NAIROBI, Kenya – Harambee Sacco has proposed an all-time high interest payout on deposits at 9%, up from the 8.5% paid in 2023, national chairman Macloud Malonza has announced.
Malonza further revealed that the Sacco plans to pay a record 15% on share capital, an increase from the 12% paid out in 2023.
“This trend is likely to continue. The Board has approved a management proposal to offer our members an additional 3% rebate on any dividend capitalized and a 2% rebate on any interest on deposit reinvested into their BOSA account,” Malonza stated during the 54th Harambee Sacco Annual Delegates Meeting.
Strong Financial Performance
Harambee Sacco’s Chief Executive Officer, George Ochiri, reported a net surplus of Ksh1.46 billion in 2024, up from Ksh1.2 billion in 2023. The Sacco’s total revenue grew from Ksh5.7 billion in 2023 to Ksh7.01 billion in 2024.
Ochiri explained that the net surplus should not be viewed as profit but as an excess of payments made by members on loans borrowed, goods, and services acquired through the cooperative.
Total assets rose from Ksh36.7 billion in 2023 to Ksh38.6 billion by the close of 2024, while the loan book expanded from Ksh29.1 billion in 2023 to an all-time high of Ksh32 billion.
Harambee Sacco’s core capital also saw significant growth, increasing from Ksh5.1 billion in 2023 to Ksh6.3 billion in 2024, while share capital rose from Ksh2.3 billion to Ksh2.5 billion.
Challenges and Future Plans
Despite these achievements, Ochiri acknowledged that some planned projects were not realized in 2024. The Sacco had intended to open five new satellite offices across the country and renovate the FOSA Nairobi Branch and the third floor of the Sacco Plaza, but these initiatives were postponed.
“This is yet another project we have no option but to actualize, and we have therefore moved it forward,” Ochiri stated.
Strategic Focus for 2025
Harambee Sacco has set “Exceeding Expectations” as its strategic theme for 2025. Malonza described it as a commitment to surpassing previous performance and breaking barriers to achieve greater success.
Reflecting on 2024, Malonza highlighted the challenges posed by global and local economic hardships, Gen-Z-led political demonstrations, and increased tax obligations.
“Despite operating in an increasingly harsh macroeconomic environment and dealing with geopolitical disruptions that raised the cost of doing business and reduced disposable income, Harambee Sacco remained agile and resilient,” he stated.
Malonza added that many of the challenges that previously hindered the Sacco’s progress have now been resolved, ensuring full compliance with key statutory regulations.
“As an institution, we now stand free of past burdens. Harambee Sacco is now compliant with all key statutory ratios,” he affirmed.
