Financial Inclusion Outcomes in East Africa, 2017-2025: A Cross-Country Analysis of Access, Usage, Quality and Empowerment

Abstract

Financial inclusion is central to sustainable development in Africa, yet its effectiveness depends on more than simply expanding access to financial accounts. This study examines progress in Kenya, Tanzania, and Uganda between 2017 and 2025, focusing on whether increased access to financial services has translated into meaningful empowerment outcomes. The analysis is guided by four hypotheses: (1) access does not guarantee regular usage; (2) service quality determines sustained inclusion; (3) digital channels can foster empowerment; and (4) gender disparities persist despite narrowing gaps in account ownership. Findings reveal divergent country experiences. Kenya is approaching saturation in account ownership, with digital services increasingly integrated into daily life and contributing to higher levels of resilience, though risks of over-indebtedness are evident. Tanzania demonstrates strong gains in mobile money adoption and interoperability, yet empowerment outcomes remain limited due to persistent service quality concerns. Uganda shows steady growth in access, but usage continues to lag, constrained by high transaction costs, weak consumer protection, and entrenched gender inequalities. Overall, East Africa outperforms many developing regions in expanding access, but empowerment outcomes remain uneven and fall below global averages. The study concludes that the next frontier of financial inclusion lies not in widening access but in strengthening quality, building resilience, and embedding gender-sensitive digital innovations. Policy recommendations call for user-centred strategies that emphasize affordability, transparency, consumer protection, and empowerment, ensuring that financial inclusion becomes a transformative pathway to sustainable development.