Digital Credits and Financial Inclusion among the Youth in Kenya
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Date
2022
Authors
Wamuyu, Veronica
Jagongo, Ambrose
Musau, Salome
Journal Title
Journal ISSN
Volume Title
Publisher
African Journal of Emerging Issues
Abstract
Objective of the Study: This study sought to investigate the relationship between digital
credits and financial inclusion among the youth in Kenya. In specific, the study used borrowing
for basic needs and borrowing for personal needs as measures of digital credits.
Research Methodology: The population of interest was the youth in Kenya focusing on public
and private university students on the main campuses in Nairobi City County aged between 18
years and 35 years estimated at 84,848. This study sought to collect primary data using
questionnaires for one year targeting the year 2020. The data collected were analyzed using
both descriptive and inferential statistics.
Results and Findings: The study found out digital credits have no effect on financial inclusion
among the youth in Kenya. Emulated from the empirical results, the study recommends that
policymakers and digital financial service providers should work to enhance the provision of
digital credits as a result of which they can have a significant impact on financial inclusion
among the youth in Kenya.
Conclusion and Recommendation: Digital financial service providers should embrace
transparency for a comprehensive decision-making process by the borrowers. Interest rate,
security requirement, and repayment period should be clearly explained to the borrower in
detail and any concerns clarified. Further, the government should educate the public on the use
of digital credit to embrace entrepreneurship and investment to avoid defaulting payments, late
repayment, and CRB listing.
Description
Article
Keywords
Digital Credits, Financial Inclusion, Youth
Citation
Wamuyu, V., Jagongo, A., & Musau, S. (2022). DIGITAL CREDITS AND FINANCIAL INCLUSION AMONG THE YOUTH IN KENYA. African Journal of Emerging Issues, 4(3), 130-139.