LOAN PRESSURE IN THE BODA BODA SECTOR: MOGO, BAK TRAIN 800 RIDERS IN NAROK

More than 800 boda boda riders in Narok County trained on responsible borrowing, savings and financial management as Mogo Kenya and the Boda Boda Association of Kenya (BAK) seek to help operators avoid loan defaults and protect their livelihoods.

The financial literacy programme, conducted in Narok on Wednesday, September 30, focuses on practical skills including budgeting, managing daily cash flow, understanding loan agreements and setting aside money for regular repayments.

The riders are also being encouraged to maintain communication with their financiers whenever they experience difficulties that could affect their ability to repay loans.

Organisers say early engagement can help borrowers understand available options before temporary financial challenges develop into prolonged repayment problems.

For boda boda operators, motorcycles are not simply transport machines but important income-generating assets. Riders depend on their daily earnings to support families, pay school fees and meet household expenses.

Industry estimates show that Kenya has about 2.4 million motorcycles, with 68.4 per cent financed through digital and asset-based credit. The figures underline the role of credit in enabling motorcycle ownership while highlighting the need for borrowers to understand their financial obligations.

The training is taking place amid continued pressure on borrowers across the financial sector. The Central Bank of Kenya's Financial Sector Stability Report placed the gross non-performing loan ratio in the banking sector at 15.6 per cent in March 2026.

The wider boda boda industry is estimated to generate about KSh660 billion annually and support more than 2.5 million jobs, contributing approximately 4.4 per cent of Kenya's Gross Domestic Product.

Mogo Events and Community Manager Sheila Wangari said the company's interest in financial literacy goes beyond helping riders acquire motorcycles.

“Behind every motorcycle we finance is a person who depends on that motorcycle to earn a living. It is their workplace, their business and, in many cases, the income that supports an entire family,” Wangari said.

She said riders needed to understand the cost of credit, manage their daily earnings and plan for repayments if they were to keep their motorcycles productive and maintain financial stability.

Wangari further urged riders facing difficult months to contact their financiers instead of remaining silent.

“Speaking to the financier early creates an opportunity to understand the available options before a temporary setback becomes a bigger problem,” she said.

BAK President Kevin Mubadi said riders should understand the financial responsibilities associated with motorcycle ownership and know how to respond when they encounter difficulties.

“Our members depend on their motorcycles every day to earn a living and support their families. It is therefore important that they understand the financial commitments that come with motorcycle ownership and know what steps to take when they encounter difficulties,” Mubadi said.

The Narok County Boda Boda Chairman said the nature of the business, where riders receive and spend money daily, makes financial planning essential.

He said riders could easily spend money intended for loan repayments on immediate household needs if they did not plan their finances carefully.

The Narok training is part of a wider financial literacy initiative by Mogo Kenya and BAK that has reached riders in Nyanza, Mt Kenya, Western, Eastern and Rift Valley regions.