Kenya’s Savings and Credit Cooperative Organizations (SACCOs) have solidified their position as Africa’s leading cooperative finance system and a rising global contender, according to the SACCO Supervision Annual Report 2024 released yesterday by the SACCO Societies Regulatory Authority (SASRA).
The report, which tracks performance across regulated SACCOs, shows continued growth in membership, loan disbursements, and institutional reach, underscoring SACCOs’ critical role in powering Kenya’s socio-economic development.
According to the World Statistical Report on Credit Unions by the World Council of Credit Unions (WOCCU), Kenya ranks 14th globally in total SACCO assets for the year ending 2023, making it the highest-ranked African country in the cooperative finance landscape. The country posted assets worth USD 6.2 billion across 357 institutions, serving over 6.8 million members.
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Kenya’s penetration rate stood at 13.5%, with a membership growth rate of 7.7%, placing it ahead of several developed economies in terms of cooperative reach and expansion.
SASRA’s data further reveals that SACCO membership rose from 6.84 million in 2023 to 7.39 million in 2024, reflecting a year-on-year growth of 7.94%. Loan disbursements hit Ksh 542 billion, with Land and Housing being the highest beneficiaries of SACCO by receiving loans worth Ksh 137B.
The report also highlights SACCOs’ potential to handle international remittances, based on a joint study by SASRA and FSD Kenya. Despite regulatory and operational hurdles, SACCOs are seen as viable channels for diaspora funds, offering community-based alternatives to traditional banking systems.
By Masaki Enock
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