By Jackson Okoth.
African Banking Corporation (ABC) has forged partnerships that enables it provide a bonquet of commercial banking services to players in the Sacco industry. One of the most popular products is issuance of branded cheques to Sacco.
“We have a bouquet of products which are innovative in nature and through the said products we have partnered with various Saccos for mutual benefit. We work with the Saccos as partners to enable them extend certain commercial banking services to their members. This has helped ABC Bank make strides within the Co-operative movement,” said Peter Kinyanjui, General Manager Group Business Development.
In an interview with Sacco Review recently, Kinyanjui said the bank is motivated to extend commercial banking services to as many Kenyans as possible. The Bank has decided to achieve this through Saccos, which are still a major vehicle for deepening financial access in Kenya.
Since the regulatory policy prohibits Saccos from offering certain banking services and since most of them have opened up membership to the general public, it has become necessary to offer creative solutions to facilitate members to conveniently access financial services.
“We consider ourselves optimally positioned to add value to the Sacco sector because of our unique strengths,” said Kinyanjui.
Saccos issue co-branded cheques to their members as transaction instruments. Members use these cheques the same way they would a cheque from a commercial bank.
“From the member’s perspective, it is convenient and hassle-free and offers the same benefit they would enjoy from a bank,” said Kinyanjui.
Several Saccos have already signed up with ABC Bank Sacco products and the financial institution says it continues to receive and review proposals by many others.