Imarika Sacco Set to Soar Higher in 2021 Driven by Technology

TECHNOLOGY Imarika Sacco Set to Soar Higher in 2021 Driven by Technology

By Anthony Mwachiro

The Coast giant Imarika Sacco is set to scale greater heights of success in 2021; if the budget projections unveiled during the Society’s Special Delegates Meeting (SDM) held at a Mombasa resort, are anything to go by.

In attendance were the KUSCCO Advocacy Manager Mercy Njeru, who represented Mr. George Ototo, KUSCCO Group Managing Director; Kilifi County Government Chief Officer in the department of Trade, Tourism and Co-operative, Mary Mkare; Mr. James Mwasi, Kilifi County Commissioner of Co-operatives; Mr. David Mategwa, Chairman Kenya Police Sacco; Mr. Joseph Munga of CIC and Mr Frederick Nguma, KNUT Malindi branch Executive Secretary. The Society has projected an asset growth of Kshs 1.2 billion in the year 2021.

Technological advancements are at the epicenter of the Society’s 2021 projected plans, as emphasized by the Chairperson Mr. Renson Ndoro in his speech; which assured members of continued sourcing for digital channels to enhance convenience and bring services closer to members, especially in the wake of the Covid-19 pandemic as a measure to safeguard members.

The move is well aligned to guidelines issued by the Sacco Societies Regulatory Authority (SASRA), on best practices for Co-operatives to navigate during these turbulent times. In addition, the move is a step in the right direction in acceptance to Challenge 2025, set by the World Council of Credit Unions (WOCCU) on digitalization of the global co-operative movement.

“In light of this, the Sacco is in the process of rolling out an Agency banking platform that will enable members to access Sacco services, without travelling to the physical branches. The Agency banking platform dubbed “Imarika Papa Hapa”, will not only serve existing members but also for on boarding new members, thus assist in growing the Sacco membership.” Stated the Chairman Mr Renson Ndoro.

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“The effective use of technology in the development and delivery of financial products and services; is one of the ways that the sector can position itself to sustain growth. Again the millennials who we target as potential members, are always on their phones and it’s good as the Sacco fraternity to come up with products to bring them in.” the Kilifi County Government, Chief Officer, in the department of Trade, Tourism and Co-operative, Mary Mkare advised, maintaining that the future of the financial sector is through technology.

The Sacco intends to greatly increase membership having allocated Kshs 43 million, in their 2021 budget for marketing purposes, with plans underway to open a new branch in Mombasa County. Statistics from the Sacco’s marketing department indicate a positive growth trend. Despite the pandemic, the department was able to recruit about 6645 new members, between January to September 2020.

Imarika Sacco has been growing at a fast pace and the management, emphasizes on the need to serve members more efficiently and satisfactorily. In this regard, the Society’s General Manager in Finance, Mr. Josephat Kitsao, revealed that they have reviewed the interest rate as

they focus to make members feel more comfortable.

According to the Chairman, the Sacco has been growing at an average growth of 13% from 2017 to 2020.

“Due to the impact of the Covid 19 pandemic in 2020, the Sacco has registered a significant drop with the actual anticipated amount to be realized in total assets is at Kshs 9.2 billion, compared to the target of Kshs 10.2billion. For the business plan 2021, the board and management propose a 13% projected growth.” He noted, further revealing that the management has invested heavily in technology, including the acquisition of a USSD code *440# to facilitate mobile banking services.

“We started piloting our new USSD system with a few members of staff, board members, delegates and finally the entire Sacco membership. This service which will be rolled out this November, will see deposit transactions via the Sacco Mpesa pay bill number 4404404, which shall be posting directly to the members’ accounts.” he added.

Mary Mkare keenly pointed out that Imarika Sacco was the largest Sacco in the Coast, controlling Kshs 5.8 billion of the Kshs 6.2 billion total funds by the Co-operative sector, as at December 2019; with 94% of residents in Kilifi being members of Imarika. According to her, Imarika Sacco 6

remains the leading financial institution in Kilifi, in the provision of requisite funds for capital investments.

“As the County department in charge of co-operatives, we will continue to support the capacity of leaders and members through education and training.” She stated, further challenging the management to have a team that will keep innovating products and services for members. The Cooperative development office assured the Co-operative movement in Kilifi, of their commitment in providing the necessary playing ground for prosperity in the sector.

The Sacco is looking forward to the official opening of the long awaited Imarika Plaza, with the completion date set for the 30th of November 2020.

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1) 2) Imarika Sacco chairman Renson Ndoro making a point during

their SDM. Imarika Sacco’s supervisory commitee chairperson, Masoud Mangale, making a presentation during the SDM.

3) Mary Mkare, Chief Officer in the department of Trade, Tourism and Cooperatives in the county government of Kilifi addresing delegates as chief guest during their SDM.

4) Section of Imarika Sacco delegates during their SDM at a mombasa resort.

5) Section of Imarika Sacco delegates during their SDM at a mombasa resort.

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Kilifi county government cooperative development officer Mary Mkare shares a point with Imarika Sacco chairperson, Renson Ndoro during their Meeting. Pictures by Anthony

Mwachiro.

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