Ukulima Sacco unveils plans to grow share capital to Sh1b
Ukulima Sacco has announced plans to involve its highest depositors in an ambitious plan to raise its share capital to at least Sh1 billion in the next two years.
National chairman Philip Cherono also announced during an investors forum that the plan would see the society’s deposits increase to Sh11 billion from the current Sh9.1 billion.
“Our highest depositors shall be a key integral stakeholders that shall see the Sacco realise its set strategic objectives as outlined in the strategic plan,” he said during a two-day virtual event that brought together the Sacco’s 300 top investors.
During the forum, Cherono announced that the Sacco has introduced three distinct clubs that will offer various value addition to its top savers as part of recognising their support towards the Sacco’s growth.
“We shall have the highest savers join the privilege club which shall be the apex category followed by premium members and finally bronze members. Members in the lower categories shall be migrated as their deposits and share capital contributions grow gradually,” he said.
Other projections outlined during the event include growing the loan book from the current Sh10 billion to Sh11 billion. This will also see an increase in the Sacco’s market share from 4.2 to 5 per cent.
Ukulima Sacco CEO Richard Nyaanga said already the society is implementing an ICT infrastructural upgrade that will include integration of business intelligence, increase in network bandwidth and installing a contact centre that will result in increase in customer satisfaction.
“Customer satisfaction will be our key driver to enable us achieve these targets,” he said.
Nyaanga said the Sacco’s partnership with Kenya Mortgage Refinancing Company will see Kenyans benefit from affordable housing loans to propel the housing pillar in the Big Four agenda.
“Our Makao bora and Makao Halisi loans shall be issued to new members joining the Sacco and shall not be under the current guarantors’ policy but shall be collateral based,” he said.
Nyaanga said the housing loans will be issued at a rate of 7 per cent and 9 per cent for low and high income earners respectively.
