Economy

Side Hustles Drive Kenya’s Urban Economy

Side Hustles Drive Kenya’s Urban Economy

In Kenya’s cities, side hustles are no longer rare. Many city residents find that their primary jobs are no longer enough to cover daily expenses. This reality has fueled the growth of side hustles, which are now central to Kenya’s urban economy.

A 2024 GeoPoll survey found that 71% of employed youth aged 18 to 35 run side hustles to earn extra income. The same survey showed that 44% earn less than KSh 30,000 per month. Another 20% make between KSh 30,000 and KSh 50,000. Low salaries are pushing many young people to seek income beyond formal jobs.

This trend is about more than making ends meet. It also shows the resilience and adaptability of Kenya’s youth. GeoPoll reports that 87% of young people are interested in self employment. They see it as a path to financial independence. Many Kenyans now balance formal work with small businesses. This shift reflects a growing entrepreneurial culture in urban areas.

Side hustles in Kenya take many forms. The GeoPoll survey highlights retail trade, agriculture, and digital work as common ventures. Nineteen percent of youth work in the digital economy. They engage in freelancing, remote work, content creation, and other ICT related tasks. These opportunities are strongest in cities where internet access, digital tools, and mobile money platforms like M-Pesa support small businesses.

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Side hustles affect more than individual income. The International Labour Organization notes that over 80% of Kenyan workers are in informal employment. Many of these jobs overlap with digital platforms. This informal economy drives job creation, income generation, and poverty reduction in most urban areas.

Delivery side hustle in Kenya

The side hustle culture has challenges. Many young entrepreneurs also struggle to access capital. Lack of funds also limits business growth. Mentorship is often scarce, and regulatory hurdles remain. Side hustlers also face stress from juggling multiple jobs. Burnout is common among those balancing work, business, and personal life.

Economic Impact of Side Hustles

Despite these challenges, the future looks promising. Side hustles may also become more formalized, contributing to Kenya’s economic growth. Entrepreneurship is on the rise. Full time employment alone is no longer the main income source for many. Support from financial institutions, government programs, and training can help side hustlers build sustainable businesses.

Many experts argue that employers in Kenya should accept that employees often run side hustles. These additional jobs do not always indicate a lack of commitment. In fact, side hustles can improve skills, boost creativity, and enhance problem-solving. Companies that recognize or support employees’ entrepreneurial activities may benefit from a more motivated, innovative, and productive workforce. Embracing side hustles could turn what some see as a distraction into an advantage for the workplace.

Side hustles in Kenya are more than temporary solutions. They signal a societal shift. Young people are refusing to rely solely on stagnant formal jobs. By using technology, creativity, and entrepreneurial energy, they are not only supporting themselves but also driving Kenya’s urban economy forward.

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