Gen Z urged to join Church-backed development trust for loans, financial growth » Capital News

KISII, Kenya, Jul 16 — A Church-led Community Development Trust (CDT) is appealing to the youth to take up investment opportunities to foster self-reliance through its loan platform.

Five Talents Kenya (FTK) Chief Executive Officer Peter Mugendi made a direct appeal to the Gen Z, who shot to prominence after resisting nex taxation measures in June 2024 sparking an anti-government protest movement, during a launch event on Wednesday.

Speaking at St. Philips ACK Church in the Upper Southern Nyanza Diocese, Mugendi said the faith-based nonprofit has partnered with the Anglican Church of Kenya (ACK) across various dioceses to empower communities through financial literacy and practical money management skills.

“Our model encourages communities to save, invest, and take charge of their own financial future,” said Mugendi. “We are training and equipping them with the knowledge to manage their own savings and credit cooperative societies.”

FTK’s savings-based model, he explained, promotes local ownership and sustainability.

Through the CDT, youth and other community members can pool resources, access affordable loans, and build enterprises that foster economic independence.

The initiative comes at a time when many young people in Kenya face rising unemployment and financial instability.

By forming CDT groups, Mugendi noted, Gen Z youth can not only gain access to capital but also benefit from mentorship and accountability within their peer networks and communities.

Wide reach

Flanked by Bishop John Omangi and FTK Chairperson Dr Joseph Muchai, Mugendi emphasized the community-driven nature on the program.

“We assess our success through the sustainability of our programs and the degree to which communities take ownership in driving their own development agendas.”

He noted that the CDT program, which began in 2004, currently implemented in fifteen ACK dioceses across the country has approximately 80 per cent of its members as women aged between 20 and 25.

Mugendi said the organization is now working to bring more young people on board.

“Youths have the potential to transform their lives if they are trained in financial literacy, savings, and investments,” he said.

“They form the bulk of our population, yet have often been sidelined in micro-finance programs. We want to change that.”

According to FTK, the organization mobilizes funds to train grassroots groups, safeguarding their savings before they can access loans for various income-generating activities.

Mugendi added that, through partnerships with churches, FTK has strengthened the governance of CDT groups, ensuring the protection of members from exploitation by intermediaries charging high interest rates on loans.

“We are collaborating with churches, county and national governments, as well as donors, to effectively manage risks associated with members’ savings,” he said, adding that 500 members in Kisii and Nyamira counties have already joined the program, with a target of enrolling 3,600 more.