President William Ruto has announced a series of reforms targeting Savings and Credit Cooperative Organisations (SACCOs) as part of the government’s drive to strengthen community-based financial institutions.
Speaking on X, the President emphasized that SACCOs are “the backbone of financial access for many Kenyans in the formal and informal sectors,” noting that the reforms aim to modernize operations, improve governance, and protect the savings of members.
At State House Nairobi, President Ruto received a report from a team of experts tasked with reviewing SACCO governance and operations.
The experts recommended a range of measures, including the upgrading of digital infrastructure, integration of fintech solutions, and the adoption of shared services to enhance efficiency.
“These reforms are designed to build strong, resilient SACCOs that empower communities and ease access to affordable credit,” the President said, adding that the government is committed to ensuring that hardworking citizens benefit from secure and well-managed financial institutions.
The initiative comes amid growing demand for accessible and reliable financial services, particularly for members of the informal sector who rely on SACCOs for loans, savings, and investment opportunities.
President Ruto urged SACCO leaders to embrace the recommendations, stressing that the adoption of technology-driven solutions and shared services would position SACCOs to compete effectively in the evolving financial landscape.
“The success of these reforms will be measured by how well they enable SACCOs to serve their members and strengthen the broader Kenyan economy,” he said.
The government plans to roll out the reforms in phases, with oversight from the Ministry of Finance and cooperative regulators to ensure compliance and sustainable growth.