The Board of the Kenya Union of Savings and Credit Cooperatives (KUSCCO) has been advised to rebrand and transition into a national federation to distance itself from a tarnished image and rebuild lost credibility.
This recommendation is central to a report by a Committee of Experts (CoE), commissioned by the Cabinet Secretary for Cooperatives and MSMEs Development, Dr. Wycliffe Oparanya.
The report notes that the KUSCCO brand is currently synonymous with insolvency, fraud, and poor oversight. According to the CoE, a new identity is essential to distance the organization from past scandals. With a new board in place and sector-wide reforms underway, rebranding will signal a fresh commitment to accountability and transparency.
The CoE was led by Marlene Shiels OBE (Chairperson) and Dr. Nelson Kuria (Vice Chairperson), alongside members Dr. Gamaliel Hassan, Odhiambo Collins Harrison, and Maurice Smith. The technical bench included Dr. Moses Gweyi, Jeremiah Were Otieno, and Joan Atuhurra.
The report urges the new KUSCCO Board to prioritize a future strategy centered on its transition to a Federation. The committee recommends a sector-wide consultation, facilitated either by the Cabinet Secretary’s office or KUSCCO itself. If an independent perspective is required, the African Confederation of Co-operative Savings and Credit Associations (ACCOSCA) could lead the process.
Despite its recent troubles, KUSCCO’s extensive network positions it uniquely to promote the Central Liquidity Fund and shared services. In its new role, KUSCCO would support SACCOs with compliance, audit readiness, and sector discipline, facilitate technical support for SACCOs transitioning into new regulatory frameworks and advocate for inclusive governance and represent member interests in national forums.
The report emphasizes that rebranding is more than cosmetic; it is an institutional reset. As KUSCCO transitions into a National Cooperative Federation, it must embody the professionalism and ethical leadership expected of a central institution.
A key recommendation is the establishment of the Stabilisation Protection Scheme – Kenya (SPS-K). This platform would support struggling SACCOs, helping them return to financial health and meet regulatory requirements. The SPS-K aims to provide a capital support mechanism, prevent reputational damage from liquidations, and offer a more cost-effective alternative to government bailouts.
A rebranded KUSCCO is vital to the transformation of Kenya’s SACCO sector. As an umbrella body with deep institutional roots, KUSCCO is best placed to coordinate a sector-wide protection scheme that includes Deposit-Taking, Non-Withdrawable, regulated, and unregulated entities.
Leveraging KUSCCO’s existing infrastructure for the SPS-K would reduce setup costs and ensure operational continuity. Furthermore, KUSCCO remains a trusted brand among many rural cooperatives.
