The influence of micro-financing on the economic welfare of urban women in Kenya : a case of Kawangware region, Nairobi County

Abstract

The study aimed at finding out how micro financing influences the economic welfare of urban women in Kenya. Key words include micro-financing and economic welfare of urban women. This is because today, micro-financing schemes are considered as a means of combating poverty in Africa. The schemes address the problem of access to resources, participation in the economy and taken into account in national policy making, considering as they do the skill and resource levels of customers and their social cultural environment.

This study contains four main variables. The independent variables include the provision of savings and credit services by MFls, the formation of self help groups for economic benefits, informal micro-insurance services by MFls and entrepreneurial training facilities. The target population was women at Kawangware Township who are members of the various micro financing institutions within that area.

Data was collected by means of a questionnaire which was adopted using 'Drop and Pick' method. Descriptive statistics consisting of means and standard deviations was employed to conduct data analysis. Construct validity and test retest reliability technique was applied to ensure the data collected is reliable and valid. Both content and descriptive statistics methods were use to analyze the data and presented in form of tabular summaries. From the findings, the study concludes that indeed micro financing schemes have led to better economic status in the lives of their members.