The Old Mutual report finds that 70% of working Kenyans are dissatisfied with their financial situation, largely due to reduced income and rising costs. The report highlights significant mental health impacts from financial stress, yet 60% remain hopeful for improvements in the next six months, driven by potential opportunities and a commitment to better financial practices.
A recent Old Mutual report indicates a significant financial dissatisfaction among working Kenyans, with 70% of respondents expressing unhappiness with their financial situation. This dissatisfaction primarily stems from reduced income, as 70% reported a decline in earnings. The financial distress is linked to deteriorating mental and physical health for about 40% of the population due to challenges in covering basic needs and saving effectively.
Key causes of financial dissatisfaction include rising living costs, underperforming businesses, and unstable financial circumstances. According to the report, financial stress is notably impacting mental health, with 47% of the workforce suffering from mental health issues related to their financial obligations. Alarmingly, 70% of respondents indicated that they have no emergency savings left by the end of the month.
Despite these challenges, 60% of respondents remain hopeful about their financial futures within the next six months. This optimism is driven by expectations of better business activity, job opportunities, increased savings potential, and a commitment to financial discipline and agricultural investments. The report emphasizes the adverse effects of high living costs, heavy taxation, rising unemployment, and inflated food prices on the economic landscape in Kenya.
The study focuses on employed adults aged 20 to 59 who earn at least Sh12,000, encompassing about 63% of the population aged 15 to 64. While the findings reflect a dire financial situation, the enduring optimism among Kenyans showcases a resilient mindset and faith in improving financial conditions. As stated in the report, “63 percent from a personal perspective, Kenyans remain optimistic, as 6 in 10 working Kenyans expect their financial situation to improve in the next 6 months.”
In conclusion, the Old Mutual report reveals a concerning trend where 70% of working Kenyans are financially dissatisfied, primarily due to decreased income and rising costs. However, there is also a notable optimism regarding future financial improvement, indicating resilience among the population despite current challenges. The interplay of economic factors highlights both the difficulties faced and the hopeful outlook for better financial conditions in the near future.
Original Source: mwakilishi.com
