This archive report was first published on 5 July 2021.
Published on July 5, 2021, the coronavirus pandemic has significantly impacted the economy, but surprisingly, the Savings and Credit Co-operative Societies (Saccos) sector has defied this trend. According to data from the Sacco Societies Authority (Sasra), Saccos have seen an increase in members' savings.
Kenya Union of Savings and Credit Cooperatives (Kuscco) Managing Director George Ototo attributes this resilience to the adoption of technology by Saccos. 'Saccos managed to survive because of the use of technology. As things became bad, they intensified the use of technology and were increasingly reaching out to members through mobile money platforms,' he said.
Mr. Ototo also noted that many Saccos were able to scale up the use of technology, enabling them to continue serving their members with minimal disruptions. This included convening annual general meetings and other stakeholder meetings remotely.
Over the period to December last year, Saccos regulated by Sasra reported a 12 per cent growth in deposits to Sh627 billion from Sh556 billion in 2019. The industry was partly helped by relief measures to cushion businesses and individuals last March.
