Abstract:
Research shows that more women (6%) than men (3.2%) access financial resources through informal channels,
widening the gender gap in financial access (FinAccess, 2021). In SACCOS, only 34.23% of members are
women, compared to 60.65% men (SASRA, 2019). This study investigates why women prefer informal groups,
like chamas, over SACCOS, examining the role of gender-specific social networks. It hypothesizes that women
experience stronger social ties in chamas, leading to higher participation. Using a mixed methods approach, the
study collected qualitative data via focus groups and interviews with local leaders, then conducted a quantitative
survey with 1,349 respondents across Kisii, Machakos, and Nandi counties. Findings reveal that chamas foster
stronger trust, goodwill, and closeness than SACCOS, while women face cultural and resource barriers to
joining both. Recommendations include developing SACCOS products better suited to women’s needs and
creating pathways for chama members to transition smoothly into SACCOS membership.
