How the Co-op Movement is Building Wealth, Unlocking Opportunities, and Turning Dreams into Reality.
Savings and Credit Cooperative Societies (Saccos) have emerged as a powerful engine of wealth creation and social transformation, turning ordinary citizens into millionaires. This affirms a past report by the Overseas Cooperative Development Council (OCDC) that indicated that Sacco members earn a higher income than the national average.
The latest Sacco Supervision Annual Report (2024) by the Sacco Societies Regulatory Authority (SASRA) offers an insightful snapshot into how millions of Kenyans are banking on Sacco and winning big.
From humble deposits of under Ksh 50,000 to accounts with over a million shillings, Saccos have consistently gained the trust of their members, who are now increasingly using them not just as savings platforms, but as investment vehicles and credit enablers.
Sacco deposit accounts continue to surge across all deposit ranges, a clear indication of growing public confidence. By 2024, total deposit accounts held in Saccos hit 16.05 million, up from 10.06 million in 2020.
But more importantly, the value of deposits skyrocketed to Ksh 749.43 billion in 2024, from Ksh 431.47 billion in 2020, a remarkable 74% increase in just four years.
The SASRA report indicates that about 140,000 accounts in Saccos last year had above Ksh 1,000,000, cumulatively having deposits and savings amounting to Ksh 281.25 billion.
The number of accounts with over Ksh 1 million in savings increased from 98,000. This highlights a trend where Saccos have become the place for higher-income earners looking for better returns on savings.
The SASRA industry report noted that the bulk of the deposit among Saccos was held in just about 694,000 accounts, but whose individual value was above Ksh 300,000.
Deposits amounting to Ksh 284.79 billion were held in just about 554,000 accounts with savings ranging between Ksh 300,000 and Ksh 1,000,000. However, 14.30 million accounts had deposits below Ksh 50,000. Most of these accounts are held by the Large-Tiered Saccos.
Saccos are increasingly emerging as lucrative ventures, where members are guaranteed high annual returns on their investment.
The industry report shows that Saccos’ total income increased in 2024 by 12.28% to Ksh 153.05 billion, with the largest share of revenue generated from loans.
The main expenses for Saccos remain interests paid on members’ deposits and dividends paid on the members’ share capital, which amounted to Ksh 59.74 billion, representing 39.03% of the total income in 2024, thereby underscoring the ever-growing popularity of Saccos as viable savings platforms, in addition to credit provision. The study also indicates that Saccos continue to reduce operating costs to remain profitable and competitive.
As a result, Saccos continue to offer higher average rates of dividends and interest rebates to their members. For instance, in 2024, Saccos’ average rate on share capital dividends was 10.46% while the interest rate on deposits was 7.14%.
SASRA’s comparative analysis shows that, on average, the payments by Saccos as dividends on members’ share capital and interests on members’ deposits were above the rates of interest paid by commercial banks on their customers’ deposits, with a difference of about 6.32% in respect of dividends and 3.00% in interest rebates on members’ (customers) deposits. This underscores Sacco’s competitive advantages.
According to OCDC research, members in cooperatives attribute their improved income and economic well-being to cooperative membership. Other studies worldwide have also indicated that cooperative societies’ members enjoy better overall well-being and financial security. In times of need, Sacco members have improved access to social support systems and other resources that support their resilience and ability to weather adverse events.
10.46%
Saccos’ average rate on dividends
7.14%
Average Interest Rebate on Deposits
140,000
Deposit Accounts with over Ksh1M
In Kenya, OCDC research found that 97% of cooperative members reported improved financial growth, citing improved market access as a benefit of cooperative membership.
Cooperatives empower people to own the planning, implementation, and evaluation of their own sustainable development through tailored education and training.
According to OCDC, cooperative members rely less on family, friends, and relatives compared to non-cooperative members.
As highlighted in the SASRA annual report, the power of Saccos lies not just in deposits but in how they enable access to affordable credit.
In 2024 alone, Saccos’ net loans and advances to members grew by 11.78% in 2024 to reach Ksh 789.42 billion, pushing gross loans to Ksh 845.11 billion. This has transformed lives and fueled multiple sectors of the economy.
Saccos have emerged as facilitators in homeownership. Land and housing remain the top targets for Sacco lending, followed by agriculture, the sector that reported the highest growth in Sacco lending. Agriculture-based Saccos have quietly gained ground, with their asset market share rising to 12.12% and deposit share increasing to 10.90%. This growth aligns with the overall surge in agricultural lending, suggesting a sector in resurgence and members’ growing confidence in rural-based cooperatives.
Saccos also finance the trade, manufacturing, education, and health sectors.
The Sacco model is built on trust, ownership, and community. The SASRA data shows that members respond by deepening their financial engagement. This includes opening multiple accounts. The Sacco movement is no longer just about pooling savings; it is a wealth-building platform. The rise of high-deposit accounts signals a quiet but profound financial revolution, one where ordinary Kenyans are transforming into Sacco millionaires, powered by collective savings and community-driven lending.
| Deposit Range | Accounts (2024) | Deposit Value (Ksh Billions) |
| Below 50,000 | 14.30 million | 43.90 |
| 50K – 100K | 442,000 | 30.58 |
| 100K – 300K | 616,000 | 108.91 |
| 300K – 1M | 554,000 | 284.79 |
| Above 1M | 140,000 | 281.25 |
“Sacco industry total income increased by 12.28% to Ksh 153.05 billion in 2024.The main expenses for Saccos remain interests paid on members’ deposits and dividends paid on the members’ share capital, amounting to Ksh 59.74 billion.”
