Financial Performance
The SACCO subsector’s total assets grew by 9.93% in 2021 to reach Kshs 807.11billion from Kshs 734.22 billion recorded in 2020. The 176-DT-SACCO had the highest proportion of the total assets amounting to Kshs 691.01 billion and representing 85.63% of the total assets’ portfolio. This means that the 185-NWDT-SACCOs share of the total assets was a paltry 14.37% and thus cementing the dominance of DT-SACCOs as the main movers in the SACCO subsector.
Total assets increased by 9.93% to reach Kshs807.11 billion in 2021.
Similar dominance in performance trends was also witnessed with regard to the subsector’s total deposits and gross loans. The total deposits in the subsector grew by 9.80% in 2021 to reach Kshs 564.89 billion from the sum of Kshs 514.46
billion recorded in 2020. The176-DT-SACCOs had the largest proportion of the total deposits’ portfolio amounting to Kshs474.25 billion and representing 83.95% of the subsectors’ total deposits. The 185-NWDT-SACCOs therefore shared the remaining 16.05% of the total deposits’ portfolio. On the credit front, the subsectors’ gross loans increased by 9.67% in 2021 to reach Kshs 608.75 billion from Kshs 555.05 billion reported in 2020. The 176-DT-SACCOs’ share of the gross loans issued by SACCOs amounted to Kshs 522.25 billion representing 85.79% of the gross loans issued. The 185-NWDT-SACCOs share of the gross loans amounted to Kshs 86.50 billion and representing 14.21% of the gross loans. 85.63% of the total assets, 83.95% of the total deposits controlled by the 176-DT-SACCOs with the 185-NWDT-SACCOs controlling the balance of 14.37% and 16.05% respectively.
At the segmental levels, it is noticeable that there was a decline in the rates of growth of DT-SACCOs in 2021 in respect of the key performance parameters of total assets, total deposits and gross loans. The total assets of DT-SACCOs grew at 10.10% in 2021 compared to a growth rate of 12.75% recorded in 2020; while their total deposits grew by 9.92% in 2021 compared to a growth rate of 13.41% recorded in 2020. The DT-SACCOs gross loans also grew at a slower pace than in 2021 recorded at 10.00% compared to a growth rate of 13.16% reported in 2020.
The slower growth rates witnessed in the performance of DT-SACCOs is evidence that the after-effects of the COVID-19 pandemic are still being felt in the SACCO subsector and erratic weather patterns.
By Sasra CEO, Peter Njuguna.- The Sacco Supervision Annual Report, 2021.
