Kenyan based Saccos, which are democratic, unique member driven, self-help co-operative, have been deemed ripe for technology disruption.
This was announced by Joel Onditi, CEO, Pathways International, during the premier SaccoTech Forum, organized by CIO East Africa, being held at the Serena Hotel, Nairobi, Kenya, who said: “looking at this (Kenyan) market from a technology point of view Saccos are the next big thing when it comes to the next industry to be disrupted by technology,”
The growth trajectory gained by deposit-taking Savings and Credit Cooperatives (SACCOs) in 2017 was according to key financial growth parameters appealing. With total assets increasing to Ksh 442.27 billion in 2017, it reflected a growth rate of 12.4 percent from the previous year. The total loans shot to Ksh 331.2 billion reflecting a hike of 11.29 percent from 2016; while deposits grew to Ksh 305.3 billion reflecting a growth rate of 12 percent from the previous year.
Unlike in the banking sector, this growth has happened with very little technological interventions, but the sector is now ripe for technology driven efficiencies and innovation; to digitally transform and deploy technologies to meet changing customer demands and transform the customer experience. It is against this background that CIO East Africa is hosting the premier SaccoTech Summit.
“East Africa SaccoTech Forum purposes to explore technology use-case sand discuss ways in which the Sacco Societies can effectively identify, adopt and benefit from the implementation of disruptive technologies including Artificial Intelligence and Big Data.” Laura Chite, CEO CIO East Africa, concluded.
Onditi further explained, it is forums such as the SaccoTech that will help Saccos plan their next move with the fourth industrial revolution just around the corner. The forum, themed: Harnessing technology in SACCOS for Socio-Economic Development kicked off with a boom, with over 100 Finance and IT Professionals from across the country attending.
On their part, Onditi says that Pathways is ready to help Saccos make the right steps towards digitization by providing them with the propper solutions.
“We specialise in helping to make sense of your data. We are experts in Multi-System Integration, Analytics and Business Intelligence. We implement Software Solutions that Enable Automation of Operations as well as Support Analytic Initiatives,” Onditi added.