Hazina DT Sacco successfully tackled economic hurdles to post remarkable growth in deposits, loans, and income in the financial year ending 31st December 2023. This was due to the Sacco’s competitive rate in members’ interest earnings on deposits and dividends on shares.
The Society experienced a commendable growth of 17.21% in its total revenue in 2023, reaching Ksh1.77 billion compared to Ksh1.51 billion in 2022. This impressive increase can be attributed to the Society’s enhanced lending services to its members and the convenience of accessing its services through digital channels. Its efforts towards providing efficient and accessible services have resulted in a significant improvement in its financial performance.
Hazina Sacco proved to be an attractive option for those seeking to invest and grow their wealth, as well as access affordable loans. Members earned attractive returns, with 17% dividends on shares and 10.8% interest on deposits.
The Sacco’s net loan book grew to Ksh9.86 billion in 2023, reflecting an 11.78% increase from Ksh8.82 billion in 2022.
Efficient loan disbursement and favourable interest rates make Hazina Sacco a preferred option for those seeking credit to expand their business or initiate development projects.
“Our largest source of income is from loans and advances, which we are constantly improving to better meet the needs of our members. Through innovation and dedication, the Board and management strive to provide the best possible products and services to help our members achieve their financial goals,” said Mr Evans Kibagendi, National Chairman. He spoke during the Sacco’s 40th Annual Delegates Meeting.
Despite delayed remittances of the Sacco’s funds by various employers, especially county governments, members’ deposits increased by 14.70% to Ksh11.08 billion in 2023 from Ksh9.66 billion in 2022. Through the support of the Commissioner for Co-operative Development, the Sacco has made tremendous progress in reducing non-remittances.
With a high liquidity level, the Sacco Board has diversified its investments in different vehicles, such as government infrastructure bonds and fixed deposits in commercial banks, to ensure better returns and minimize risk.
The total assets of the Sacco jumped 15.2% to Ksh14.70 billion in 2023 from Ksh12.76 billion in 2022.
Last year, Hazina Sacco launched a Strategic Plan that was designed to span up to 2027. Implementing this plan has so far resulted in significant accomplishments for the organization. The Society is dedicated to being a leading Sacco in providing financial products and services aligned with its mission of providing prompt, quality, and efficient financial services through effective mobilization of savings and prudent administration of credit for socio–economic advancement of members.
“Our Sacco’s strategic plan objectives are of utmost importance to the Board, and we are dedicated to ensuring that they are achieved. To make sure of this, we have implemented measures that enable us to track progress and overcome any obstacles that may arise,” stated Mr Kibagendi.
Hazina Sacco recruited over 4,400 new members last year through aggressive marketing campaigns, sustaining a growth trajectory witnessed in the last five years that saw membership increase to 29,257 as of 31st December 2023. The Sacco recognizes and awards its highest recruiters every year.
The management’s reengineering business processes, automating key operations, and reviewing policies have enhanced the Sacco’s operational efficiency and accelerated its growth.
The Sacco has improved its customer services by enhancing loan processing and expanding access to services through alternative channels. Last year, the Sacco implemented an electronic document management system, enabling members to access additional services online. The Sacco is on track to digitize all its records for higher efficiency, with the ultimate goal of becoming a paperless financial institution.
The Society has invested in various publicity programs to recruit more members and improve online engagement with members. The Sacco also witnessed significant growth in its satellite offices, such as Mombasa and Siaya, which were relocated to strategic locations and expanded last year. The leadership also plans to revamp the Vihiga office and establish a satellite office in Kitale. Hazina is among the Saccos with a wide geographic reach nationally.
Hazina Sacco is a trailblazing financial institution that has made a name for itself as a leading Sacco in the country. It has consistently won coveted awards in the national arena. Last year, it won the Ushirika Day accolade for being the most efficient deposit-taking Sacco in the tier 1 category (position 1), the best-managed DT Sacco (position 3), and the best in credit management DT Sacco employer (position 3) based societies.
The Sacco is devoted to positively impacting the lives of the communities around the country through its branches. Its Corporate Social Responsibility (CSR) programs include supporting infrastructural development in public schools and donations. In 2023, the Sacco constructed an ablution block at Tutu Primary School in Ndeiya, Kiambu County, and installed two 10,000-liter capacity water tanks at AIC Namanga Primary School in Kajiado. It is expected to support various needy institutions in Trans Nzoia and Kakamega Counties this year.
“Our Sacco is the ideal destination for a wide range of financial products and services that are guaranteed to be fast, efficient and of top quality. We are committed to fostering socio-economic advancement among our members and firmly believe that “Together we Prosper.” Our financial services are unparalleled and will transform your life for the better!” – Mr. OKUNGU, CEO.
Every year, the Sacco provides extensive member education and training in all its 66 branches countrywide. Education to members entails enlightening them on their rights and duties, equipping them with knowledge to evaluate various personal financial decisions and empowering them to mitigate financial risks.
“We’re all about making a difference in people’s lives. We believe that by continuously educating our members, we can help more people and increase patronage. Join us in our commitment to changing lives,” said Mr Kibagendi.
During the ADM event, the chief guest, Mr David Obonyo, the Commissioner for Cooperative Development, highlighted the significant role of Cooperatives in national development. He emphasized that Cooperatives have been instrumental in mobilizing savings and offering affordable credit to their members. Mr Obonyo encouraged Sacco members to borrow money only if they were able to repay it. He also urged Kenyans to join well-managed Saccos such as Hazina Sacco, which provide value to its members by creating a pool of resources that they can tap into for development.
“Our Sacco is the ideal destination for a wide range of financial products and services that are guaranteed to be fast, efficient and of top quality. We are committed to fostering socio-economic advancement among our members and firmly believe that “Together we Prosper.” Our financial services are unparalleled and will transform your life for the better!” stated Mr. Dickson Okungu, CEO.
Mr Geoffrey Akumali, the Chief Officer of Nairobi Cooperatives, Trade, and Markets, praised Hazina Sacco for its excellent governance and for ensuring growth. He noted that Hazina Sacco has played a crucial role in adding value to Nairobi residents, particularly by investing in technology.
