The intrinsic and instrumental value of money and resource management for people’s wellbeing in rural Kenya

Research output: Working paper

5 Downloads (Pure)

Abstract

This report uses a theoretical framework based on Sen’s Capability Approach to suggest financial capability should be understood as a set of reachable financial opportunities, which individuals have reason to value to achieve their wellbeing goals. From this perspective, financial inclusion can be evaluated according to its ability to facilitate poor and excluded individuals to better pursue their wellbeing goals. The empirical contribution of this report shows that formal bank accounts, while instrumentally valuable as means for savings, do not fit with a local mode of development based on mutual support and “upliftment”. By contrast informal financial strategies are more aligned with local social norms and moral values. They are therefore intrinsically better at contributing to people’s quality of life. By considering the role of non-economic value drivers, this report invites the financial sector to deepen its understanding of how and why services’ are adopted and used. It challenges the financial sector to align its financial inclusion proposition with such a broad set of drivers in mind.

Keywords: Financial Inclusion, Wellbeing, Capability Approach, Kenya
Original languageEnglish
PublisherCentre for Development Studies, University of Bath
Publication statusPublished - May 2017

Publication series

NameBath Papers in International Development and Wellbeing
No.51

Cite this

Storchi, S. (2017). The intrinsic and instrumental value of money and resource management for people’s wellbeing in rural Kenya. (Bath Papers in International Development and Wellbeing; No. 51). Centre for Development Studies, University of Bath.

The intrinsic and instrumental value of money and resource management for people’s wellbeing in rural Kenya. / Storchi, Silvia.

Centre for Development Studies, University of Bath, 2017. (Bath Papers in International Development and Wellbeing; No. 51).

Research output: Working paper

Storchi, S 2017 'The intrinsic and instrumental value of money and resource management for people’s wellbeing in rural Kenya' Bath Papers in International Development and Wellbeing, no. 51, Centre for Development Studies, University of Bath.
Storchi S. The intrinsic and instrumental value of money and resource management for people’s wellbeing in rural Kenya. Centre for Development Studies, University of Bath. 2017 May. (Bath Papers in International Development and Wellbeing; 51).
Storchi, Silvia. / The intrinsic and instrumental value of money and resource management for people’s wellbeing in rural Kenya. Centre for Development Studies, University of Bath, 2017. (Bath Papers in International Development and Wellbeing; 51).
@techreport{672f243559b04b69a68f9989b59f090d,
title = "The intrinsic and instrumental value of money and resource management for people’s wellbeing in rural Kenya",
abstract = "This report uses a theoretical framework based on Sen’s Capability Approach to suggest financial capability should be understood as a set of reachable financial opportunities, which individuals have reason to value to achieve their wellbeing goals. From this perspective, financial inclusion can be evaluated according to its ability to facilitate poor and excluded individuals to better pursue their wellbeing goals. The empirical contribution of this report shows that formal bank accounts, while instrumentally valuable as means for savings, do not fit with a local mode of development based on mutual support and “upliftment”. By contrast informal financial strategies are more aligned with local social norms and moral values. They are therefore intrinsically better at contributing to people’s quality of life. By considering the role of non-economic value drivers, this report invites the financial sector to deepen its understanding of how and why services’ are adopted and used. It challenges the financial sector to align its financial inclusion proposition with such a broad set of drivers in mind. Keywords: Financial Inclusion, Wellbeing, Capability Approach, Kenya",
author = "Silvia Storchi",
year = "2017",
month = "5",
language = "English",
series = "Bath Papers in International Development and Wellbeing",
publisher = "Centre for Development Studies, University of Bath",
number = "51",
type = "WorkingPaper",
institution = "Centre for Development Studies, University of Bath",

}

TY - UNPB

T1 - The intrinsic and instrumental value of money and resource management for people’s wellbeing in rural Kenya

AU - Storchi, Silvia

PY - 2017/5

Y1 - 2017/5

N2 - This report uses a theoretical framework based on Sen’s Capability Approach to suggest financial capability should be understood as a set of reachable financial opportunities, which individuals have reason to value to achieve their wellbeing goals. From this perspective, financial inclusion can be evaluated according to its ability to facilitate poor and excluded individuals to better pursue their wellbeing goals. The empirical contribution of this report shows that formal bank accounts, while instrumentally valuable as means for savings, do not fit with a local mode of development based on mutual support and “upliftment”. By contrast informal financial strategies are more aligned with local social norms and moral values. They are therefore intrinsically better at contributing to people’s quality of life. By considering the role of non-economic value drivers, this report invites the financial sector to deepen its understanding of how and why services’ are adopted and used. It challenges the financial sector to align its financial inclusion proposition with such a broad set of drivers in mind. Keywords: Financial Inclusion, Wellbeing, Capability Approach, Kenya

AB - This report uses a theoretical framework based on Sen’s Capability Approach to suggest financial capability should be understood as a set of reachable financial opportunities, which individuals have reason to value to achieve their wellbeing goals. From this perspective, financial inclusion can be evaluated according to its ability to facilitate poor and excluded individuals to better pursue their wellbeing goals. The empirical contribution of this report shows that formal bank accounts, while instrumentally valuable as means for savings, do not fit with a local mode of development based on mutual support and “upliftment”. By contrast informal financial strategies are more aligned with local social norms and moral values. They are therefore intrinsically better at contributing to people’s quality of life. By considering the role of non-economic value drivers, this report invites the financial sector to deepen its understanding of how and why services’ are adopted and used. It challenges the financial sector to align its financial inclusion proposition with such a broad set of drivers in mind. Keywords: Financial Inclusion, Wellbeing, Capability Approach, Kenya

M3 - Working paper

T3 - Bath Papers in International Development and Wellbeing

BT - The intrinsic and instrumental value of money and resource management for people’s wellbeing in rural Kenya

PB - Centre for Development Studies, University of Bath

ER -