Prime Cabinet Secretary Musalia Mudavadi has said the government is working on amending the Sacco's Society Act.
Mudavadi was speaking on Wednesday at Ol Kalou town during the inauguration of the Tower Sacco building in Nyandarua county.
"We are in the process of amending the Sacco Societies Act to establish a central liquidity facility and a shared-services platform," he said.
He said the central liquidity facility will improve cooperatives’ services to members and cushion them against financial risks.
The central liquidity facility will also boost liquidity in the Sacco sub-sector by providing for short-term inter-Sacco borrowing, and access to the National Payment System.
Mudavadi said President William Ruto is committed to implementing the Sessional Paper number 4 of 2020 on National Cooperative Policy.
He said the Sessional Paper provides guiding policy in legal, institutional and capacity building of cooperatives, in a devolved system of governance.
“As part of implementing the Sessional Paper, we have a draft Cooperatives Bill which is in the process of being introduced in Parliament," Mudavadi said.
The Prime CS said the government also aims at undertaking key Cooperatives reforms that will include revitalisation of key production value chains in agriculture, to improve the livelihoods of farmers.
“We therefore also encourage MSMEs to transit into Cooperatives to provide skills and building materials to the housing sector," he said.
"This will complement government programmes to facilitate the provision of common basic infrastructure to qualifying Cooperatives and other real estate developers."
Mudavadi said the government is exploring ways to maximise leveraging on the existing cooperative structure in rolling out affordable housing; universal healthcare; and pension schemes, to Kenyans at the bottom of the economic pyramid.
