Mombasa: Members of Savings and Credit Cooperative Organisations (SACCOs) have been encouraged to invest in share capital as a way of strengthening internal financing, reducing over-reliance on external borrowing, and obtaining favourable loan terms. Speaking during the 6th Annual Delegates Training held in Mombasa, Harambee DT SACCO CEO, Dr. George Ochiri, emphasised the importance of building a solid financial foundation through member investments.
According to Kenya News Agency, the three-week training under the theme ‘Exceeding Expectations’ aims to impart necessary skills to the 318 delegates to drive the growth of the SACCO. ‘We have revitalised the SACCO, bringing it back to stability. Our expectations now are to go beyond the normal performance,’ stated CEO Ochiri. He revealed that Harambee SACCO currently holds assets worth Sh38.9 billion and aims to reach Sh7.2 billion in revenue by the end of 2025. Dr. Ochiri expressed confidence in hitting this ambitious target and urged members to take part in the SACCO’s share drive initiative to boost earnings and sustainability.
‘There is no way a SACCO can borrow from an external financier and give a good return, given the turbulence that we have in the financial space in the country at the moment,’ explained the CEO. He added, ‘We are better off with members buying share capital and investing in Harambee just like they would do in Agriculture, Property and farming. They are guaranteed returns.’
Senior citizens were advised against withdrawing their shares upon retirement, while the youth were encouraged to join SACCOs early, save consistently, and use the platform to launch business ventures. Nairobi County Director of Cooperatives, Dolphine Aremo, commended Harambee SACCO for its commitment to member education and financial literacy. She encouraged members to save more because the confidence in the cooperative is going up a notch.
‘We urge cooperatives to design products that suit the youth. The youth don’t want to be told to wait for three months to get a loan. I know they want loans on arrival,’ she stated. She lauded Harambee SACCO’s ‘Karibu loans’ that provide instant credit tied to savings to the youth as a way of encouraging them to join the SACCO.
Millicent Simiyu, National Vice Chair of Harambee SACCO and Chair of the Credit Committee, echoed the call for responsible financial behaviour. She urged members to repay loans promptly and invest in ventures that generate steady income. She also highlighted the SACCO’s flexible loan model, which allows members to access credit using business accounts or collateral, not necessarily relying on pay slips.
Mombasa County Director of Cooperatives, Nelson Nyoro, noted that the delegates are the transformative engine of the SACCO. He extolled Harambee for empowering its delegates. ‘The training programme is well-designed, covering critical areas, including innovation, technology, governance and leadership and retirement planning. Harambee has now become one of the case studies of transformation in the country. We are proud that the effort in education has started to pay dividends,’ he noted.