Eunice Oketch, Mwalimu Saving and Credit Cooperative Society (Sacco) manager in Homa Bay, has urged individuals in the informal sector to join only regulated financial institutions.
She warned small-scale business owners, such as boda boda riders and fishermen, to avoid joining unregistered Saccos, as these are at high risk of collapsing. During the celebration of Mwalimu Sacco’s 50th anniversary in Homa Bay town, Oketch also dispelled the misconception that joining larger Saccos requires substantial deposits.
Richard Opiyo, the Chairman of the boda boda riders in Homa Bay Sub-county, confirmed that while riders have their own Saccos in each of the 40 wards, these organizations are not recognized by the Saccos Societies Regulatory Authority (SASRA). “We recently received financial support from the county government and have submitted the necessary documents to the relevant authorities,” he said.
Oketch stressed the importance of joining regulated cooperatives, stating, “experts recommend participating in cooperatives, but it is crucial to ensure that these groups are regulated.” She highlighted that individuals in the informal sector may earn less than their formally employed counterparts, yet they still aspire to achieve financial stability.
Additionally, she encouraged individuals from various sectors, not just teachers, to consider joining Mwalimu Sacco. Francis Odhiambo, the branch Chairman, urged civil servants to utilize the Sacco for retirement benefit processing and mentioned a program designed to support members’ children in the event of a member’s death.
Former branch Manager Bernard Ochieng underscored the significance of financial savings, noting that they are essential for starting businesses and pursuing other income-generating activities.
