First Lady Rachel Ruto has challenged the nation's financial sector to unlock the immense economic potential of women, declaring that the main obstacle to their success is access to funding, not a shortage of ideas.

Her remarks, delivered at the 16th-anniversary celebration of her Joyful Women (JoyWo) initiative in Kasarani, Nairobi, place a sharp focus on the tangible impact of economic empowerment on Kenyan families. This call to action resonates at a time when women-owned businesses are a significant, yet under-supported, pillar of the economy, accounting for nearly half of all micro, small, and medium enterprises (MSMEs) and contributing about 20% to the nation's GDP.

“These women show what happens when given opportunity. Women do not lack ideas. They are diligent. They have only lacked access to financial capital,” the First Lady emphasized, sharing success stories of women who have built thriving enterprises through the JoyWo program.

Confronting a Stark Reality

The First Lady's statement confronts a stark reality on the ground. Despite a powerful entrepreneurial spirit—with over 90% of Kenyan women considering starting their own business—access to finance remains their biggest hurdle. A recent Mastercard report highlighted that lack of funding is the top challenge, cited by 53% of women, with 82% of aspiring entrepreneurs pointing to insufficient launch capital as the primary reason for not starting.

This funding gap is often systemic. Many formal banking models were historically designed in ways that disadvantage women, who often lack the traditional collateral, like land titles, required for loans. This forces many to rely on informal savings groups or microfinance institutions.

To address this, the government has established several initiatives, which the First Lady praised:

• The Women Enterprise Fund (WEF): Established in 2007, this fund provides affordable credit and has disbursed over KSh 28 billion to more than 2.25 million women.
• The Uwezo Fund: This program offers interest-free loans to groups of women, youth, and persons with disabilities.
• The Hustler Fund: A key government program providing financial support to thousands of women-led businesses.

From Grassroots to National Impact

The Joyful Women organization itself stands as a powerful testament to alternative financing models. Founded in 2009, JoyWo has empowered over 240,000 members through its 'Table Banking' system, a group-based model where character and integrity act as collateral. The initiative has successfully circulated over KSh 4 billion, enabling the launch of an estimated 300,000 businesses.

“Joyful Women is no longer a seed, it is a mighty mugumo tree, rooted, unbreakable, and evergreen,” Mrs. Ruto stated, describing the organization's growth and resilience. She celebrated members like Mrs. Gitobu from Meru, who grew her dairy farm and built rental properties after joining a small group in 2013.

Looking forward, the First Lady stressed the need to build on these successes. “You are no longer the women who were told no. You created your own, yes. You are the backbone of this economy, the heartbeat of your homes and the architects of Kenya's future.”