Tower’s loan portfolio for the past eight months jumped by 18.4 percent, with the Sacco disbursing loans amounting to Ksh6.57 billion compared to Ksh5.5 billion it gave out in the same period in 2021.
A rebounding economy and the Sacco’s lending model that focuses on offering a wide range of credit facilities efficiently and affordably helped shore up the growth. Its total outstanding loans with members grew by 9.7 percent to Ksh14.42 billion.
The Society’s half-year results were impressive as the turnover posted 14.3 percent growth to reach Ksh 1.267 billion as of 30th June 2022, while the surplus leaped by 4.6 percent to hit Ksh869 million.
Despite prevailing harsh economic conditions pushing the cost of living through the roof, Tower Sacco registered a 17.5 percent growth of share capital and deposits from Ksh 13.1 billion last year to Ksh15.43 billion.
“Economic hardships have affected members’ saving trends. We urge our members to embrace the savings culture for a better future,” said Mr. John Gitundu, Sacco Board of Directors Chairman.
Aggressive marketing, education and training enabled the Society to grow its membership from 168,539 at the beginning of the year to 188.115 by the end of August.
With an asset base of close to Ksh19 billion currently, the Society is eying to attain an asset size of Ksh30 billion by the year 2026.
“Our strategic plan is on the right track. We believe we will be able to achieve our targets. We are also giving back to the community through Corporate Social Responsibility activities, and so far we are sponsoring needy students to achieve their education dreams,” said Mr. Gitundu.
The Sacco’s fast growth pace has seen it expand its branches, including putting up an ultra-modern headquarters plaza in Ol’Kalou town. It is set to open a new branch in Ruiru, growing its branch network from the current 25.
It is among 11 Sacco providing mortgage facilities in partnership with Kenya Mortgage Refinance Company (KMRC).
Nyandarua GovernorMoses Kiarie Badilisha, who graced the Society’s Special General Meeting, lauded the Sacco for upholding good corporate governance noting this has contributed to its meteoric rise from a humble beginning of just 125 members and Ksh90,000 deposits to the country’s eighth wealthiest Sacco in terms of total assets according to SASRA latest ranking.
“Co-operatives are catalysts and drivers of change, I urge residents to join Saccos to achieve their development goals. My government will work closely with co-operatives especially in availing affordable financing to the people,” said the Governor.
 “Saccos must come up with innovative products and techniques that address context and environment for their client. It would be helpful for example to tailor such financial solutions to agriculture related activities for counties like Nyandarua. We are happy that Tower has been providing right banking solutions,” added Dr. Badilisha.
