Sacco leaders equipped to guard members’ funds

At least 5,000 cooperative leaders are expected to be trained in financial literacy, corporate governance, leadership risk management, and resilience for the cooperative societies and their members.

This is coming in the wake of a damning forensic audit by PricewaterhouseCoopers (PwC), laying bare the extent of mismanagement and fraud at the Kenya Union of Savings and Credit Cooperatives (KUSCCO) where at least Sh12.5 billion was lost.

The initiative unveiled by CIC Insurance Group during the 2025 National Cooperative Leaders Summit in Mombasa saw over 250 leaders trained.

The initiative aims to equip cooperative societies with knowledge, attitudes, and skills to support their entities to become sustainable drivers of economic resilience.

Speaking at the forum, of Co-operatives and Micro, Small and Medium Enterprises Development CS Wycliffe Oparanya termed cooperatives as vital tools for financial inclusion, providing accessible financial services to millions of Kenyans who might otherwise be excluded from the formal financial system.

“As we look to the future, we must strengthen and adapt the cooperative sector to meet the challenges and opportunities of our time. We must focus on enhancing cooperative entrepreneurship, improving governance, strengthening risk management, and embracing digital transformation,’’ Oparanya said.

“These are the building blocks for ensuring the continued success and sustainability of cooperatives in Kenya.”

The sector plays a pivotal role in the economy by providing members with access to credit, savings and investment opportunities, especially in rural and underserved communities.

In Kenya, cooperatives boast a membership of over 14 million members, controlling assets exceeding Sh1 trillion, and accounting for almost 30 per cent of the national savings.

Speaking during the event, CIC Group MD Patrick Nyaga said that the company seeks to cultivate a robust environment for cooperative societies to thrive locally and in the region through continuous capacity building, technological adoption and financial solutions.

“Cooperatives are the backbone of financial inclusion in Kenya, and as we mark the International Year of Cooperatives in 2025, our contribution to their sustainability goes beyond providing risk and asset management solutions to empowering them for resilience through capacity building,” Nyaga said.

The summit, themed “Promoting Sustainable Cooperative Enterprises,” brought together key stakeholders, policymakers, and industry leaders from cooperative societies to discuss the new cooperatives bill, as well as provide a platform to table pressing challenges.

The NSE-listed insurer has further actively engaged in inculcating leadership and governance skills among cooperative society leadership through national and localised training.

It has also provided tailored risk management solutions among other financial services such as life insurance, business protection, and asset management, ensuring cooperatives are well covered.

The summit called leaders to embrace sustainable business practices.