Analyzing the effectiveness of microfinance as a means of poverty alleviation in selected areas of Nairobi County; a case study of Kenya Women Micro-finance Bank

Abstract

Poverty is a major concern for most developing nations. Economic development and poverty reduction have been elusive throughout sub-Saharan Africa since independence (Younger, 2004), with Kenya being no exception. Moreover, entrepreneurship and financial inclusion among women in Kenya is lower than among men (CBK, 2016). Gender equality is the fifth Sustainable Development Goal (SDG) and its pursuit is key to the economic development of Kenya. Micro finance is built around the concept of alleviating poverty, the creation of wealth for the poor and women empowerment. Empirical evidence, however, indicates that this may not always be the case and in some instances, micro-finance initiatives leave their intended beneficiaries worse off than they were before undertaking the micro-finance initiative.