The Sacco Societies Regulatory Authority (Sasra) has licensed a new batch of Saccos to operate, as the regulatory body moves to balance its dual mandates to expand the sector while protecting members’ contributions amid growing cases of unregistered investment schemes
- •Newly licensed deposit-taking Saccos include Kumbukumbu Sacco Society Limited (Nairobi) and Setyon Sacco Society Limited (Kericho).
- •At the same time, three non-withdrawable deposit-taking (Non-WDT) Saccos have been approved to operate under the Non-Deposit-Taking Business Regulations, 2020, among them Kenfam Non-WDT Sacco Society Ltd and Urban Roads Regulated Non-WDT Sacco Society Ltd.
- •Kenyans are saving in, and borrowing more from, Saccos than ever before, pushing the sector’s assets past KSh1 trillion by the end of 2024, but the sector is grappling with increasing non-performing loans.
“Only societies listed in the Gazette are authorized to undertake deposit-taking or regulated non-withdrawable deposit-taking business,” Sasra, in the Gazette notice (No. 15383) the notice stated, in what is part of a wider compliance sweep targeting unauthorized cooperatives.
The fresh approvals come at a time when smaller community-based Saccos are seeking formal recognition to access cheaper credit, digital payment systems, and linkages with the national credit reference framework.
Deposits in the country’s 358 Saccos grew by 10.7% in 2024, while total assets expanded by 10.1%. Non-performing loans (NPLs) jumped to 6.3% of gross loans, reversing improvements seen in 2023.
The regulator has in recent months intensified inspections and member education campaigns, insisting that transparency, audited disclosures, and adherence to prudential standards will define the next phase of Sacco growth.
Sasra’s ongoing reforms are part of the government’s broader plan to modernize cooperative financial services, strengthen savings culture, and protect members’ contributions amid growing cases of unregistered investment schemes masquerading as Saccos.
