Nakuru boda boda operators speak on why the trade has remained a poor man's job
Boda boda operators have a chat after attending a financial literacy training in Molo.
The boda boda sector is one of the largest employers in Kenya, providing over one million direct jobs to the Kenyan population.
However, despite the sector being a multi-billion dollar industry that contributes about Sh300 billion to the GDP annually, some operators in Nakuru County have remained poor, surviving on a hand-to-mouth basis.
While some attribute this to the harsh economic times coupled with the depreciating strength of the shilling against the dollar, others blame it on the low level of financial literacy among them.
Wilfried Murithi, one of the Bodaboda officials, revealed that the challenges faced by the operators are more related to financial literacy and management.
According to him, most bodaboda riders receive money but lack the knowledge on how to properly use or take advantage of the opportunities available to them.
He pointed out that most of the riders are regularly auctioned off after defaulting on loan repayments, which scares them off.
"The problem is not that we are not getting money, but the fact that our members do not understand the sustainable way of managing their finances as well as the loans given to them," said Mr Muriithi.
Secondly, operators who have joined saccos and chamas end up being cheated by the so-called leaders after investing their money in the group.
A case in point occurred in Nakuru in 2022 when eight directors of the South Rift Bodaboda Association in Nakuru were charged with defrauding the association of Sh5million.
As a solution to the challenges, Mr Murithi suggests that operators need a partner who understands the industry well and is able to offer loans to members in a way that they can comfortably service.
Mr Murithi, who was among those trained on financial literacy in Molo, said more investors should follow suit and educate drivers on best financial practices.
The training was organised by Watu Credit Kenya, a financial institution, in collaboration with the National Transport and Safety Authority and the Bodaboda Association of Kenya, where at least 200 drivers were equipped with financial management skills.
Erick Massawe, the institution's Country Manager, said the training/clinic, which will be held in a series, will provide an opportunity for the company to directly engage and connect with its customers to effectively address their concerns.
Mr Masawe noted that the training is aimed at equipping drivers with essential financial literacy skills to effectively manage their finances and enable them to achieve financial stability and responsible financial practices.
"By investing in the financial education of our clients, we are confident that we will create a ripple effect of positive change across the country, fostering a culture of responsible financial behaviour and economic empowerment in line with the government's bottom-up economic agenda." Mr Masawe said.
Bodaboda National Chairman, Kelvin Mubadi.
Bodaboda National Chairman, Kelvin Mubadi, welcomed the training which he said would benefit members who also contribute to economic development.
"I have learnt so much, especially on how to manage my daily income and how to talk to my customers and prioritise their needs and safety. I look forward to more such forums in the future," said Mr Mubadi.