Empowerment Program Strategies and Financial Inclusion of Women in Nairobi City County, Kenya

Abstract

Purpose: The aim of this research was to determine the level at which empowerment program approaches affect financial inclusion among women in Nairobi City County, in the Republic of Kenya. The research focused on the contribution of accessing financial services, financial literacy, vocational training, and social empowerment to women’s financial participation.

Methodology: The descriptive research design was used in this study to provide information concerning the characteristics, attitudes, and financial practices of women in Kibera to answer the research questions without any manipulation of variables. The descriptive research design allowed the researcher to analyze the existing conditions, as well as the relationship between financial access, financial literacy, vocational skills, and social empowerment, at a particular time. This model was appropriate in the dynamic conditions existing in the Kenyan informal settlement, where the research design allowed the utilization of both qualitative and quantitative research methods.

Findings: The result indicated that there was a positive significant influence between the four empowerment strategies and financial inclusion. Financial access to services played a significant role in the use of accounts, saving, and loans among women. Financial literacy played an important role in budget management, debt management, and confidence in the utilization of financial services. Vocational training in terms of developing skills played an important role in the earning potential, thereby having an indirect relationship between training and financial inclusion. Social empowerment facilitated independence in decision-making, citizenship, and involvement in financial institutions. The regression result confirmed the variables accounted for 54% variation in financial inclusion.

Unique Contribution to Theory, Practice, and Policy: The study makes a unique contribution by integrating financial intermediation theory, empowerment theory, and social capital theory to explain how financial access, financial literacy, vocational skills, and social networks collectively shape women’s financial inclusion in informal urban settings. It extends Financial Intermediation Theory by showing that access to financial services is only effective when documentation, cost, and digital-literacy barriers are addressed; strengthens Empowerment Theory by demonstrating that training and skills development enhance women’s agency but require supportive environments to translate into financial outcomes; and advances Social Capital Theory by illustrating how chamas and community networks act as practical financial ecosystems that enable trust, information sharing, and informal credit. Practically, the study shows that empowerment interventions are most effective when deployed in an integrated manner rather than in isolation, guiding NGOs, financial institutions, and community programs toward holistic models. From a policy perspective, the findings highlight the need for gender-responsive financial regulations, simplified onboarding processes, digital-literacy investments, and stronger monitoring frameworks to promote sustainable financial inclusion for women in informal urban settlements.