By Mercy Mwelu
Kenyan women are increasingly taking charge of their financial destinies. The shift from informal savings to structured investments signals a new era of financial independence and economic empowerment. While the road ahead still has obstacles, the trajectory is clear. Women are no longer just participants in investments, they are key players in shaping Kenya’s financial future.
Traditionally limited to informal savings groups, women are now thriving in financial markets, building wealth, and driving economic growth. Despite challenges, their impact is undeniable and the vast majority are now making informed decisions, diversifying their portfolios, and leveraging technology to take charge of their finances.
For decades, Kenyan women have relied on chamas to pool resources for ventures like real estate, small businesses, and education. These groups have long provided a pathway to financial independence. Today, however, more women are moving beyond collective savings and exploring individual investments in Unit Trust Funds, the stock market, and government securities, taking a more direct role in managing and growing their wealth.
The December 2024 Kenya Economic Update by the World Bank emphasizes that women-led businesses have a significant investment impact, contributing approximately 65% of their household income. These enterprises predominantly employ women, thereby amplifying their positive effects on both household welfare and the national economy.
One of the biggest enablers of women’s investment growth in Kenya is technology. Mobile banking and fintech solutions have eliminated traditional barriers to entry, making it easier than ever for women to save, invest, and track their investment portfolios. The rise of digital investment platforms means women no longer need to visit financial institutions physically; they can invest, withdraw, and reinvest at the click of a button.
Beyond access, financial literacy is also on the rise. Social media, podcasts, and online investment forums have created a wave of financial awareness among women, equipping them with the knowledge to make informed decisions. Financial institutions have also recognized this trend, launching tailored products and mentorship programs designed to support female investors.
Despite these positive strides, women in Kenya still face significant hurdles in their investment journeys. Access to credit remains a major challenge, with many women struggling to secure loans due to a lack of collateral and credit history. Cultural and societal norms continue to influence financial decision-making, sometimes discouraging women from taking bold investment steps.
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Risk aversion is another factor. Studies show that women tend to be more cautious investors than men, often prioritizing security over high returns. While this is not inherently a bad strategy, it can sometimes mean missing out on lucrative investment opportunities.
To truly unlock the potential of women investors, financial institutions must go beyond traditional banking services. They need to create more accessible investment products with lower entry barriers, provide targeted financial education, and develop mentorship programs that connect women to successful investors.
Government policies can also play a critical role by incentivizing women-led investments and ensuring gender-inclusive financial policies. By bridging these gaps, Kenya can harness the full economic potential of women and drive inclusive economic growth.
The question now is not whether women will invest, but how financial institutions, policymakers, and society at large will support and accelerate this transformation. The future of Kenya’s investment landscape is undeniably female, and it’s time to embrace this change.
Jubilee Asset Management Limited is one of the fund managers offering solutions such as the Jubilee Money Market Fund, to help women save, invest and achieve financial independence. As more women take control of their financial futures, they are set to become key players in shaping Kenya’s investment landscape.
The writer is Head of Business Development at Jubilee Asset Management Limited
