Blog
CHAIRMANS REPORT 2018
Dear Members,
It gives me great pleasure to present the Solution SACCO Annual Report and Financial Statements for the year ended 31st December 2017.
Operating Environment
The SACCO maintained resilient performance in a very challenging economic environment occasioned by protracted presidential elections, which have caused political uncertainty and adversely affected all sectors of the economy. Other adverse factors include prolonged drought that brought food inflation stressing disposable incomes. The capping reduced private sector growth. From the latter, we dropped our rates to match those of other financial institutions. The financial sector and especially banking sector in Kenya has also been experiencing turbulence reflected in low asset quality, liquidity and solvency challenges, and contracting cash circulation During the recent past we have experienced bank failures.
Solution SACCO Capital Raising Initiatives
In order to accelerate SACCO growth, tap into the unfolding opportunities and serve our members efficiently, the Board has taken deliberate effort to strengthen the SACCO’s capacity to raise both share capital and debt to support increased lending to members.
Share Capital
In the near future, the Board will launch an initiative to raise share capital of the SACCO. I appeal to all members to respond positively when called upon.
Employees and Values
The SACCO had a total number of 122 employees as at December 2017.
The Board values the staff and will constantly strive to invest in enhancing their skills set to match set growth demands of the SACCO and members.
We operate in an extremely competitive environment that has a lot of challenges in retaining the best talent. For this reason the Board has adopted performance based reward and retention practices.
We endeavor to instill and live the SACCO’S core values of Creativity and Innovation. Integrity, Effective Leadership and Governance, Teamwork and Professionalism. These values guide both the employees and board in all our dealings across the organization.
Positioning For SACCO Growth
Current Growth
Last year 2017, the SACCO started an organizational transformation program. The transformation programs aims at building capacity for rapid SACCO growth, operational efficiency and delivery of exceptional member experience.
Future Growth
The SACCO has developed grower oriented strategy which when fully implemented will see the SACCO Total assets rise to Kenya Shillings Ten Billion (10Bn) by year the 2020.
To achieve this growth the Directors have authorized investments in channels of serving members including Branches, Agencies and Mobile Banking Platform by name HudumaSasa!
From April 2018, through the mobile platform HudumaSasa!, all teachers will apply for loans from their staffrooms without the need to visit the SACCO.
By year 2020, we expect to have more than 60.000 members, 24 Branches and more than 240 Agencies serving our members across Nine Counties.
This year, we shall open the 10th Branch in Nairobi situated at tea room.
Appreciation
We would not be where we are today without the consistent, unwavering loyalty and support of our members and various stakeholders.
The Board, Management and Staff highly appreciate the support of our over 14.000members
The Board and Management of Solution SACCO assure them of our commitment to growing member value and providing appropriate products and unparalleled member experience.
Our members are the reason for our SACCO. We do not take their support for granted and continually strive to be worthy of the trust bestowed on us.
We also remain highly appreciative of our business partners and the regulators who continue to provide invaluable support.
To our employees, I wish to express our heartfelt gratitude for making year 2017, truly transformational and playing your part in making it a success.
Lastly, I thank my fellow board members for their contribution and commitment to the SACCO at both the committee level and at the full board of directors level.
Peter K. Igweta , CHAIRMAN
