Kenya National Police DT SACCO Records Steady Growth As It Marks 5Oth Anniversary
Registered on 20th November 1972, the Kenya National Police DT SACCO started with a membership of 690 and has since grown to over 65,606 members. With a mission to provide competitive financial solutions to members through effective mobilization and management of resources, the Sacco is staying true to its mantra; united for prosperity even as it marks 50 years of empowering members as Corporate Watch magazine’s KJ Odongo writes.
As they prepare for the 50th Anniversary celebrations this year, the Kenya National Police DT SACCO financial reports reveal the success story of one of Kenya’s leading co-operative societies.
The Kenya National Police DT SACCO has recorded a loan book growth of 14.4 percent to KSh37.3 billion as well as a 40 percent jump in returns from investment in government securities that earned the SACCO KSh350 million in the year 2021.
According to the SACCO Chairman Mr. David Mategwa, who spoke at the SACCO’s ADM at a Nairobi hotel, the growth recorded under the year in review is attributable to the expansion of the SACCO’s loan book.
Over the last five years, the Kenya National Police DT SACCO has posted a steady rise in key growth metrics such as asset base portfolio with the year 2021 closing at KSh44 billion up from KSh39.1 billion recorded in the year 2020.
In the last five years, the SACCO has been posting a steady rise in both assets base, dividends and interest on rebates earned by members.
According to official records seen by Corporate Watch Magazine, in 2017, the SACCO’s assets were just below KSh. 25 billion.
Overally, the society’s total income increased by 16 percent to KSh. 7 billion in 2021 compared to KSh. 6 billion recorded in 2020.
“The Kenya National Police DT SACCO has a long and illustrious history, dating back to 1972, with this year marking the society’s 50th anniversary. This will be a moment to reflect on what we have been able to do over the last five decades and also look into the future,” said the National Chairman, Mr. David Mategwa during the Annual Delegates Meeting.
Following the good performance by the SACCO, the Board recommended the payment of dividends on share capital at the rate of 17 percent totaling to KSh516 million as well as interests on deposits at the rate of 10.8 percent translating to KSh2.4 billion.
In a move geared to encouraging the saving culture, the National Chairman said the SACCO will reward its top savers with a trip to Washington D.C. in the United States of America to benchmark with best-managed cooperatives in the first world.
With just two years left to implement its 2020-2024 strategic plan, the society is undertaking annual reviews of its plan and has earmarked ICT investments as one of its key growth plans. “ICT being a key driver of business, will be reviewed to ensure it continues to meet strategic and operational goals of the society.” Mr. Mategwa noted.
The Chairman in his report noted that in the 12-month period under review, the SACCO’s Premier loan product was the most sought-after, accounting for 43 percent of services offered. A total of KSh13.6 billion was disbursed under Premier loan followed closely by Mega loan at KSh6.2 billion by December 2021.
Addressing delegates at the ADM, the Director of Cooperatives, Nairobi County, Ms. Dolphine Aremo, said members are more interested in the annual returns from their savings. She lauded the SACCO management for the good results noting that the SACCO is in a position to give back to its members due to the fruitful sensitization programs it has been undertaking in close liaison with the delegates and her office.
“Congratulations on this virtuous performance, we are happy to be the supervisors of Kenya National Police DT SACCO. As a role model, it has been extremely easy to work with you,” said the Director in her speech.
Addressing delegates and invited guests at the same event, the Inspector General of Kenya National Police Service, Mr. Hillary Nzioki Mutyambai, praised the SACCO’s sterling perfomance: “The Kenya National Police DT SACCO has been very steady. We can see this in the share payments that have been increasing over the years as the SACCO is also making timely payments. This is a good show for our SACCO and for the prosperity of members.”
Notably, the Inspector General of Police expressed confidence in the board of directors of the SACCO as they steer the society to even greater heights to the benefit of all members, particularly the savers.
The IG encouraged the SACCO to consider onboarding the lowest savers and motivating them with a view to cultivate the saving culture within the SACCO as well as in the country.
“As much as we are rewarding the biggest savers, I urge the management of the Kenya National Police DT SACCO not to forget the lowest savers. We are one family, and they too need to be given an equal opportunity to learn how to be better savers,” Mr. Mutyambai said.
Dr. Fred Matiang’i, Cabinet Secretary Ministry of Interior and Coordination of National Government who was the chief guest at the ADM requested the society management to explore investment opportunities in the housing sector adding that such a plan could significantly improve the members’ welfare in line with President uhuru Kenyatta’s big 4 agenda on housing.
“I want to urge the SACCO management to start a process to see how we can use your savings in partnership with the government to improve our police housing program. We must use these resources and this opportunity to improve the well-being and the lives of our police officers across the country,” said Dr. Matiangi.
Dr. Matiangi, in his remarks at the event further advised the SACCO officials to initiate an engagement with the National Treasury with a view to invest directly in new projects that will enhance the housing programs throughout the country.
The Kenya National Police DT SACCO is currently incorporating Environmental, Social, and Governance (ESG) principles into its operations with a view of ensuring that the benefits of the cooperative are realized and distributed with equity in mind.