Assessment of the Effect of Social Participation on Financial Inclusion of Northern Rangeland Trust women groups, Kenya
Authors: Ali Fatuma Hussein , Mutea Fredrick Mutea , Moguche Abel Moguche 
Published: September 2022

Purpose: To assess the effect of social participation on financial inclusion of Northern Rangeland Trust women groups, Kenya.

Methodology: The current study used descriptive research design to collect quantitative and qualitative data. The target population was 10 women groups registered in Northern Rangeland Trust in Laikipia County. The respondents were 10 chairladies, 10 secretaries, 10 treasurers, and 152 women members. Women group leaders were interviewed while the women who were members of self-help groups answered the questionnaire. The study conducted pre-test on 1 women group in Samburu County selected using simple random method. The study also sampled 1 chairlady, 1 secretary, 1 treasurer and 15 women members. Chairladies, secretaries and treasurers were selected using purposive sampling method while the members were selected using simple random sampling method. The descriptive statistics such as frequencies, percentages and median were computed. The findings were presented using descriptive tables, figures and narratives for ease of understanding the results. Inferential analysis to be generated included model summary to test the level of influence, analysis of variance to test hypothesis and regression coefficients to test the study’s model. Diagnostic tests such as normality, linearity, multicollinearity, heteroskedasticity, and autocorrelation were tested. The study used multiple regression analysis in order to determine the relationship between linking social capital and financial inclusion of women groups in northern rangeland trust, Laikipia county, Kenya.

Results: The results from the questionnaires revealed, 39(29%) and 26(19%) strongly agreed and agreed correspondingly that women groups were able to access to financial services e.g., accounting services at subsidized rates after partnering with NGOs such as NRT. However, 80(60%) and 27(20%) strongly disagreed and disagreed correspondingly that there has been availability of financial opportunities on investments as a result of women groups selling products to internal and external promoters. The R coefficient was 0.863 while R-Square was 0.745. This meant that social networks had a 74.5% influence on financial inclusion. The significance value was 0.009 which was less than 0.05. The study therefore rejected null hypothesis that social participation does not have significant effect on financial inclusion of Northern Rangeland Trust women groups, Kenya.

The results from the interviews revealed, the various types of financial knowledge women in groups were bound to get that enabled them have outstanding performances in their projects as book-keeping, reconciliation and auditing. Additionally, the ways that NRT linked women to access financial services included connecting them with various accounting firms, accountants, financial managers and auditors. Further, the selection criteria that they used to rule out women groups that got access to financial opportunities on investments included availability of memorandum of association, group minutes and application status to NRT.

Unique contribution to theory, policy and practice: In as much as women were in a position of getting finances, the full access to financial opportunities was limited. This is whereby many groups of women had to rely on few economic activities that were majorly pegged on the directions given by both national and county governments. The study recommends that on social participation, there should be awareness raised by local leaders on available financial opportunities that women would engage locally to raise money. Various non-government organizations should encourage women to start various non-tradition business and explore wider on fields such as forex trading, online jobs, application of both local and international tenders among others. This would give an upper hand towards promoting more financial opportunities.