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Mombasa port Sacco to reach out for savers in Lamu and Kisumu

4 min read
The Sacco has FOSA Emergency loan which is repaid within one year, FOSA Prestige repaid in 6 Months, FOSA Ordinary, Salary Advance, School fee loan, Emergency loan and Masaa loan whose features are the same as an Emergency loan.

Mombasa Port CEO, Dedan Ondiek (right) joining the delegates following the proceedings of the meeting. Photo by Anthony Mwachiro

Mombasa port Sacco is planning to set up liaison offices in Lamu Island and at the lake side city (Kisumu) in order to meet the rising demand of its increasing membership.

According to Alfred Konde Jaka chairperson of the board of management the Sacco is taking advantage of the expansion of the port activities in accordance with Kenya port Authority master plan.

“We anticipate that by the end of first quarter of 2020 we will have established these offices to tap in the potential in it. Again some of our members might be transferred to these areas yet our focus is to have them enjoy the services of the Sacco wherever they are,” says the chairperson.

He was speaking during the Sacco’s special delegates meeting (SDM) held at the society’s hall in Mombasa. The Sacco is now opened to the general public after it broke the common bond which had limited its membership to only workers at the port.

The chairperson says his board is now focusing on how to attract and recruit more people hence increase Sacco membership even as the available statistics at Sacco indicate a positive trend with membership growing to over 8,000 and an asset base of 5.3 billion.

He further reveals that Mombasa Port Sacco is working on measures that will see the Sacco achieve its goals which include investing in trainings for all stakeholders thus members, delegates and management.

Jaka, “We have set aside about 22 million shillings for marketing and exploring new opportunities geared towards increasing the membership.”

During the occasion, delegates passed their budget proposal of 973, 209, 000 for the year 2020 which according to the Sacco’s treasurer Gervas Mwole during his presentation is an increase of 13% from this year’s 860, 3688,000.

Mwole says, “88% of the income is expected to be generated from loans and short term advances to members while the balance of 113,055,000 will be generated from other sources.”

The Sacco is expected to increase their rental income from 3.2 million in 2019 to 8.1 million in 2020 this is after completion of their new building.

Mombasa port Sacco has been performing well gaining regional regional and national recognition. When Kenya celebrated Ushirika day this year, the Sacco won a trophy for being the best managed Sacco in Tier 1 in the parastatal sector, Best Managed Employer Based and Best Capitalized Tier 1 Sacco among others.

The management is attributing this positive trend to strong partnership between the members, delegates and management.

“Our focus is maintaining good governance and sticking to our agenda as a society. We have managed to be where we are now as a result of good leadership and support from our members. We have been and will still invest heavily on members’ education,” Jaka told Sacco Times Magazine.

In a statement to delegates the board chairperson maintained that 2020 budget had been enhanced to accommodate further trainings to members both within and outside the country.

In relation to the agenda four, Mombasa Port Sacco is in the process of ensuring members have access to affordable homes through the registration of a housing cooperative.

“Interested members are encouraged to participate and join the housing cooperative once its made operational,” says the Chairperson.

Registered in 1966 , the Sacco has been licensed by SASRA to undertake deposit-taking popularly known as Front Office Service Activity or FOSA.

Mombasa Port CEO, Dedan Ondiek (right) joining the delegates following the proceedings of the meeting. Photo by Anthony Mwachiro

The society runs FOSA and BOSA activities with each having its own financial products and services.

“Our FOSA commenced operations in 2010 offers deposit-taking services and continues to grow in clientele and the business volume as well,” says the Chairman.

For Fosa Deposits, members contribute a minimum of Ksh 1,000 every Month and are also available for those who do not contribute to Deposit but wish to get big loan advance. Interest on Fosa deposits is paid at an interest of 6% per annum.

The Sacco advances loans to the salaried members as well as the businessmen and women and groups. It also has tailor made products that suit its pool of members that are both long and short term loans attracting affordable interest rates.

Our Loans products include: Jiendeleze Loan, Mega Loan, Normal loan, Additional Normal loan,  FOSA Jumbo loan, FOSA Premium loan, Business Loan, FOSA Emergency loan, FOSA Prestige, FOSA Ordinary, Salary Advance, School fee loan, Emergency loan and Masaa Loan,” says the Chairperson.

The Sacco also has FOSA Emergency loan which is repaid within one year, FOSA Prestige repaid in 6 Months, FOSA Ordinary, Salary Advance, School fee loan, Emergency loan and Masaa loan whose features are the same as an Emergency loan.

For Share capital, member purchase share capital with the minimum shares being Ksh 3,000. The shares capital are paid a dividend at the end of the year.

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