keen on stepping in to offer the financial services that will help this important demographic cope effectively,” she said.
The Financial Services Monitor, starting in January 2024, serves as a vital resource for policymakers, industry stakeholders, and individuals, offering insights into the dynamics shaping the Kenyan financial ecosystem.
The second edition of the OMFSM focused on the financial behaviors and attitudes of Kenyans, with an emphasis on women.
OMFSM provides a comprehensive analysis of the Kenyan economy, highlighting key trends and challenges faced by individuals, especially women.
According to Anne Nyamu, Patron of Old Mutual Women’s Network, the report comes in the wake of International Women’s Day, which focuses on the economic empowerment of women to accelerate gender equality.
