For many countries in Africa, the youth constitute over half of the population leading to debates about whether these group can be a driving force for change and improvement, or whether they represent a challenge to development as many youth experience high rates of poverty and unemployment.
The youth in Kenya have feasible business ideas but lack the financial muscle to make them a reality.
Those with little capital need more to grow and expand their businesses. The lucky ones who are employed need to save for their future and maybe become self-employed and create more jobs.
To achieve much needed financial empowerment for the young people, the best choice is joining good savings and credit co-operatives (Saccos).
Saccos, have quickly come to assume a central place within the financial services sector, becoming part of mainstream financial institutions.
In this way, Saccos are a spur-of-the-moment response to a long history of bureaucratic red-tape associated with some of Kenya’s established commercial banks.
Even where the young people are employed, meagre end month salaries fail to quench ascendant financial needs.
Savings and Credit Co-operative Societies are important institutions in the country.
One of the major reasons why the youth must save their money is because there is the huge amount of interests the money attracts.
Saccos have proven to be the best option of many young people in Kenya to get loans where banks are out of reach.
Unfortunately many Saccos in Kenya do not have products tailored for the young people.
The movement is growing rapidly, thanks to innovation riding on the expanding mobile platform.
Use of technology will see Saccos attract more youths in turn inspiring them to save more.
National and County governments are tasked with the youth empowerment function and the best way to empower our youth is by encouraging them to save.
Our youth should be trained on financial management and investment, saving, developing business plans, basic marketing skills; and also through their monthly or weekly contributions be enabled to access cheap financing to grow their businesses.
Therefore, it is high time both the National and County governments started shifting focus to increase youth participation in economic growth.
Empower the youth to join saccos
