NAIROBI, Kenya, Mar 19 – One in five Kenyans say their cost of living has risen by more than 20 percent in the past six months, a new report by Tala shows.
The 2026 MoneyMarch Report highlights growing financial pressure, even as more people turn to savings and entrepreneurship to cope.
Savings rose to 59 percent of respondents using banks and chamas, up from 56 percent last year, reflecting increased focus on financial security.
At the same time, business ownership grew by eight percentage points, indicating more Kenyans are turning to self-employment as traditional income sources shrink.
However, fewer salaried workers are taking on side hustles, suggesting limited capacity to earn additional income.
“From these findings, I am convinced that together we can build a financial ecosystem that supports ambition and responsible borrowing,” said Annstella Mumbi, General Manager at Tala Kenya.
Digital lenders are increasingly becoming the go-to option during financial emergencies, with 91 percent of Kenyans borrowing from them, up from 87 percent last year.
Despite this, borrowers are becoming more cautious, opting for smaller loans mainly for business needs, school fees and daily expenses.
