| dc.description.abstract | Village Savings and Loan (VSL) schemes provide opportunity for low income-earners to
access affordable financial services, which is a critical ingredient for economic
empowerment. In 2004, CARE Kenya piloted a VSL project in Rachuonyo District,
alongside three other districts. Six years later, the project had been scaled-up across the
country based on its success. However, little has been documented about the influence of
VSL projects on women’s economic empowerment. A cross-sectional survey was used to
guide the research process. Both quantitative and qualitative approaches were applied to
source, process, analyze and interpret that data. Primary data were obtained from 135
women, 74 of whom were members of VSL groups, while secondary data were sourced
through a review of financial records and reports of women groups. Quantitative analysis
yielded frequency distributions, One-way Analysis of Variance (ANOVA) with F-statistic,
as well as cross tabulations with Chi-square statistic. The study found that VSL members
and non-members were significantly different in terms of the amount of capital invested in
business, net returns on capital, ownership of properties such as land, business premises as
well as production equipment and machinery. Despite the success, the project gains were
yet to be consolidated in terms of production factors to guarantee sustainable
empowerment of women. Empowering low income-earners remains critical for the
attainment of national economic growth targets, specified in economic blue prints such as
the Vision 2030. This requires attention in terms of suitable training programs targeting
VSL groups to enable them come up with innovative home-grown solutions to their
challenges such financial constraints, poor marketing infrastructure and high levels of
poverty, among others. The study recommends the need for devolved government to
prioritize and support the development of VSL activities through appropriate training,
creating marketing structures such as cooperative unions, as well as improving the
infrastructure to facilitate marketing of products. | en |
