Trans Nation had the highest growth in total assets among deposit-taking Saccos latest Sacco Regulatory Authority (SASRA) data shows.
The DT-Sacco posted an impressive growth rate of 29.57 percent in the financial year 2020, moving up the ladder from position 31 in 2019 to position 26 in 2020 among the large-tiered DT-Saccos. The growth makes it the latest licensed Sacco to achieve the milestone edging out other dominant institutions to bag the coveted recognition.
SASRA data shows Trans Nation Sacco, whose head office is in Chuka Town, bettered its growth rate from 17.04 percent in 2019, growing its asset base from Ksh5.11 billion to Ksh 6.62 billion. It stands tall among the large-tiered DT-Saccos controlling the most considerable portion of the Sacco sub-sector wealth.
“Large-tiered DT-Saccos controlled 72.03% of the total assets within the DT-Sacco system,” said the Sacco Regulator.
The Sacco complied with all prescribed prudential standards by SASRA, in addition to registering exemplary growth in all principal essential parameters used by the Authority to measure performance such as total assets, total deposits, gross loans, allowance for loan losses, and core capital.
The peer-grouping is essential to enable the Authority to monitor the risk assessment in the DT-SACCOs and their respective level of compliance with the prescribed prudential standards, premised on similarity or commonality of their characteristics.
Trans Nation DT-Sacco is also among the leading in payment of highest dividends on shares at 17% and interest on members deposits at 12.5%. Overall, DT-Saccos paid a total of Ksh 30.61 Billion as interest expense on deposits representing 35.58% of the total income.
“Sacco members are the owners of their respective DT-Saccos having invested the minimum prescribed share capital therein, which earns a dividend whenever surpluses are declared. Consequently, Sacco members derive financial benefits from their DT-Saccos both as customers through interest on the deposits held, and as owners through dividends paid on the shares held,” said SASRA.
The Authority analysis shows that DT-Saccos paid on average 6.01% interest on the deposits in 2020 compared to the banking institution that paid an interest rate of about 3.42% on customer deposits.
Thus DT-Saccos, such as Trans Nation, are by far competitive financial deposit-taking institutions. Trans Nation’s high dividends rate was way above the average paid by most DT-Saccos, which according to SASRA was 8.26% in 2020, despite Covid-19 effects on the economy.
Founded in 1993, Trans Nation Sacco has delivered quality banking services and grown to become one of the best financial institutions.
It was the First Sacco to computerize service delivery and the first to start Front Office Services (FOSA) in Kenya.
With over 12 branches and hundreds of Sacco Agents in more than five counties, the Sacco can serve members better and closer home.
