Solution Sacco is seeking to grow its diaspora market share. The Sacco has partnered with, among others, IFAD, Interswitch, Credit Bank, RIA money transfer and Kenya Diaspora Alliance in launching affordable Remittances and Enhanced Financial Inclusion Programme.
Through the partnership, members will access affordable diaspora remittances through Solution Sacco accounts to enhance the financial resilience and economic empowerment of Kenyan remittance senders and recipients back home.
The recently launched programme aims at developing customized money transfer solutions as the Sacco eyes the lucrative and competitive diaspora market through the joint partnership, with an estimated $4 billion sent back home each year.
The programme will work with community networks with the Sacco well positioned to reach Kenyans living in rural areas.
“Diaspora remittances have an integral role in emerging economies like Kenya and present a crucial source for foreign exchange and capital flows into the Country.What we now need is to channel this crucial lifeline to our rural communities to facilitate the productive process that will boost the economy at large,” Credit Bank CEO Betty Korir said.
Interswitch East Africa Limited Country general manager Romana Rajput said working with Saccos and their members will make transfers quicker and more convenient to beneficiaries.
“Saccos form an important part of our financial services in Kenya where we come together to save money and improve the quality of our lives through lower interest rates loans to acquire important purchases like land, homes, educate our children, improve our businesses and much more,” said Rajput.
The new program, co-funded by the European Union and IFAD (International Fund for Agricultural Development), will be underpinned by digital money transfer solutions to ensure affordability and seamless remittances to the last mile.
“The cost of remittances to, from and across Africa remains high compared to other regions of the world. We need uniquely tailored solutions that encourage Kenyans across the world to send money home while ensuring the largest possible portion of this money gets to rural recipients,” Korir said.
Participating SACCOs will also have their members and staff trained as sub-agents for rural areas.
“Our wide Sacco network within rural communities will make remittances more accessible at the least cost to our members. We are committed to ensuring our diaspora members enjoy quality services to effect development locally,” said Solution Sacco Daniel Marete.
