32 minute read
Saccos increase cybersecurity budget
report: Saccos' cybersecurity budget up 20%
the percentage of Savings and Credit Co-operative Societies (Saccos) that have a cybersecurity strategy improved from 38% in 2019 to 55% in 2020. the cybersecurity budget within the Sacco sub-sector in the last three years increased by 20 percent, according to the recent Sacco Cybersecurity report 2020/2021, released by Serianu Ltd. Saccos are increasingly investing more resources in technology and security, but some are still unprepared for data protection law. the report notes that Saccos need to build foundations that will enable them to innovate operations and governance to establish a resilient digital transformation. At the same time, Serianu noted that Saccos are increasingly being targeted by attackers, especially on Sacco's mobile transaction infrastructure.
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the volume of cyberattacks is increasing all over the world. With reliance on the use of technology growing, volume of attacks is rising, and cyber-attacks are becoming more sophisticated, and people are often the ones opening the door.
Cybercriminals have become experts at social engineering skills, tricking employees into clicking on malicious links that initiate attacks. While security and risk management leaders know that social engineering is a top risk, many still struggle to stop employees from taking the bait. remote work has only increased the risks — with employees facing confusing security policies while using more home networks and personal devices. no security control is perfect — but effective controls help manage risk. According to William Candrick, Director Analyst, gartner Security & risk Management, there are several ways of strengthening your institution’s cyber security. these include but are not limited to:
Helping employees stop ransomware
the initial entry point for a ransomware attack (ingress) often takes the form of a compromised website delivered through a phishing or targeted attack. remote desktop protocol, bring-your-own-PC, and virtual private network vulnerabilities and misconfiguration are becoming the most common entry points for ransomware attackers. this has been exacerbated by the growth in remote work resulting from the pandemic.
Develop a list of signature behaviors
Desired practices Signature behaviors
employees use strong passwords >>>> We use passphrases to construct our passwords employees resist social engineering >>>> We report suspicious emails to security Employees protect sensitive information >>>> We use secure, approved file transfer solutions
Connect awareness to business benefits which may include:
- Awareness training Activity - Knowledge gained >> end users are better able to identify suspicious emails they receive - Behavior Changes >> end users begin to report suspicious emails to the It service desk rather than act on, ignore or delete the email
Kenya’s first Sacco Fintech Leading fintech firms offering the best Sacco financial technology will be feted and recognized in Awards launched the inaugural KenyA SACCo FInteCH AWArDS slated for December this year. the colourful and prestigious fete will be the first Co-operatives industry-Sacco sector-driven awards running every 4th quarter of the year with nominations running between 1st -15th october featuring home-grown fintech firms. the goal is to promote technically sound, innovative, and tech-adaptive SACCos in Kenya. It is spearheaded by Kathurima Associates (www.kathurimaassociates. com) that plays an essential role in enlightening the ICt teams regionally through regional FInteCH forums: where FInteCH/VenDorS sponsor demo-based forums and train ICt team from various SACCos on emerging trends in financial technology on several technical training areas such as ICt Project Management, Data Analytics, Cyber Security, etc. the goal is to equip the ICt team with necessary ICt knowledge and skills that are up-to-date. Most stakeholders like SACCo consultants and SACCos have embraced the idea to award various FInteCHs annually.
The awards will be categorized in:
1. BeSt FInteCH Ceo. 2. BeSt FInteCH CoMPAny In
CBS, MoBILe & AgenCy BAnKIng
PLAtForMS. 3. BeSt FInteCH StArt-UP
CoMPAny In CBS, MoBILe &
AgenCy BAnKIng PLAtForMS. 4. BeSt In DAtA HAnDLIng &
AnALytICS. 5. BeSt In CyBer SeCUrIty. 6. BeSt In CArD: eMergIng teCHnoLogIeS
A nomination survey has been conducted where respondents were guided by the following parameters: i. Customer support. ii. Systems security measures. iii. System uptime. iv. Data management. v. CrM features. vi. Interoperability. vii. Innovation, emerging technologies. A final vote pitting the top 3 nominees in every category will run to award the top candidate (the Best in respective categories) the following are nomination results in no particular ranking:
1. BEST FINTECH CEO-2021.
a. Moses Magero b. tobias otieno c. geoffrey (Jeff) Inyundere
2. BEST FINTECH COMPANY IN CBS, MOBILE & AGENCY BANKING PLATFORMS. CBS
a. Centrino technologies Ltd. b. Coretec Africa c. Lanstar technologies Ltd. d. Sure-Step e. neptune Software group
MOBILE
a. tangazo letu b. Centrino technologies Ltd. c. Coretec Africa d. Skyworld
AGENCY
a. Lanstar technologies. b. eclectics International. c. Jumbo star technologies. d. Centrino technologies Ltd.
3. BEST OVERALL FINTECH START-UP COMPANY.
a. KWArA. b. PreStA Kenya. c. CalWIDe Solutions.
4. BEST IN DATA HANDLING & ANALYTICS.
a. eVAIL. b. Coretec Africa c. east African Data Handlers
5. BEST IN CYBER SECURITY.
a. SALAAM. b. Comztech Ltd c. Serianu
6. BEST IN CARD: EMERGING TECHNOLOGIES
a. Interswitch Kenya. b. Coretec Africa. nB: i. Voting period: 1St -30 nov 2021. ii. Voting Link will be provided in due course iii. Awards to be closed by 15th December 2021
Find out more: www.co-opnews.co.ke
ICT enabling financial inclusion for Saccos
KAFOSA participants after the end of the 3 day workshop.
By Wesley Ken
Savings and Credit Co-operative Societies (Saccos) are using information and communication technology to advance financial inclusion.
According to Kenya Association of Front Office Activity (KAFOSA) Chairman Isedorius ochola, more Saccos use technology to enhance efficiency and meet business targets. Speaking during a workshop held at turtle Bay Hotel in Malindi, Mr ochola noted technology has played a pivotal role in improving efficiency and increasing Saccos’ profitability.
“ICT offers a number of benefits such as cost reduction, cheaper distribution channels and reduction in supply time, innovation and good customer services,” he said.
However, uptake of technology, especially total digitization of Sacco systems, remains a challenge in the sector. Many Saccos are still relying on manual systems mainly because of awareness, technical and human resource challenges. During the workshop organized by KAFoSA under the theme “ICt In Advancing Financial Inclusions For Saccos,” delegates drawn from various Saccos had training from leading tech firms to help them maneuver through
Isedorious Achola, KAFOSA Chairman.
challenges associated with digitization. the training also focused on creating synergies with the Sacco regulator - SASrA following the new regulations for non-deposit-taking Saccos. In an interview with Co-op news, Mr Ochola urged fintech firms to develop technology solutions that are fully automated to minimize human interventions. He noted financial solutions offered in some Saccos were a replica from others.
“Technology will improve financial management and governance in Saccos. However, it is changing so fast requiring financial institutions to constantly upgrade for safety and efficiency.”
How to Handle Toxic People with Confidence
Whether or not you’d classify them as toxic people, we all have difficult relationships in our lives. Whether it’s the overbearing mother-in-law, the demeaning manager, or the abusive spouse, problematic relationships are a fact of life for everybody.
And while the best way to handle truly toxic people or abusive relationships is often to cut them out, many of us don’t have that luxury, which means we must learn how to handle those relationships better— in a respectful way of both the other person and ourselves.
Dealing with toxic relationships can feel hopeless at times. But there are ways to handle them better, even if simply cutting those people out of your life isn’t an option.
Learn to distinguish true guilt from fake guilt. If you want to resist emotional manipulation, validate your sadness and express your pity for others—just don’t call it guilt.
Hope for the best but expect the worst. Unrealistic expectations give the illusion of control and temporary emotional relief that go with it. But ultimately, they just make us even more miserable.
Know the difference between assertiveness and aggressiveness. To manage toxic people effectively, you must be able to set boundaries. And the only way to set effective boundaries is to know how to be assertive without being aggressive. (Nick Wignall)
Why it is important to invest in business growth
growth is a critical factor for the survival of any business in the long term. one needs to spend money to make more money, and when we invest in the business, the rewards are reaped tenfold, thus making it easier to acquire assets and attract new aptitudes.
When one invests in the business, it helps you to take charge of your financial security and freedom, allowing your wealth to grow and fund more investments for future benefits.
Business growth is intended to make it bigger through increasing sales, a benefit that motivates business. Investing funds in any asset involves a trade-off as the investor foregoes the utility of using the funds for their investment in the present for some higher utility in the future.
Investing in business growth creates:
1. Brand awareness:
when a business grows, the brand is recognized, and one is recognized as the author of the brand. this attracts more customers, thus helping the business expand its sales and creating new opportunities to employ more staff. growth also helps in response to market demand and capitalizes on the growing brand. this enhances business credibility by strategically broadening the supply base to increase both suitability and profits.
2. Increase stability: Business
growth is intended to promote the business income and stability, enabling supply and sales of more products and services to the market. this forms the baseline for business sustainability over time.
3. Increase Profits when the
business becomes larger allow one to take advantage of economies of scale because larger businesses can often get bulk discounts and better supplier credit terms. this means the margins will go up owing to lower costs and increased profits.
4. Respond to market demand:
this is achieved after analyzing the market, which will help to know if the product and services suit the current market's needs. thus, once the market is large and concentrated enough to want the product at a price quoted, it will sustain growth objectives. Many growing businesses see their profit increase alongside their operations.
5. New Markets, Competition, and Innovation:
expanding into new markets can help businesses establish a presence in locations with a particular need for the product or service. this can help to lower the impacts of overcrowding and competition struggles in the existing market. It will enable a stronger brand identity, further helping to stave off competition. growth can also take the form of innovation. Investing in the redevelopment of the business will differentiate you from your competitors and increase your chances of continued success.
6. People:
Having the right people to help run the business is paramount, and it is also critical to provide for them. When this is professionally met, the experience is fulfilling. Since this will be when delegating operational decisions and management and operational decisions to others will happen, the business will be independent and allow the founder to pursue personal matters. As America, renown singer/songwriter Dolly Parton once said, "you're only as big as your biggest dream."
Lastly, for business growth, expenditure should be kept low, and conservation of resources needs to be done at all times.
How entrepreneurs can boost business with social media marketing
For businesses of all sizes, social media marketing is a great method to reach out to prospects, customers, and other potential consumers. your clients are already connecting with companies on social media. you're missing out if you're not speaking directly to them on sites like Facebook, twitter, Instagram, Linked In, youtube, WhatsApp, tiktok, and Pinterest. to achieve marketing and branding goals, posting text and image updates, videos, and other content that increases audience interactions and paid social media advertising. For a business to succeed on social media, one should consider your company's objectives before you start establishing social media marketing strategies. Some of the questions you should ask are: • What do you want to accomplish with social media marketing? • Who is your target audience? • What social media sites would your target audience frequent, and how would they use them? • What message do you want to
send to your audience with social media marketing? • How can I keep track of my progress? • Why do I want to use social media as a marketing strategy? • When will social media map to my overall marketing objectives?
When the above questions are answered, one is sure when they start to boost their business, they will increase the number of visitors to your website, build conversations, increase brand recognition, create positive brand image and identity and improve communication and interaction with key audiences. Here are the tips to boost your business using social media;
1. ADD YOUR BRANDED HASHTAGS
Increase traction to your pages by using hashtags that are regular branded or contest-specific hashtags. That way, followers or audiences are taken to your account and other pages to learn more about them.
2. CROSS-PROMOTE ON OTHER CHANNELS USING 'FOLLOW US ON SOCIAL MEDIA
reminding your followers that you have other social media accounts is one of the easiest ways to cross-promote across channels. this can be as simple as posting a link to a certain social media page with a call-to-action encouraging people to follow the account.
3. CREATING TARGETED ADs
Ads on Facebook can be targeted in a variety of ways. you can begin by including the Facebook Pixel on your website. After that, you may automate the targeting of adverts to website users.
4. GIVEAWAYS AND CONTESTS
For brand visibility, these are a no-brainer. the easiest giveaways are those in which fans need to do very little to participate. these have the highest levels of engagement. this is the path we recommend if you're just getting started with contests. try a user-generated contest with a dedicated hashtag for the event if you want to step it up a notch. And if you want to track responses to entry, you can use hashtags tracking tools. "Social media is not a media. the key is to listen, engage, and build relationships" - David Alston. It's never too late to develop your social media plan. Social media has never been more important, whether it's beginning from scratch or pushing employees to develop their identities.
Unison Sacco opens 11th branch in Nakuru
Mr Raymond Komen with Mr James Muhandi Unison Sacco Chairman cutting the cake to celebrate the milestone
By Boley Clodida
Unison Sacco is now in nakuru City. the deposit-taking Sacco recently opened its eleventh branch in the city that is one of the fastest growing in the country.
With an asset base of about Ksh 4 billion and a loan book worth over Ksh3.8 billion, Unison Sacco is expected to change dynamics of Nakuru's financial sector. "After a thorough feasibility study, we believe our affordable and convenient financial services will transform Nakuru residents' livelihoods," said the Sacco chairman, Mr James Muhandi.
Unison Sacco recently upgraded its mobile banking platform and is set to launch its Sacco banking App that will accelerate its financial deepening goal. "our slogan is always there for you, which signifies our commitment to uplift our members and customers social and economic status anytime and anywhere. our wide range of credit products are tailor-made to meet needs of all people despite their occupation," said Mr Muhandi. nakuru County Minister raymond Komen, in charge of trade, Industry, Marketing, tourism, and Co-operatives noted Unison Sacco would play a significant role in improving financial inclusion in the area. "I am glad to note the Sacco has invested heavily in digital banking and offering various financial solutions that will suit diverse needs of nakuru residents," he said. rift Valley regional teachers Service Commission Director Adow Mohamed observed that most people depend on Saccos to achieve their financial stability and independence.
The official launch of the Nakuru branch comes months after the Sacco opened the Isiolo Branch in bid to take services closer to people and deepen financial inclusion, especially to unbanked communities. the Dt- Sacco has established itself as a leading financial services provider in the country, offering products and services that facilitate members' growth and development over the last 43 years. the nakuru branch is located at Prestige Mall, while the Isiolo branch is situated at Waso executive Building opposite Agnex Supermarket.
With its headquarters in nanyuki town, Unison Sacco has extended wings to five counties, including Laikipia, nakuru, Samburu, Isiolo, and Meru.
APS Baraka Sacco set to rebrand
APS Baraka Sacco will change its name to Baraka yetu non-WDtSacco in a rebranding strategy to better service delivery to its growing membership.
Delegates approved rebranding during their annual meeting with the Sacco management, keen to give it a national identity and enhance brand appeal to a more extensive clientele. the public has been associating the Society with Administration Police Service.
In its growth strategy, the Sacco that was recently awarded an authorization certificate to conduct specified nondeposit taking Sacco business in Kenya under the Sacco Societies Act no.14 of 2008 by Sacco Societies regulatory Authority (SASrA), intends to grow membership, deposits, and asset base. the Sacco was established in 2003 with its head offices located at Nacico Plaza in nairobi with other three branches in ruai, Kisii, and Kitengela. Its asset base is valued at over Ksh 243.4 million and a loan portfolio of Ksh 215.9 million as of 31st December 2020.
For the past three decades, yetu Sacco has served its members with commitment, sticking to its founders’ vision of enabling saving culture, providing members with an opportunity to access affordable loans to develop and improve their economic and social status.
As the Deposit-taking Sacco marked its 30th-anniversary celebrating milestones of an illustrious journey, it was showered with praises for transforming livelihoods and reliable financial support to members’ development aspirations. one member narrated how he has managed to expand his business, opening several outlets; another posted images of a thriving dairy farming enterprise, and the list was long, as members celebrated the Sacco for providing them with financial support to achieve their dream projects.
Meru governor H.e. Kiraitu Murungi, the chief guest, lauded yetu Sacco for its significant contribution to the county’s development agenda. “I am happy that yetu Sacco has indeed transformed socio-economic status of many residents in line with the county’s focus of making Meru great again,” he said. He noted that poverty levels continued to reduce thanks to financial solutions from co-operatives such as yetu Sacco.
Mr Peter Njuguna, the Sacco Societies regulatory Authority (SASrA) Chief Executive Officer, commended Yetu Sacco for outstanding achievement in uplifting livelihoods and compliance with all government regulations and laws.
30 years of Yetu Sacco's tremendous success
“the founders had a vision and laid out strategy and plan to ensure that yetu Sacco continued thrive. Many businesses in Kenya close before their 10th birthday, we are proud of great work done by yetu Sacco,” said Mr Njuguna.
He noted that many societies are registered and collapse for not upholding the true spirit of co-operatives values and selfless service. “Yetu Sacco is an exemplary example of what it means to have a vision and ensure it succeeds,” said Mr Njuguna.
Mr Mark gitonga, the yetu Sacco Board of Directors chairman, said their success had been powered by its over 56,000 members who have been part of their journey since 1991 September 23, when the Society was registered. ranked position 42 among 175 SASrA licensed Dt-Saccos in the latest Sacco Annual Supervision report, yetu Sacco also features among the top ten mediumtiered Saccos that are growing at a high rate, having posted 13.17% growth on total assets from Ksh3.70 billion in 2019 to Ksh 4.19 billion in 2020.
“the dream started with a seed capital of Ksh 200,000 but through innovative savings mobilization culture and opening of the bond growth has been accelerated with members deposits Ksh 2.7 billion. today, we celebrate a Sacco with a loan book and other assets that have grown to Ksh 4.3 billion, making us the fastest growing Sacco in the country qualified under tier-2 category,” said Mr gitonga. the Sacco has aligned its business model to the dynamic changes in the operating environment and evolving needs and demands from members, with its new five years Strategic Plan ( 20212025) unveiled early this year focusing on Membership growth and retention, business growth, and operational excellence, Corporate governance and compliance and Innovation and ICt.
Mr Dennis Mwiti, the Sacco Ceo, stated that the Sacco had remained a dynamic institution in a fast-changing country and stiff competition in the finance sector.
In 1996 the Sacco opened FoSA activities, adopted technology in 2004, and opened the Common Bond and rebranding in 2010. “Successive investment in technology, introduction of diverse product and services, capital increases, member education, increased member deposits as well as loyal patronage of the Sacco product and services by members, Good corporate governance and efficient Management have built the capacity of the Institution,” said Mr Mwiti
digital lenders cornered
State moves to protect borrowers' personal data and end debt shaming
By Correspondent
the banking regulator will have powers to revoke the permits of digital lenders who breach the confidentiality of personal information to pursue defaulting borrowers. the national Assembly Committee on Finance and national Planning added a clause to the Central Bank Amendment Bill 2021 that puts on notice rogue digital lenders who share personal data of loan defaulters.
Such lenders will be stripped of their operating licenses if Parliament passes proposed changes to the law to curb the abuse of confidential records.
Some lenders have used debt shaming tactics to compel defaulters to pay their loans by informing friends, family members, or employers. the proposed law aims to stop this trend. "the bank may suspend or revoke a licence by written notice to the holder of the licence, if the licensee (digital lender) is in breach of subsection (2A) or the conditions of the Data Protection Act or the Consumer Protection Act," reads the Bill. the Data Protection Act bars sharing of data with third parties without consent and gives individuals the right to be told when their data is being shared and for what purposes.
Digital lenders require borrowers to share personal information, including their professions and monthly earnings, during their registration on their platform. Some even share their borrowers' personal information with data analyzing firms for marketing. the abuse of the personal data of borrowers has been flagged before by the Central Bank of Kenya (CBK), which urged lawmakers to fast-track legislation to provide for the regulation of digital lenders. the Data Protection Act further compels firms to disclose to individuals and customers the reasons for collecting their data and ensure that the confidential information is safe from infringement by unauthorized parties.
CBK will also have powers to revoke or suspend licenses of digital lenders who do not disclose full information on loan facilities to borrowers, in line with the Consumer Protection Act.
Digital lenders have also been accused of not revealing full information on pricing, punishment for defaults, and recovery of unpaid loans. the Consumer Protection Act requires sellers to disclose to consumers all relevant information tied to the purchase of a good or service. the Bill also requires digital lenders seeking licenses to get clearance from the Data Commissioner as the State moves to protect abuse of borrowers' information. the enactment into law will see digital lenders operate under the same rules as commercial banks, including seeking the CBK's nod for new products and pricing that includes loan charges.
CBK will have powers to supervise digital lenders for the first time and help reduce the growing debt trap affecting many Kenyans.
Digital lenders will put a ceiling on non-performing loans at less than twice the defaulted amount if the Bill becomes law.
Scores of unregulated microlenders have invested in Kenya's credit market in response to the growth in demand for quick loans, where borrowers can get loans in minutes via their mobile phones.
Digital lenders without operating licenses will be barred from business in a bid to push out rogue players amid concerns of unethical practices.
Lobbies that had petitioned Parliament during the review of the Bill also said that loan applications are private affairs that should be treated as confidential information.
Digital lenders have saddled borrowers with high-interest rates, which rise to 520 percent when annualized, leading to mounting defaults and an ever-ballooning number of defaulters.
Cooperation among co-operatives
By Correspondent
As the government moves to establish a shared platform for the co-operative movement, Sacco's cooperation has continued to grow, new data shows.
Sacco Societies regulatory Authority (SASRA) data shows that the financial investments component of the total assets increased from Ksh 36.97 Billion in 2019 to Ksh 56.86 Billion in 2020. the balances held with other Sacco Societies increased from Ksh 16.84 Billion in 2019 to Ksh 27.16 Billion in 2020. they constituted the highest proportion of the total financial investments by Dt-Saccos, accounting for 47.76% of the entire financial investments in 2020.
The financial investments were made up of investments in government securities, balances with other Sacco Societies, investments in companies, as well as other securities.
SASrA notes that the increase in the balances held with other Sacco Societies underscores the symbiotic relationship which Dt-Saccos have or maintain with other Sacco Societies premised on the Co-operative Principle of cooperation among co-operatives. the investments in government securities also increased from Ksh 0.59 Billion recorded in 2019 to Ksh 1.92 Billion in 2020. "the increase is commendable since government securities are general risk-free and also accounts towards the attainment of the liquidity ratio which Dt-Saccos must maintain at all times," says SASrA. the investments in properties made up of land or buildings held by DtSaccos for rentals or capital appreciation increased to Ksh9.89 Billion in 2020 compared to Ksh9.47 Billion recorded in 2019.
However, the most significant proportion of the investments in Property and equipment (PPe) remains in property and equipment, which accounted for 47.74% of the total investments in PPe. the investments classified as "other assets," which are usually susceptible to frauds, however, reduced to 18.89% in 2020 as a proportion to the total PPes, compared to 33.57% recorded in 2019. "this is commendable as it is evidence that more and more DtSaccos as taking proactive measures to reconcile these "other assets" and reduce the potential of fraudulent activities using these assets, as well as present their true, fair and accurate financial position."
Mrs Ndegwa elected KETSa CEOs Forum chair
Mentor Sacco Chief Executive Officer Mrs Joyce Waceke Ndegwa is the new chairperson of the Kenya Teachers Sacco Association (KETSA) CEOs Forum. She takes over from Mr Gabriel Njihia, the outgoing Tower Sacco CEO, who served for five years.
The rise of Governmentbased Saccos
government Based Dt-Saccos control the largest portion of the total assets within the Deposit-taking (Dt) Sacco system, amounting to Ksh233.38 Billion in 2020, which accounted for 37.18% of the total assets’ portfolio, which is a substantial increase when compared to Ksh 209.07 Billion recorded in 2019. this is according to the Sacco Societies regulatory Authority (SASrA) data. the number of government Based Dt-Saccos also increased from 36-Dt-Saccos in 2019 to 37-Dt-Saccos in 2020 with the licensing of M/S Ushuru Sacco Society Ltd in 202o, and the increase partly contributed to the increase in their total assets. the Dt-Saccos control the largest portion of the total deposits amounting to Ksh 161.49 Billion in 2020 compared to Ksh144.83 Billion recorded in 2019. the 43-teachers’ based DtSaccos retained their place as the cluster with the second largest market share of both total assets and total deposits in 2020, which respectively amounted to Ksh227.77 Billion and Ksh153.99 Billion; compared to an amount of total assets and total deposits of Kshs 204.25 Billion and Kshs 136.27 Billion respectively which was recorded in 2019. eighty Dt-Saccos comprised of the 37-government based and the 43-teachers’ based Dt-Saccos control a whopping 73.47% of the total assets’ market share and 73.12% of the total deposits’ market share within the Dt-Sacco system. this leaves a paltry total assets’ market share of 26.53% and total deposits’ market share of 26.88% to be shared among the remaining 95-Dt-Saccos spread across the Farmers’ based, Private Sectorbased, and Community based clusters of Dt-Saccos.
Community-Based Dt-Saccos have the most negligible market share in total assets and deposits within the Dt-Sacco system.
Sigei: Imarisha Sacco has enabled me expand business
Imarisha Kebo Plaza in Kericho town
For Leonard Sigei, a trader in Litein town, being the largest store owner was a wild dream. Lack of funds was his greatest hurdle despite his new business flourishing in a competitive environment.
His hard work and customer-centered business model had earned him customer loyalty pushing the demand for more goods up the roof.
He needed to expand his business, which required more funds that he did not have. Getting a financial partner to support his business growth was not easy, but he finally decided to try Imarisha Sacco Society Limited.
His family members and friends had recommended him to try the Sacco. Mr Sigei (right) was enthusiastic about it and made a decision that later changed his life for the better; he knew that this was an opportunity that would make him shine in the Agro-business sector.
A visit to Imarisha Sacco convinced him that this was where he needed to be. He opened a savings account with the Sacco and started regularly depositing business profits.
Months later, Mr Sigei borrowed a loan, a decision he made wisely to fulfill his desired dream of expanding his business. He had saved enough for him to get a loan offered at an interest rate of 1% on reducing balance. the loan was immediately approved and disbursed, and in no time, Wakulima Stores had a new look and outfit. the development was a big stride for Mr Sigei, a father of three and a teacher. He was able to satisfy customer demand and has since never regretted it. He lauds the efforts made by Imarisha Sacco in making him achieve his financial dreams.
Mr Sigei has since been on top of his finances every year and pays his staff members through Imarisha Sacco.
“I have built a better house, paid school fees for my kids, bought land, thanks to Imarisha Sacco. I now want to ventures into livestock farming,” says Mr Sigei.
His business offers farmers quality farm inputs such as fertilizers, chemicals, farm tools, and other materials.
Imarisha Sacco recently opened its 10th branch in narok County to expand its business operations in the country. the Sacco is ranked eighth by the Sacco Societies regulatory Authority (SASrA) with an asset base worth Ksh 16.1 Billion.
Imarisha Sacco Chairman Mathew ruto says their growth is based on a commitment to serve members better at all times. “We have increased our loans from three times to five times of the individual shares. this was a response to a request made by the members,” he says. the Society is set to open four other branches in nairobi, nakuru, Kilgoris, and Kisumu. “We are moving to regions where we have a lot of customers but no office. We are looking forward in opening the four branches to improve our services to our members.”
Amica asset base hits Ksh5.3 billion, joins tier-one category
By Staff Reporter
Amica's asset base grew by 17.7%, hitting Ksh 5.3 billion in eight months of the financial year 2021, elevating the Sacco to the largetier category made up of deposit-taking Saccos with total assets above the Ksh5 billion mark. the total deposits also increased by 14.2%, reaching Ksh 4 billion from Ksh3.5 billion in 2020. Amica loan book jumped by 18.4% to Ksh4.5 billion as of the end of September 2021 as share capital registered a 16.6% growth from Ksh 534 million to Ksh 623 million. the impressive growth was supported by the improvement of Amica's digital banking channels, with the Sacco mobilizing Ksh1.5 billion and Ksh1.3 billion through merchant settlement and pay bill solutions, respectively, within eight months of the year. "We currently have 351 agents spread across Murang'a, Kiambu, and nairobi counties who have transacted 108,972 deposit transaction worth Ksh 586M and 92,205 withdrawals worth Ksh 542M. Amica Visa Card has recorded more than 7,200 transactions this year worth Ksh 58M, while our cheque book solution has transacted 215 cheque books and cleared 10,931 cheques worth Ksh 2.3 billion," said Hezron Muchiri, the Sacco
Amica Chairman Hezron Maina (L) is awarded for the highest business transactions (2nd Position). Looking on is James Mbui (R) the Sacco CEO.
Chairman. He was speaking during Special general Meeting.
With a growth of 25.5% in total revenues to Ksh 689 million by the end of the third quarter, the Sacco projects to generate a revenue of Ksh1.2 billion in the year 2022, which is a 24% growth from the current year's projection of Ksh.1 billion. the Sacco is planning to establish a new branch at gatura, relocate Kenol Branch to the new site and refurbish the new Head Office.
Muchiri said the Sacco growth is premised on four main strategic drivers: Deposit mobilization, Loan book management, Digital banking, and Strategic Partnerships. "We will continue to implement innovative solutions that satisfy customer needs and offer convenience in transactions. For example, our members can now transfer money from any bank into their Amica account through real-time Funds transfer (rtFt). Likewise, our Pesa link solution allows clients to transfer money from Amica Sacco to other bank accounts." to improve Amica brand's image, refurbishment and face-lifting of Kangari, Kirwara, and Kiriaini branches are ongoing. the Sacco is constructing Amica Business Center at Kenol town, which will host the Head Office.
How Harambee Sacco will raise KSh1billion
Harambee Sacco has resumed its turnaround strategy by putting up for sale several maisonettes in nyali Mombasa County and several acres of land in Kisumu and Siaya counties to boost its cash reserves. the Society deferred this exercise in 2020 after the real estate, and property market went into a depression due to the negative impact of the CoVID-19 pandemic and a slowing economy.
With a huge portfolio of land and real estate, Harambee Sacco, estimated at over KSh 1.7 Billion, expects to raise some KSh 1 Billion through the sale of 16 maisonettes in nyali estate in Mombasa and disposal of 11 acres in Kisumu and 10 acres in Siaya.
During its 49th Annual Delegates Meeting (ADM), shareholders approved a proposal by the Society to invest KSh 50 Million in Harambee Investment Co-operative Society Limited. this will enable the Society to be the biggest shareholder in the investment society and earn dividends. the Sacco will also be able to control the operations of the investment wing for the benefit of members.
Harambee Sacco has membership from national and County governments, government Parastatals, Constitutional bodies, government Departments, Kenya Defence Forces, national Police Services, national youth Service, and private sector members.
According to the SASrA Annual Supervision report 2020, Harambee is the 4th largest Dt- Sacco with total assets worth KSh 32.56 Billion, Members' Deposits of KSh 21.53 Billion, gross Loans of KSh 22.24 Billion, and had total Income of KSh 3.22 Billion in 2020. the Society's Ceo, Dr george onchiri, has been instrumental in driving success at Harambee Sacco.
According to Harambee Sacco Chairman Macloud Malonza, its innovative products will significantly boost convenience to members.
Malonza has asked SACCo members to apply for the card to minimize branch visits and deepen cashless transactions, especially in the wake of the CoVID-19 pandemic.
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Why joining Sacco is a good investment decision
Savings and Credit Co-operative Societies (Saccos) are powerful savings vehicles. If you are looking for your financial independence, I strongly recommend joining a Sacco today.
Forget all the hearsays you have heard; Saccos are really transforming lives. I have banked with a Sacco for over ten years, and I wish I had joined earlier.
Saccos have open membership, and no one can claim to be left out by virtue of not being employed. By being a member of a Sacco, you own it and participate in deciding its future. You are not just a customer.
I can testify that Saccos are the foremost and reliable partner in growing a business as a beneficiary. In addition to saving for a rainy day, they offer the most convenient and cheap loan to grow your business. As long as you are an active member with the required savings and guarantors or security, you are assured of a fast loan compared to other lenders. this makes Sacco the best place to be if you are own or are preparing to start a business in the future.
It does not matter what you earn every month. Most of us who thought we could not save, invest or help others because our earnings were insufficient have learned that it is not a matter of how much we earn. It is a matter of what we value and prioritize in life. Whether you are an individual in employment, self-employment, or owning a business, your prosperity and stability depend solely on your ability to save.
Money will never be enough to make saving effortless. Whether you are earning little, servicing the loan, growing a business on a shoestring budget, or undertaking whatever project, saving is possible but requires sacrifice. You don’t have to wait for a disaster to teach you that you can still live with less than what you thought was too little.
- Stanely Kionyo - Nyandarua
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