By Co-op News
Deposit-Taking Saccos membership has increased to 5.47 million from 4.5 million a year ago.
According to Sacco Societies Regulatory Authority (SASRA) annual supervision report, Farmers based DT-Saccos account accounted for 41.93% of the total members, with teachers based DT-Saccos having the second-highest membership of 22.91% of the total members.
However, analysis reveals that Teachers based DT-Saccos have largely opened their common bonds and admitted persons who are not necessarily within the original common bond of the teaching and teaching-related professionals.
The Community based DT-Saccos accounted for 17.87% of the total members, while the 3Government based DT-Saccos accounted for 11.69%. The Private sector-based DT-Saccos accounted for the fewest proportion of members at 5.60% of the total members.
The increase in membership was primarily attributed to the number of licensed DT-Saccos by three in 2020.
However, SASRA data shows that a large proportion of the total membership accounting for 25.09%, was reportedly inactive during 2020, implying that this portion of members had not made any transaction with their DT-Saccos for six or more months.
“Despite the increase in total membership largely buoyed by the increase in the number of licensed DT-Saccos, it is observable that a huge proportion of the members were reported to be dormant in 2020 than the dormant members reported in 2019. The sharp increase in the dormancy of members may be attributed to the widespread impacts of the Covid-19 Pandemic on the general economy, resulting in reduced member transactions with their respective DT-Saccos,” said SASRA.
25.09%
The percentage of inactive members
