Kenyan Savings and Credit Cooperative Societies (Saccos) are set for a major digital shift following the launch of SaccoVerve, a cloud-based core-banking platform unveiled in efforts to modernise the sector.
Speaking during the sector CEOs forum in Nairobi, City County chief officer for Cooperatives, George Mutiso, said the ongoing cooperative reforms under the proposed Cooperative Bill 2024 would heavily prioritize digitization, transparency, and accountability.
According to him, the reforms seek to reduce financial irregularities, protect members’ savings, strengthen governance structures, and improve confidence in the cooperative movement.
“The future of Saccos lies in full automation of services. Digitization is no longer a choice if cooperatives are to remain transparent, accountable, and competitive,” Mutiso said.
He said the reforms would also empower the Sacco Societies Regulatory Authority (SASRA) with broader oversight powers to allow constant monitoring of Sacco operations and curb fraud within the sector.
“Through the reforms, SASRA will have access to SACCO systems for continuous monitoring and early detection of financial irregularities,” he said.
He noted that Kenya’s cooperative movement currently ranks sixth in Africa and 13th globally, underscoring the urgent need to modernize operations and embrace technology-driven services.
He added that benchmarking trips by SACCO officials had been banned under the reform agenda as the government shifts focus on efficiency, accountability, and value for members.
He revealed that the Ministry of ICT was working on strategies to introduce shared digital services for Saccos to lower technology costs and improve operational efficiency.
“Many Saccos spend an average of Sh200 million on IT upgrades, which is extremely expensive. Shared services will significantly reduce the cost of doing business,” said Mr. Mutiso.
Speaking during the event, Aura CEO Joshua Aura, appointed resellers of TechVerve software solutions, said many Saccos continue to struggle with delayed reporting, mounting compliance pressure and reliance on manual spreadsheet systems that are inefficient and outdated.
“A significant number of Saccos still rely on manual MS Excel spreadsheets that are tedious, time-consuming and incompatible with the demands of the digital age,” said Dr. Aura.
He said SaccoVerve was specifically designed for Sacco operations and already supports 61 Saccos in Ethiopia.
“SaccoVerve is a fully cloud-based core banking solution designed one hundred per cent for Saccos. It enables real-time operations, digital loan management, compliance reporting, and seamless member services,” he said.
The platform helps Saccos streamline operations, automate routine processes, and offer members real-time digital banking services through mobile-first technologies.
The new solution is coming at a time when Saccos are under growing pressure to digitize services, improve operational efficiency and meet the changing expectations of members increasingly relying on mobile and digital financial platforms.
The platform integrates mobile money systems and supports Android and USSD applications, allowing members in remote and rural areas to access financial services in real time.
Industry players say the growing adoption of digital financial services is reshaping expectations among Sacco members, who increasingly demand faster loan processing, seamless transactions, and improved customer experience.
The subscription-based deployment model is expected to lower operational costs for Saccos while accelerating financial inclusion and supporting Kenya’s transition to a cashless digital economy.
SaccoVerve has operated since 2011 and currently serves more than 400 financial institutions globally.
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