Savings and Credit Cooperative Societies (Saccos) across the country have been challenged to embrace innovation and technology. The Cabinet Secretary for Cooperatives and Macro Small and Medium Development Simon Chelugui noted that doing so will help Saccos to increase their accessibility and visibility.
He was addressing the 9th Annual Sacco Leaders Convention Meeting in Mombasa which brought over 900 members of different leaders in the Sacco movement across the country, both the chief executives officers and chairmen of the Saccos.
The CS observed that Cooperatives must adopt and embrace Information and Communication Technology (ICT) in order to improve their working systems for proper management and service delivery. This will increase their visibility as well.
Ha praised Sacco leaders for their commitment to fostering development and inclusive economic growth and added that the sector is empowering people from the poorest segments of the population who possess the requisite skills but have no capital to participate in the economy.
On his part, acting managing director, Kenya Union of Savings and Credit Cooperatives (KUSCCO), Arnold Munene called upon the Saccos to adopt data–driven approach to achieve diversity equity and inclusion.
KUSSCO National Chairman David Langat asked leaders in the Sacco fraternity to remain united, and uphold the collaborative spirit for the mutual benefit of the sector. He challenged the members to pull together and support the Sacco’s umbrella body and its new leadership, and policymakers to stand strong with the cooperative movement that will continue cementing its place as one of the foundational pillars of this country economy.
Cooperatives play an important role in primary processing, transport, marketing, savings mobilization and financial inclusion, and also a shilling saved in a Sacco is safe as one saved in a bank, stated CS Chelugui and added, “Cooperatives have made great milestones since independence and I ask the women to seek leadership position within the Saccos and overcome fear and bias.”
He also encouraged Sacco members to actively contribute their share capital and monthly deposits to build a strong foundation for the cooperative societies enabling them well equipped to provide loans to members.
He said further: “Empower members through capacity building and sensitization programmes. Further, enable members to take loans for their personal development and repay promptly.”
He noted that the past year has been one of the strongest in the movement’s history, as member deposits topped over KSh1 trillion for the first time.
The key reforms in the Sacco sub sector include bringing all the cooperatives undertaking withdrawals deposit, under the Sacco Societies Regulatory Authority regulatory framework.
The Government has also instituted several legal amendments to streamline the cooperatives sector, including the Sacco Societies Act, which aims at increasing short term liquidity through inter-borrowing and access to central systems.
By Collins Akong’o.
