FINANCIAL TECHNOLOGY ACCESS AND HOUSEHOLD WELFARE IN KENYA: A CASE OF GREEN PARK ESTATE, NAIROBI COUNTY, KENYA

Abstract

The development of digital financial services has transformed transactions and financial access, particularly in developing countries. However, access to these services remains uneven, impeding economic engagement and welfare development. This study focuses on the impact of financial technology access on household welfare within Green Park Estate, Nairobi County, Kenya, addressing the disparities and exploring avenues for inclusive progress. The specific objective was to determine the effect of access to electronic payment systems on household welfare in Green Park Estate, Nairobi County. The study used the Social Capital Theory. It employed a descriptive research design and targeted 500 households in Green Park Estate. Cochran formula, which was used to reduce the sample to 157 respondents. Simple random sampling technique was used to select the sample respondents. Data analysis was conducted using SPSS version 25, and the findings were presented using chats and tables. The study findings revealed that access to electronic payment systems had a positive impact on household welfare. Electronic payment systems enabled households to better manage their payments, and financial savings innovations positively correlated with household welfare. Based on the study findings, the researcher recommended that financial institutions should work to mobilize more households to fully adopt technology in their financial systems. Financial organizations should collaborate with households in Upper Savanna to develop better financial savings innovations, and the government should provide cheap loans to households to protect them from exploitation. Further studies should also be conducted to determine how these variables affect household welfare.