- NGEC has urged greater youth participation in Kenya’s economy, with Saccos seen as a key source of savings and credit.
- Youth businesses still face limited capital, markets and procurement opportunities.
- The commission called for stronger implementation of youth empowerment programmes and policies.
National Gender and Equality Commission (NGEC) has renewed calls for young Kenyans to be brought into the country’s economic mainstream, a push that puts fresh focus on Saccos as a practical route to savings, credit and enterprise capital for youth.
Marking International Youth Day 2026 on August 12, NGEC Chairperson Rehema Jaldesa said Kenya’s youthful population, three-quarters of whom are aged 35 and below according to the 2019 census, represents significant potential for innovation, productivity, leadership and national transformation.
However, she added that this potential is being undermined by unemployment, underemployment and insecure livelihoods that continue to limit young people’s economic participation.
The commission noted that youth-owned enterprises still face inadequate capital, limited markets, complicated procurement procedures and delayed payments, despite government interventions such as youth enterprise funds and the Access to Government Procurement Opportunities (AGPO) programme. It is this financing gap that cooperative sector players say Saccos are well placed to help close.
A financial inclusion gap Saccos could fill
Kenya’s Sacco movement has already positioned itself as an entry point for young savers and entrepreneurs. Youth-focused Saccos have been recognised for promoting financial inclusion by giving young people a platform to save, invest and participate in the cooperative movement.
Sector leaders have previously urged more youth to join Saccos, arguing that cooperative membership offers financial security and a pathway to national economic growth.
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Because Saccos operate on a member-owned model with lower entry barriers than commercial banks, they are often cited as a natural fit for the very challenges NGEC highlighted, particularly limited access to capital and markets. For many young entrepreneurs shut out of formal credit, a Sacco loan can serve as the difference between an idea and an operating business.
Government youth programmes add momentum
NGEC’s statement referenced the National Youth Opportunities Towards Advancement (NYOTA) Project, describing it as having already enabled thousands of young entrepreneurs to establish or expand enterprises through business skills training, start-up capital, apprenticeships, mentorship and a structured savings component.
NYOTA, a five-year initiative by the Government of Kenya financed by the World Bank, targets 820,000 unemployed youth aged 18 to 29, or up to 35 for persons with disabilities, and includes a savings component run through the National Social Security Fund’s Haba Haba scheme.
While NYOTA channels its savings arm through NSSF rather than the Sacco sector directly, cooperative advocates argue there is room for Saccos to complement such programmes by absorbing beneficiaries who need ongoing access to credit once government-backed start-up capital runs out.
The commission also flagged compounded structural barriers facing young women, youth with disabilities, those in informal settlements, rural and pastoralist youth, refugees and youth from minority and marginalised communities.
It called on the Public Service Commission (PSC), county public service boards and the private sector to expand internship opportunities, and urged procuring entities to enforce the 30 per cent procurement reservation for youth, women and persons with disabilities.
NGEC further called on the national and county governments to fully implement Article 55 of the Constitution and the 2019 Kenya Youth Development Policy, which require the state to take affirmative action ensuring young people access education, training, employment and protection from harmful cultural practices.
By Benedict Aoya
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