The government is committed to reform and strengthening of the SACCO sector and today announced the inauguration of two key institutional frameworks aimed at accelerating governance, accountability, and regulatory reforms.
The Ministry of Co-operatives and Micro, Small and Medium Enterprises (MSMEs) Development Cabinet Secretary (CS) Wycliffe Oparanya said he had inaugurated a five-member Committee of Experts mandated to review the SACCO Societies Act, 2008, and propose legislative and institutional reforms that align with emerging sectoral trends and global best practices.
Speaking in his office, the CS said that the committee will evaluate the relevance and effectiveness of the current SACCO Societies Act and align the Act with Cabinet-approved policy directions, which include the establishment of a Central Liquidity Facility for all SACCOs, the creation of a SACCO Deposit Guarantee Fund and also the development of a shared services legal and administrative framework.
The committee will also review the SACCO regulations to support effective implementation by analyzing the current SACCO operations within the regulatory environment, benchmarking with global SACCO models and recommending context-specific solutions and also evaluating SACCO administrative structures for effectiveness. "The Committee will serve for a three-month period, and is expected to provide comprehensive and actionable recommendations to guide future legislative amendments," Oparanya said.
