Browsing: Savings

A savings group in Malanga, Kenya. Supporting extended family is hindering many Kenyans from savings. www theexchange.africa

Most Kenyans, 83 per cent, indicated a willingness to increase the amount of money they allocate to savings and investments, but the inability to save due to insufficient funds after fulfilling their obligations that require regular funding and the availability of quick digital loans.

Among their obligations which contribute to Kenyans’ financial strain is supporting their extended family which considerably bites into their savings. 84 per cent of people indicated that they regularly provide some income to their extended family, mostly in case of emergencies, because they feel a sense of obligation to send their extended families money and because their extended family members treat them better when they are sent money.

On their part, the extended family members mostly use the money to cater to recurring expenses like food & transport, school fees and medical expenses at 23 per cent, 19 per cent and 18 per cent respectively. Farm-related expenses like purchase of fertiliser ranked fourth at 14 per cent, phone and home upgrades came in fifth at 7 per cent while entertainment like Christmas celebration was sixth.

Cashlet has been developed by Sycamore Capital Ltd, and it works in partnership with regulated fund managers in Kenya, to allow users to invest in unit trust products in simple, fully digital, and modern way.

The initial partner fund managers include ICEA Lion Asset Management, Old Mutual, and Genghis Capital.

The app seeks to pioneer saving and investing flexibility, life goals creation and tracking, market interest rates, financial visibility, and expert support.

In partnership with the SaveApp Group, through their newly launched product, Octagon Africa is working to improve their services whereby customers will be able to save their spare change at Naivas till payments and channel this towards their savings for retirement under the Octagon Personal Pension Scheme.

“Our drive is to work with strategic partners such as SaveApp in a bid to improve the quality of life for our customers in their sunset years,” Simba said.

Ukonga app is a collaboration between SaveApp Group, a Kenyan technology company that creates solutions to solve real-life problems, UBA Kenya as the banking partner, Octagon Africa as a pension partner and Naivas Supermarket as the retail partner.