Page 18 - SACCOStar Mag Vol 46 Press_txt.pdf

SACCO INDUSTRY WATCH

SACCOs push for Legal Reforms

?>sYEA<A?sws

Hon. Peter Munya, Cabinet Secretary, Ministry of Industry, Trade and Co-operatives speaks to leaders during the SACCO Leaders’ Convention.

KUSCCO Ltd organized the Also present in the event was George He also called on Treasury and
4th Annual SACCO Leaders’ Ototo, MBS, Managing Director, KUSCCO legislators to review amendments to
Convention, at the Pride Inn Ltd who noted that SACCOs lack a the Income Tax Act, through the Finance
Paradise Hotel in Mombasa. The event comprehensive legal framework to Act 2018 and retain the withholding tax
was attended by more than 600 people support them. Further, he singled out @S ENQ 2 "".R @MC "NNODQ@SHUDR
from the public and private sector the need for a National Co-operative since the provision was discriminatory
and graced by Hon. Peter Munya, MGH Policy. “The sector is currently governed to the sector and discriminates against
Cabinet Secretary, Ministry of Industry, by Sessional paper no 6 of 1997, which co-operatives given that other forms
Trade and Co-operatives. does not accommodate the current of enterprises were excluded. He
legislations, and is not aligned with said that the tax would negatively
The leaders deliberated on participation the Constitution of Kenya 2010, which @?DBS B@OHS@KHY@SHNM HM 2 "".R RHMBD
of SACCOs in the Government’s Big Four devolved the Co-operative function,” he members may reduce savings and
Agenda. The movement which has about said. He noted that the policy gap left shares mobilization. SACCOs may also
14 million members will play a major role the sector vulnerable to unfavorable RSQTFFKD SN LDDS B@OHS@K @CDPT@BX
HMENNCRDBTQHSX@MC@?NQC@AKDGNTRHMF legislation and unscrupulous people Q@SHNR QDPTHQDC AX SGD QDFTK@SNQ HE SGD
pillars of the Big Four Agenda. Speaking who use the SACCO model without the motivation to save is interfered with.
during the Convention, the National and attendant practices.
Group Chairman Mr. George Magutu
lauded the co-operative movement for From Left: George Ototo, Managing Director, KUSCCO Ltd, Mary Mungai, Commissioner for
OK@XHMF @ JDX QNKD HM ?M@MBHMF SGD K@MC Co-operative Development, Hon. Peter Munya, Cabinet Secretary, Ministry of Industry, Trade and
and housing sector. He cited a recent
QDONQS NM RDBSNQ@K ?M@MBHMF EQNL SGD &RRSHUDWLYHVDQG*HRUJH0DJXWX1DWLRQDO&KDLUPDQ.86&&2/WGLQDSUHVVEULH?QJGXULQJ
SACCO Societies Regulatory Authority the SACCO Leader’s Convention.
(SASRA), which revealed that from the
over Kshs 300 billion borrowed by
members in 2016, Kshs 118 billion,
accounting for 36 percent, was
borrowed to fund housing projects. He
called on the Government to give more
tax incentives to housing cooperatives
and enforce them as a policy direction
for immediate implementation.

16| SACCO Star Magazine