WOMEN ECONOMIC EMPOWERMENT IN POVERTY MITIGATION IN MWALA SUB COUNTY, MACHAKOS COUNTY, KENYA.

Abstract

ABSTRACT This study sought to investigate the influence of Women Economic Empowerment in Poverty mitigation in Mwala Sub County, Machakos County, Kenya. This was achieved through an investigation into the role of micro savings in poverty mitigation; the influence of access to micro credit in poverty mitigation; the influence of women training programme in women poverty mitigation; and the influence of micro insurance in poverty mitigation amongst women in Mwala Sub County, Machakos County, Kenya. Capability Approach and human development and village banking model by Hatch guided the study. Descriptive survey design was used in this study, employing the use of both qualitative and quantitative research approaches. The study targeted micro-finance women clients in Mwala Sub County. Key informants in this study included key staff members from private micro-finance institutions, and micro-finance NGOs sector in Mwala sub-county. Two staged cluster sampling was adopted by selecting microfinance women clients. Out of 2,819 members of micro-finance woman groups in Machakos County, a sample of 350 respondents were used to gather data from the selected wards, computed using Yamane (1967) sampling formula. Data was collected from 6 key informants. Data was collected using semi structured questionnaires and interview guides. The quantitative data was analyzed descriptively by use of tables, graphs and pie charts while qualitative data from interviews was analyzed through content analysis. Under the objective of micro-savings and poverty mitigation amongst women, It was established that a sizable group of respondents (47%) had savings below Kes. 10,000. Majority (73%) of the respondents agreed that savings were done on voluntary basis. They however indicated that sometimes the microfinance institutions required them to save some amount on monthly basis, so as to keep their accounts active.84% of the respondents totally agreed that savings are needed to guard against shocks, provide cover for income and allow for capital accumulation. On the second objective that sought to determine the effects of access to micro credit in poverty mitigation amongst women in Mwala Sub- County. 40% of women acquired microcredit in order to meet necessities, which included food, shelter and clothing. 60% of the respondents had acquired microcredit for two to three times, by the time this study was being conducted. Further, majority of the respondents had acquired credit of between Kes. 20,000 and Kes. 29,000. 37% of the women claimed that they owned assets worth Ksh. 20,000 to Ksh. 29,000. From the findings, it was evident that the interest rates of microcredit were moderate, and hence friendly for the low-income borrowers. This was supported by 63% of the respondents. Most of the respondents had observed a positive change in their monthly income. On the third study objective, half of the study participants (50) of the respondents indicated that women trainings on various financial aspects was effective. Sizable group of respondents believed that training women improved their knowledge and selfbelief. On the final objective, 63.3% (210) of the respondents involved in the study had not yet subscribed to any micro-insurance scheme. Economic and financial decisions were reported to be the major determinant to subscription in micro-insurance policies while inadequate source of sustainable income emerged as a major hindrance to the respondents in accessing microinsurance. CBOs, FBOs and NGOs offering micro credit services such as loans are recommended to partner with more institutions to raise more grants to serve higher number of poor and vulnerable women.