Boresha Sacco opens branch in Iten, Elgeyo-Marakwet County

GROWTH Boresha Sacco opens branch in Iten, Elgeyo-Marakwet County

By Kipturgut Enock

The renowned Boresha Savings and Credit Cooperative Society is set to scale the heights of success with new growth and expansion strategies, that were resolved at the 29th Annual Delegates Meeting (ADM), held at Teachers Plaza in Eldama Ravine, Baringo County, under strict guidelines, as set by the Ministry of Health to curb the spread of the Covid-19 pandemic.

The Delegates unanimously endorsed a plan to upgrade the Iten marketing desk to a fullyfledged branch and commence construction of the Multimillion Marigat plaza upon approval by the Regulator. This will be the third office building of the Sacco.

KUPPET Chairman Baringo Branch Mr. David Toroitich adressing delegates.

The Sacco Chairman Mr. Albert Chebiegon, urged members who are yet to embrace the digital shift in technology, to register at the branches, to get prompt and more convenient and efficient services through mobile phones.

Dr. Moses Chebor, SACCO CEO Addressing the Delegates.

This move is vital especially in the wake of the Covid-19 pandemic, where everyone is advised to avoid crowded areas, to mitigate the spread of the deadly coronavirus disease. “We continue to upgrade our mobile lending channels and technology to keep up with our competitors in the sector,” he noted. The Chairman added that Boresha Sacco society’s main objective, is to provide savings and affordable credit facilities to the members, in a bid to

empower them economically.

The Sacco loan book stand at Kshs 5.7 Billion. This has largely contributed to the micro economic growth in the government’s Big Four agenda in Manufacturing, Housing, Food Security and Universal Health Coverage. “The society lends its members development loans, school fees and agri -based loans, enhancing the economic growth through transformation of members’ livelihoods,” he added.

The Chairman lauded the Delegates, Management, Board of Directors, Managers and staff for their excellence in member recruitment in the year under review. Sacco members increased to 108,196 from 95,382 in the previous year, recording an increase of 13%.

The Chairman further called upon delegates to continue Sacco patronage through recruitment of new members. He thanked all members who attended their annual educational meetings that were held in February and March, in all Sacco electoral areas, where members were trained by selected facilitators.

“We assure our members that all the concerns raised in the educational meetings will be addressed by the board,” Mr. Chebiegon noted. On governance, the Sacco’s electoral policy serves as the guideline, towards member representation procedures and elections, which spells out the minimum qualifications, for both delegates and board of directors, to be nominated for elections.

The rotational retirement and elections of delegates, implementation was done this year, with delegates from Barwesa, Lembus, Torongo, Kipng’orom, Sirwa, Esageri, Kabartonjo, Kipsaraman, Bartabwa, Mogotio, Tiaty, Marigat/Mukutani, Eldoret and Kapsabet held their elections. 74 delegates were retained, while 34 new delegates were elected, in these areas and three are still vacant, making a total of 111 seats.

Mr. Chebiegon congratulated all the delegates and urged them to represent members well in their respective clusters, for a term of three years. “Delegates from Mochongoi, Kisanana, Eldama Ravine, Mumberes, Tenges, Sacho, Kabarnet, Salawa and Nakuru clusters, will hold their elections in 2021,” he noted.

During the ADM, the Chairman reported that Board of Directors and Committee members, who were due to retire both as delegates and directors, as per the one third rotational policy applicable annually, were reelected by delegates in their respective areas to serve a threeyear term.

e.g Albert Chebiegon (Board Member-Barwesa), Moses Cheplallam (Board Meber-Lembus/Torongo), John Lessonet (Board Member- Kipng’orom, Sirwa & Esangeri), James Chepchieng (Board Memeber-Kabartonjo) and Evans Mengich(Supervisory-North Region) Ronalds LLP East Africa was appointed as the new external auditor after the exit of Kibiego and Kiptum auditors, who has been auditing accounts for the past three years. The chairman lauded them for doing their work with dedication and their timeliness. The ADM ratified the payment

Ms. Pamela Wanyancha, Koibatek/ Mogotio Sub County Co-operative Officer addressing Delegates.

of dividends on share capital at 12.2%, interest on members’ deposits at 9.1% and Bonus on Equity shares at 8.5%, a total of Ksh 312,244,208.

The Chairman congratulated the outgoing CEO, Dr. Moses Chebor who has been on the helm and diligently served the Sacco for over thirty-five years.

Dr. Moses Chebor observed that the Society, has been growing gradually, in all its areas of operations, due to a good governance structure; which include membership, revenues,

asset base, empowerment of

members and the community at large, since its inception forty four years ago. He added that the review of the Society’s strategic plan in the year under review, has guided the society’s performance on targets and key activities.

The Sacco registered sterling performance, with the asset base growing by 8% from Kshs 6.7 billion to 7.3 billion in the year under review. This has necessitated the regulator, to rank the Sacco under the tier one category and position 19

in asset base out of the 175 Saccos licensed by SASRA to operate FOSA as a Deposit Taking Sacco in the country. Share capital increased from Kshs 373.4million in 2018 to Kshs 425.1 million in 2019, an increase of 14%.

Equity shares increased from Kshs 237.5 million in 2018 to Kshs 249.7 million an increase of 5%. The total Sacco revenue grew by 20%, to Kshs 1.2 billion from Kshs 1.06 billion in 2018, which ranked the Sacco at position 15 in total revenue.

Member deposits increased to Kshs 4.7 billion in 2019, compared to 4 billion in 2018, an increase of 17%, with 80 members having over one million savings/deposits. The highest saver with Kshs 18 million with a cumulative deposit of Kshs 130Million.

Dr. Chebor urged members to voluntarily contribute equity shares, for the construction of the Sacco’s own office, (Boresha Plaza), at Marigat highlighting that members have so far contributed Kshs 5.0.

He added that the management, has set a side Kshs 30 million, from the Sacco reserves, for the commencement of the construction works upon grant of the approval from the regulator.”

The vibrant Sacco held a luncheon for the top savers at Lake Bogoria early this year to appreciate them for their commitment ,royalty and trust in the society.

“Delegates were challenged to continue saving more reward on their savings/deposits”. said Chebor. He assured members that the Sacco management, continues to improve on quality of services, by reaching out

Delegates at the ADM

to other key partners in the industry, through networking, benchmarking and training programmes, to ensure that members demands and needs, remain competitive in the market, as the financial provider of choice in its areas of operation.

The management acknowledged members who have embraced M-Boresha platform, in accessing financial services, through mobile devices. “We encourage our members who are yet to register, to do so in branches close to them, so that they can be able to access the financial services at the comfort of their home,” he added.

The delegates approved and appointed Ronald Bowsy and Associates, as the Society external auditors, to audit the Sacco accounts for the next three years.

Dr Chebor assured delegates and members that the management and Board of Directors have employed skilled personnel to serve members in in branches.

He thanked members for their loyalty to the society, Board of Directors, Management, Supervisory committee and staff for their commitment and hence the realization of good performance in all areas of operations.

He further lauded the partners and stakeholders, Co-operatives, CIC, KUSCCO, national and County Governments for their support to the Sacco. The supervisory committee led by the chairman Wilbert Mammet in their findings, said that the Sacco is on the right path of development, after realization of the Sacco’s ratios.

The Sacco treasurer Mr. Henry Limo read the budgets for the previous financial year and the anticipated budget 2020/2021, that was approved by the delegate system.

The finance Manager CPA Prisca Lagat trained the delegate system on the Sacco’s financial ratios and presentation of the Sacco financial statements.

The acclaimed Boresha Sacco is set soar higher with the implementation of these new strategies.