Because we are better together
Newfortis Sacco members are reaping the rewards of the Sacco’s exceptional financial performance for the year 2024. The Board of Directors announced a remarkable payment of over Ksh993.98 million to members, encompassing both dividends and interest on deposits for the year ending December 31, 2024. This represents a substantial increase from Ksh901.9 million in 2023, highlighting the Sacco’s commitment to member value and empowerment. Members received dividends on shares at an attractive rate of 14%, alongside rebates on deposits at a competitive rate of 13%.
At the same time, the Sacco played a significant role in uplifting its members by offering affordable loans, increasing its loan portfolio to Ksh 8.73 billion in 2024, up from Ksh 7.67 billion in 2023.
The Sacco sustained exemplary growth despite the challenges faced in 2024, providing quality and affordable services to its members. This success was made possible by adhering to corporate governance principles, which continue to empower members economically. The impressive growth was also largely due to the support and patronage of its products and services by the members.
The Sacco total assets rose from Ksh 11.1 billion in 2023 to Ksh 11.84 billion in 2024. By the end of the financial year under review, the Sacco’s membership reached 22,942. Additionally, non-withdrawable deposits from members increased to Ksh 7.79 billion in 2024, up from Ksh 7.05 billion in 2023.
“These statistics clearly indicate that the Sacco is headed in the right direction. We anticipate even greater growth this year,” said Mr. John Githinji, Chairman, the Sacco’s Board of Directors. He made these remarks during the 49th Annual General Meeting (AGM) held at Nyamachaki Primary School grounds in Nyeri town.
The Sacco’s remarkable growth and its impact on the socio-economic empowerment of members have earned it national recognition. Last year, it was recognized as one of the best cooperatives in the country at various forums.
Digital Banking
A key factor behind the Sacco’s success is its use of technology to enhance member experience and satisfaction. The Sacco’s digital approach prioritizes enterprise development, education, and health while maximizing community development.
The Sacco has adopted technology to provide convenient services and customer-centric products, thereby enhancing efficiency. “Regular system updates have been implemented to mitigate cyber risks. We encourage members to utilize our online products, which include USSD *426#, M-loan, Digi Loan, and our Mobile App,” Mr. Githinji stated.
The Sacco aims to provide a seamless digital experience and has invested in user-friendly digital channels. “By strengthening Newfortis Sacco’s long-standing tradition of excellence and maintaining high operational standards beyond the cooperative sector, we are setting the pace as a trailblazer in our pursuit of becoming the financial service partner of choice,” added Mr. Githinji.
Additionally, Newfortis Sacco provides members with Verve Cards, allowing transactions beyond their own networks. The Sacco Verve cards are accepted at all ATMs displaying the Verve logo, including major banks, supermarkets, and petrol stations.
Guided by the principles of corporate governance, efficient service delivery through technological advancement, and institutional capacity development, the Sacco is soaring high, setting a benchmark for others. This approach has ensured accountability, transparency, and sustainable growth. With a competent Board of Directors and management team, the Sacco has consistently complied with the regulations and prudential guidelines set by the Sacco Societies Regulatory Authority (SASRA).
“By strengthening Newfortis Sacco’s long-standing tradition of excellence and maintaining high operational standards beyond the cooperative sector, we are setting the pace as a trailblazer in our pursuit of becoming the financial service partner of choice.”
~ Mr. John Githinji, Chairman.
New Products
The Sacco launched an affordable health solution in partnership with CIC Group to promote the wellness of its retired members. This product ensures that members enjoy secure medical coverage.
As a one-stop financial institution, the Sacco is preparing to roll out a full-fledged insurance agency that will provide insurance coverage for members, including motor vehicle and investment insurance.
Mr. Githinji encouraged members to manage their finances prudently, save, and invest, noting that the Sacco has developed tailored products for all members.
“Set financial goals, create a budget, save for emergencies, pay off debts, and track your progress,” he advised. He noted that the Sacco is engaging members to support them in diversifying their income-generating investments through small and medium enterprises and cottage industries.
“We will continue creating awareness to provide technical and financial support that ensures a robust and financially strong membership.” The Chairman stated that the Sacco is open to young members and is ready to assist them in building assets and achieving financial independence. The Sacco has already established a youth empowerment program that encourages members to save and access credit at competitive rates.
The Sacco is also in the process of finalizing a governance policy that will incorporate agents/delegates who will play a crucial role in strategizing, marketing governance, and promoting inclusivity among the membership. Mr. Githinji also encouraged members to plant and grow trees to help mitigate climate change.
The Sacco CEO, John Mathinji, noted that they have adjusted their operations to comply with new government regulatory policies, emerging changes, and the dynamic needs of members. “We are a people-centric institution. Our goal is to offer members quality financial services to improve their socio-economic status. Everyone matters at Newfortis Sacco, because we are better together,” said Mr Mathinji.
“Newfortis Sacco continues to be a beacon in the cooperative sector, evidenced by phenomenal growth in both membership and asset base. Since its humble beginnings in 1976 with just 857 members from the teaching fraternity, the Sacco has enormously expanded,” said Dr. Mutahi Kahiga, Governor Nyeri County. He noted the impressive financial performance of the Sacco, particularly the nearly five-fold increase in member returns over the past decade.
Dr. Kahiga commended the Sacco leadership for embracing technology in its operations, including fully computerized systems, digital loans, SMS banking, and M-loans.
“This advancement positions the Sacco at the forefront of digital transformation in the cooperative sector. I urge all cooperatives in our county to follow Newfortis’s lead in digitizing their systems. This adoption of technology will not only improve efficiency but also enhance member experience and service delivery,” he stated.
Dr. Kahiga pointed out that Nyeri County has over 195 active cooperative societies and emphasized that the cooperative movement is a vital source of employment, economic growth, and poverty alleviation. He called on the National Assembly to expedite the review of the Co-operative Societies Act to ensure it aligns with the constitution, which mandates that counties regulate cooperative societies.
“Newfortis Sacco continues to be a beacon in the cooperative sector, evidenced by phenomenal growth in both membership and asset base. Since its humble beginnings in 1976 with just 857 members from the teaching fraternity, the Sacco has enormously expanded.”
~ Dr. Mutahi Kahiga, Governor Nyeri County
www.newfortissacco.com
