Siraji Deposit-Taking Sacco, located in Timau, Meru County, saw its total assets rise to KSh 663.3 million in 2023 from KSh 584.6 Million in 2022.
However, Siraji Sacco, which has branches in Nanyuki, Naivasha, Isinya, and Kibirichia, suffered withdrawals that led to its membership decline to 13,709 in 2023 from 14,618 in 2022. Member deposits increased to KSh 405.5 Million in 2023 from 365.4 Million in 2022. Total revenue grew to KSh 109.2 million in 2023 from KSh 95.3 million in 2022, an impressive growth of 12.79%
Frankline Mwrigi, the Society’s Board Chairman told a recently held Annual Delegates Meeting(ADM) that Siraji Sacco’s loan book grew to KSh 371.6 million in 2023, an increase of 6.88% from KSh 346.1 million in 2022 and KSh 334.1 million in 2021.
The Meru-based Society also registered an increase in net operating surplus before tax of KSh11.6 million from KSh 10.6 million in 2022 while its share capital increased to KSh 58.6 million in 2023 from KSh 55.4 million in 2022.
Investments by Siraji Sacco grew to KSh201, 856 in 2023 from KSh 101, 856 while institutional capital increased to KSh 52.7 million in 2023 from 46.5 million in 2022. Total expenses increased from KSh 66.7 million in 2022 to KSh 73.4 million in 2023. Total interest income grew to KSh 75.5 million in 2023 from KSh 65.3 million in 2022.
Delegates were told during a recently held annual delegates meeting that there was a spike in the number of loan defaults and that the Board has introduced measures to deal with the problem.
These remedial measures include loan restructuring to safeguard the guarantors from being deducted for loans they have guaranteed. Any loans that are above KSh 1 million must now be secured with collateral.
Other default cases have also been forwarded to the Cooperatives Tribunal. The Society has also enhanced member account security by ensuring that all accounts are registered with biodata and fingerprints. This is to ensure that only rightful owners of the accounts will transact with their accounts.
The system will also reduce the risks and complaints of cash being withdrawn from accounts by unauthorized persons.
All the Society’s staff are on a performance measurement tool and are going t be appraised at the end of each quarter. Siraji DT Sacco has introduced an advance normal loan for low-income earners.
The new loan product has an extended repayment period of 60 months and is for members with a gross salary of less than KSh 26,000. In 2023, the Society refunded KSh 36.4 million to 658 members who withdrew from it.
The Board gives reasons for members withdrawing from the Society which include delayed check-off, harsh economic times, loss of job or employment, and stiff competition from other financial institutions.
Siraji Sacco is a SASRA (Sacco Society Regulatory Authority) compliant society providing banking services and affordable credit facilities to all its members countrywide.
The Society was set up in 1996 and has experienced immense growth in services provision to all its members. Currently, the SACCO is offering financial services to employees, the Business community, farmers, and Groups.
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