The Sacco sub-sector has remained resilient amid economic turmoil caused by Covid-19 pandemic.
According Sacco Societies Regulatory Authority (Sasra) the sub-sector defied economic challenges to post a 14 per cent growth in assets during the third quarter of financial year 2020.
Sasra chairman John Munuve said the sector’s assets increased to Sh597 billion last year compared with Sh525 billion in the same period of 2019.
The sub-sector’s loan portfolio increased by 12.2 per cent to Sh448.59 billion at the end of September 2020, compared to Sh400 billion during a similar period in 2019.
“Despite the shocks experienced in individual and business incomes as a result of job losses and disruptions of value chains brought about by the advent of the Covid-19 pandemic, we are glad to report that the sacco sub-sector performed relatively well, with an upturn in all the key performance indicators, based on data collected,” said Mr Munuve.
Total deposits increased by 12 per cent in the same period to reach Sh412.45 billion in the quarter from Sh368 billion recorded at the same time the previous year.
However, non-performing loans portfolio stood at 6.49 per cent.
