By Azael Masese.
Kisumu Teachers (KITE) Sacco Society Limited reported an increase in its turnover to Sh 52 million for the financial year ended 31st December, 2016. This is compared to Sh 44.4 million posted the previous year.
“Although the Society experienced membership withdrawals through death and retirement, we were able to increase members’ deposits as we embark on an aggressive marketing campaign to recruit more members. This is in line with our 2017-22 strategic plan,” said Tom Onyona- Chairman KITE Sacco Board of Directors.
He made these remarks recently while addressing members during the Society’s Annual General Meeting (AGM), held at the National Museum, Kisumu.
KITE plans to increase its membership from the current 7,000 to 20,000 during the 2017-22 period and increase members’ deposits even further.
The AGM approved a resolution by the Board to increase its monthly contribution of an individual member from Sh1000 to Sh1500. “This is part of our objective of mobilizing savings to improve the Society’s capital base so as to offer timely loan services,” said Onyona.
During the financial year ended 31st December 2016, the amount of defaulted loans declined from Sh37.9 million in 2015 to Sh20.8 million. The Society’s Institutional Capital increased from Sh71.9 million in 2015 to about Sh86.4 million in 2016 while Core Capital, representing a 20 per cent growth.
Core capital also grew from Sh90 million in 2015 to Sh 105 million during the period under consideration.
Onyona disclosed that the Society has already forwarded a list of loan defaulters to the Credit Reference Bureau (CRB) as part of its goal of improving loan repayments by members.
KITE members will be paid dividend on share capital at the rate of 2.8 per cent, which is totaling Sh16.2 million compared to Sh15.5 million paid the previous year. The Society’s