- The absence of young people in SACCOs means many are missing out on the chance to learn financial discipline, savings culture and investment principles that have sustained the sector for decades.
- The widening age gap in leadership and participation raises uncertainty over succession.
Kenya’s cooperative movement is staring at a leadership vacuum in the next two decades unless more young people start joining Saccos, cooperative leaders have warned.
Cooperative Alliance of Kenya (CAK) Chief Executive Officer Daniel Marube said the country’s cooperative societies remain dominated by an ageing membership, even as Kenya boasts one of the youngest populations on the continent.
“When you look at our demographic statistics, our average age is about 18 or 19 years, meaning more than 80 per cent of our population is youthful. Yet the average age of cooperative leaders is around 55 years,” said Marube.
Data from the State Department for Cooperatives shows that Kenya has more than 15 million cooperative members spread across over 30,000 registered cooperative societies.
According to Marube, young people occupy a mere five per cent of leadership positions in agricultural cooperatives and large Saccos, a gap he fears could destabilise the sector once the older generation of savers begins to exit.
“The older generation are the biggest savers. If they withdrew all their savings today, many Saccos would experience a serious financial crisis. Young people are borrowing more than they are saving, and that culture must change,” he said.
Marube attributed the trend to a generational shift in financial habits, noting that many young Kenyans now prefer the convenience of digital loans over the discipline of long-term saving offered by Saccos.
“Many young people want instant solutions. They can access money through a mobile app within minutes, so they see Saccos as slow or designed for older people. But saving consistently is what builds lasting wealth,” he explained.
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He warned that the widening age gap in leadership and participation raises uncertainty over succession, as older members who have spent decades accumulating wealth through savings, investments and cooperative enterprises approach the point of passing that wealth on to their children.
“Our concern is who will take over these vibrant cooperatives in the next 15 or 20 years. Parents will eventually pass on the wealth they have built to their children, but are the youth prepared to preserve it and make it grow?” Marube asked.
Marube said the absence of young people in Saccos also means many are missing out on the chance to learn financial discipline, savings culture and investment principles that have sustained the cooperative movement for decades.
He called on young Kenyans to reconsider their relationship with Saccos, describing membership as a foundation for building sustainable wealth rather than a slow alternative to instant credit.
“Join a Sacco today, develop a culture of saving, build your own investments and prepare yourselves to become the next generation of cooperative leaders,” he said.
By Masaki Enock
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