A Deloitte report has confirmed what Kenyan banks have known for the last few years: Kenyan young professionals spend more than they earn.
In spite of their relatively lower purchasing power, the Kenyan youth has affinity to the finer things of life compared to the richer youths in South Africa, Egypt, and Nigeria, says The Deloitte Consumer survey.
The survey interacted with 2,000 youths in the four countries and the overarching consensus is that youths from richer nations like South Africa and Egypt are more prudent when it comes to financial management.
However, the report indicates youths in Kenya and Nigeria see a rosy picture when it comes to their future earnings while SA and Egypt youths are a bit skeptical of improving standards
“In addition, more than one in three young consumers in Kenya and Nigeria think that the economic situation of their country is better today than it was five years ago. However, only one in five share that view in Egypt,” states the report.
Across the board, one in four youths surveyed aspire to buy well-known brands but issues of affordability varies in the four markets.
32 percent of Kenyan youths said buying well-known brands makes them feel good compared to 23 percent in Nigeria, 25 percent in South Africa and 20 percent in Egypt.
Interestingly, when asked; Would you spend a bit extra to keep up with the latest fashion? Kenyan youths who answered in the affirmative was the highest at 25 percent.