A recent GeoPoll survey highlights the economic struggles faced by Kenyan youth and their growing reliance on side hustles to make ends meet.
The report sheds light on employment trends, income disparities, entrepreneurial aspirations, and the challenges of starting a business.
1. Employment Landscape and Income Challenges
- Low Earnings Among Employed Youth
The survey revealed that most employed Kenyan youths earn less than Ksh 30,000 per month. Only 20% earn between Ksh 30,000 and Ksh 50,000, while just 6% make over Ksh 150,000 monthly.
- High Unemployment Rates
The National Council for Population and Development (NCPD) notes that while youth (aged 18-34) constitute 35% of the population, they face an alarming 67% unemployment rate.
- Formal Job Market Limitations
Over a million young people enter the labor market annually, yet formal job opportunities remain scarce, pushing many to explore alternative income streams.
2. Rise of Side Hustles
- Entrepreneurial Spirit
A striking 71% of respondents reported having side hustles to supplement their income, reflecting the adaptability and resilience of Kenyan youth. Popular side hustles include retail, agriculture, and technology ventures.
- Desire for Self-Employment
A significant 87% of surveyed youths expressed interest in starting their own businesses, with 56% aiming to run enterprises full-time and 39% seeking part-time entrepreneurship opportunities.
3. Barriers to Employment and Entrepreneurship
Key Challenges to Employment
- Lack of job opportunities (80%).
- Nepotism and cronyism (42%).
- Insufficient networking (39%).
- Inadequate government support (34%).
- Skills mismatches and lack of work experience (32%).
- Obstacles to Starting a Business
Limited access to capital (72%).
- Lack of mentorship and guidance (51%).
- Market competition and inadequate business knowledge.
4. Youth Empowerment Needs
- Financial Support
Access to grants and loans was highlighted as the most critical need for aspiring entrepreneurs, with 82% identifying it as essential for business success.
- Mentorship and Skill Training
Over half (51%) of respondents valued mentorship and guidance, emphasizing the importance of structured support systems for entrepreneurial growth.
- Government Initiatives
Skill-based training, vocational programs, and favorable policies are crucial in bridging gaps in employability and encouraging business innovation among the youth.
5. Emerging Trends in Entrepreneurship
- Sectoral Preferences
Retail and trade were the most popular fields, followed by agriculture, which remains a cornerstone of Kenya’s economy.
Technology ranked third, showcasing the increasing appeal of innovation and digital solutions among the youth.
- Educational Background and Gender Representation
A majority of respondents (70%) held college degrees. Of the survey participants, 63% were male and 37% female, with most aged 25-35 years.
Conclusion
The survey paints a picture of a determined and entrepreneurial Kenyan youth population, grappling with systemic challenges but showing remarkable resilience.
By addressing barriers such as access to capital, mentorship, and skill development, Kenya has the opportunity to unlock the full potential of its youth and foster a robust economic future.
