By Munene Maina
Dimkes Sacco posted a strong financial performance for the fiscal year ending 31st December 2018 registering an asset base growth rate of 5.4 per cent to reach Sh1.59 billion.
The Sacco, which had positive outcomes in all growth parameters, also recorded increase in members’ deposit to reach Sh1.35 billion in 2018 from Sh1.27 billion in 2017. This represented a growth of 6.3 per cent.
Loans and advances to members grew to Sh1.26 billion during the year up from Sh1.25 billion in 2017. Core capital stood at Sh227 million at the closure of 2018.
“Despite the hard economic environment and tight regulations, we are grateful to God that we managed to record impressive growth all round,” said the Saccos Board of Directors chairlady Caroline Gikonyo.
Dimkes Sacco membership rose by 13.7 per cent from 21,811 in 2017 to 24,810 last year.
Mrs Gikonyo said that the Sacco has embarked on an aggressive marketing campaign to recruit more members and reduce dormancy rate by 50 per cent by the end of the year.
During the year, the Sacco successfully continued to lend members without external borrowing.
“The Sacco recorded an impressive liquidity ratio of 18 per cent in 2018 compared to 13 per cent the previous year,” said the chairlady.
She urged members to increase their monthly savings to boost the Sacco financial strength.
Buoyed by the growth, the Sacco leadership is set to implement new strategies aimed at increasing its market share.
In the plan is to improve on customer service and experience and rolling out mobile loans to enable members have instant access to short term loan facilities whenever and wherever they are.
The Sacco management has also budgeted to invest on a strong ICT infrastructure, to better speed on systems and secure the Sacco from cyber-crime and electronic fraud.
“To ensure safeguard members deposits and ensure continuity of business operations, the management will continue to comply with Proceeds of crime and anti-money laundering Act in line with prudential guidelines,” said the chairlady.
Mrs Gikonyo said the Sacco has also lined up education and training forums for members and staff in the course of the year.
With introduction of IFRS accounting standards that requires Saccos to make huge provisions for bad loans, Dimkes Sacco has improved on loan appraisal process and tightened loan policy. The Sacco has also registered with Credit Reference Bureaus, to reduce on credit risk.
Members were urged to pay their loan on the stipulated time.
The Sacco 69 members of staff have endeavoured to ensure the Deposit Taking Society, which is fully licensed and regulated by Sacco Societies Regulatory Authority (SASRA), lives up to its core values of Customer Focus, Professionalism, Integrity, Teamwork, and Commitment.
Anchored on sound Christian values, Dimkes Sacco aims at becoming a world class Sacco in the financial industry.
By embracing technology has greatly decongested its banking halls as members are able to make transactions using mobile banking platform-POPOTE NA DIMKES CLOUD PESA.
“We also offer personalised cheque books to our members,” said Mrs Gikonyo, who was speaking during 2019 Annual General Meeting held at Bishop Kariuki Centre.
Last year the Sacco was recognised during Ushirika day celebrations, where it won trophy for the best Sacco in branch network –large category in Kiambu County and third position award for being best in technology Optimization, under community based Sacco’s nationally.