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SACCO INDUSTRY WATCH
SMARTLIFE SACCO UPHOLDS AN
UPWARD GROWTH TRAJECTORY
By Noah Amunga
Smartlife SACCO has been in an upward growth trajectory for
the past five years according to the Society’s financial report.
Francis C. Kiprop, Chairman The Society, formerly Marakwet Teachers SACCO Society, had assets totaling to Sh1.1
Smartlife SACCO billion by the end of December 2018, a 12 percent increase compared to Sh761 million
a similar period in 2014.
Smartlife SACCO CEO Mr.
Harun Biwott Speaking during the Society’s Annual Delegates Meeting (ADM) at Marakwet Teachers’
Housing Hall, the Chairman Francis Kiprop pinned the continued remarkable growth on
the support and goodwill from the Society membership and other stakeholders in the Co-
operative movement in general.
“I wish to thank the Ministry, our general membership, members of staff and all our
stakeholders for their co-operation, counsel and team work exhibited to enable us
discharge our responsibilities which has led to the success of the Society,” Kiprop said.
The report also showed that the amount of loans disbursed to members in 2018 rose from
Sh818 million by December 2017 to stand at Sh862 million in a similar period in 2018.
Likewise, revenue generated by the Society had an upward growth by Sh11.9 million
which represents 12 per cent increase from Sh98 million in 2017 to Sh110 million in
2018.
The Society said that the approved budget of Sh103 million in 2018 was achieved which
was commendable. Also, the expenditure was within the 2018 budget and the ones with
negative variance were netted by positive variance in other vote heads.
Members' deposits had a similar trend by increasing to Sh660 million in 2018 from Sh615
million 2017 being an increase of 7 per cent.
The Chairman also reported that the capital adequacy position of the Society was
consistent with the prudential requirements.
“We achieved an improvement in liquidity ratio from 3 percent in 2017 to 13 percent
in 2018 of the total deposits. The Society will continue making healthy retentions to
guarantee our stability going forward,” he said.
The Society is continuously training members, staff and board to enhance growth.
In a bid to enhance the SACCO’s liquidity as well as deal with loan backlog, members’
deposits contribution was increased to 10 percent of their basic salary in order to curb
funds loss discovered by the recently contracted auditor.
In addition, following an inspection by the State Department of Cooperatives, the Society
resolved to shut agency banking platforms for both Kapcherop and the head office.
He said that loan processing, salary processing, cheque clearance had been centralized.
16| SACCO Star Magazine
