Centenary Deposit-Taking Sacco has rewarded its members with a total of KSh 95.9 million in dividends on share capital, interest on members’ deposits, and return on Pepea shares. The Sacco’s Board of Directors announced the payment of dividends on FOSA Shares at 12%, Pepea Shares at 12%, and interest on members’ deposits at an average rate of 10%, prorated accordingly.
Despite a challenging year in 2023, Centenary Sacco recorded significant improvements, with a net surplus growing by 50% to Ksh12.2 million in 2023 from Ksh6.3 million in 2022. The Sacco also posted impressive growth in gross income, increasing to Ksh211.1 million last year, a 10.77% growth from Ksh190.5 million in 2022. The Sacco’s reserves increased by 25.03% to Ksh163.2 million, while the share capital leaped by 6.3% to Ksh138.5 million.
“Our Sacco management has diligently worked to reduce loan loss provisioning resulting from non-serviced loans, significantly improving performance and returns on member investments. We urge members to further commit to their loan repayments as this is crucial for the continued growth of our Sacco,” said Mr Joseph Magambo, Chairman, Board of Directors.
The loan book expanded by 7.25% to reach Ksh985.4 million, lifting the total assets to Ksh1.38 billion in 2023. Members continued to enjoy attractive rates on loans as the Society maintained a competitive rate of 1% per month on reducing balance. “The demand for our loans has continued to grow, and we have consistently disbursed loans in a timely manner.
With stable financial performance, the Sacco launched one branch and 5 agents to enhance its brand visibility. “This is also a milestone and commendable,” said Mr Magambo. The Sacco has six operational branches spread over Meru and Tharaka Nithi counties in strategic locations for efficient service delivery to members.
“The Sacco has robust alternative banking options such as the mobile banking services via the USSD code *477# that enables members to transact conveniently. Members are also able to repay loans using the pay bill number 700300 and access cash through Sacco’s VISA-branded ATM cards and personalized chequebooks,” said Mr. Eric Murithi, Chairman of the Supervisory Committee. He affirmed that the management had implemented cyber security measures to mitigate threats.
The Sacco membership stood at 53,326 at the end of the year under review, with the management employing aggressive marketing to net more members this year.
Since its establishment, Centenary Sacco has maintained an upward trajectory while complying with the Sacco Societies Regulatory Authority (SASRA) prudential guidelines.
This has ensured the Society fulfills the financial needs of members conveniently. It attracts membership from all sectors of the economy. The Sacco aims to enable members to access cheap credit facilities to drive economic prosperity. The Sacco has significantly invested in members’ literacy programmes and established partnerships to maximize members’ benefits.
Centenary Sacco has set its sights on growing its membership through relentless efforts to accommodate new members from different levels of society. The Society also aims to develop and roll out improved products in the market that suit all regardless of their economic or social backgrounds.
The Sacco bagged three trophies during the 2023 Ushirika Day celebrations, including the second-best in capitalization among community-based deposit-taking Saccos nationally. It also emerged as the third best in capitalization and risk management.
Last year, the Sacco spread its wings further, expanding its reach to offer quality financial products and services to more people nationwide by launching two branches in Marimanti and Timau towns.
It has also diversified its loan portfolio by offering loans to businesses and individuals. Through Centenary Foundation the Sacco has sponsored tens of students in secondary schools, colleges and universities.
