•Sacco chairman Kennedy Keya said this translates to an increment of Sh 2.2billion.
•Overall loan portfolio increased to Sh9.12 billion from Sh7.44 billion in 2021 translating to a 22 per cent growth.
The Invest and Grow (IG) Sacco has recorded a 34 per cent growth in loan disbursement to members in the last financial year ended December 2022.
This is from Sh6.4 billion in December 2021, to Sh8.5 billion last year, an increase of about Sh2.1 billion.
The Sacco has also reported a 46 per cent growth in income based loans compared to investment based loans, Sacco chairman Kennedy Keya said, with growth performance standing at 20 per cent.
This, Keya said, was driven by the review of the credit policy that extended repayment period, prompt loan disbursement and multiplier factor of the products.
The chairman spoke during the 45th Annual Delegates meeting held on Friday in Kisumu.
“To sustain this steady growth of our loan disbursement, the board will continuously keep on reviewing the credit products features to ensure they meet the members’ needs in the current economic environment,” Keya said.
The overall loan portfolio increased to Sh9.12 billion from Sh7.44 billion in 2021, translating to a 22 per cent (Sh 1.67 billion) growth.
The chairman attributed this to increase in loan uptake following the review of the credit products features.
IG Sacco Ltd is a SASRA licensed Deposit-Taking Sacco with an asset base of more than Sh12.95 billion, as of December 31, 2022.
The chairman’s report further shows that during the same period, the Sacco assets grew from Sh11.69 billion in 2021, to Sh12.95 billion in 2022, realising an 11 per cent (Sh1.26 billion) growth.
The overall IG Sacco income increased to Sh1.86 billion in 2022 compared to Sh1.71 billion in 2021.
IG Sacco assets base has continuously grown over the past years arising from the continuous contribution by members towards share capital, and other monthly subscriptions to non-withdrawable deposits.
During the period under review , the sacco reported an improved share capital by 15 per cent, thus Sh1.3 billion in 2022 from Sh1.1 billion in 2021.
This has been attributed to the annual increment of share capital by Sh4, 000 per member as per the strategic plan.
FOSA patronage equally recorded an improvement during the year, where FOSA salary earners increased to 16,144 compared from 15,357 in 2021.
Its AKIBA Scheme subscribers grew to 18,159 subscribers in 2022, up from 17,457 in 2021.
“We therefore humbly request delegates to intensify recruitment of new members especially new teachers employed recently and FOSA salary earners to increase patronage of FOSA products,” Keya said.
They include Akiba savings, FDR, holiday savings and Nyota Ndogo savings to increase the income.
Currently, the Sacco is carrying out members’ education program across thirty-two divisions within Kakamega, Vihiga and its neighbouring counties.
It is set to roll out an upgraded Sacco core banking system, which will automate most of its operations.
Keya said they establishing a Call Centre and CRM system that will enhance members’ service delivery and prompt communication.
IG Sacco was formed in 1977 and registered as a Co-operative Society, with a total membership of 115, which has since grown to 26,000.
Majority of them are teachers.
“Through visionary leadership, committed members and staff, the Sacco has undergone tremendous transformation and developed its rich history over the years,” Keya said.
The Sacco rebranded from Kakamega Teachers Sacco Ltd, KATECO to IG Sacco Ltd in 2015.
The chairman announced plans to open branches in Kisumu, Busia, Siaya and Bungoma counties to bring services closure to clients.