Shofco Sacco Limited on Thursday, June 8, 2023 launched its new state-of-the-art office in Kibera as its membership hit 15000 since it was started seven years ago.
The new office, located at Koyaro Building along Kibera Drive, will serve as the Sacco’s headquarters and has branches in Kawangware, Mathare, Mukuru, Kisumu, Mombasa and Kakamega.
“We started this Sacco inside an iron sheet office, we moved to a container and now we have a big office. We have over 15000 members now and counting. We thank God for the far we have come,” Dr. Kennedy Odede, who is the chairman and founder of Shofco Sacco, said.
Dr. Odede said slum residents had been disrespected for a long time and he decided to turn the adversity into opportunity for the poor when he ventured into the unknown seven years ago.
“As someone who grew up in Kibera slums, I saw the injustice. We were not part of the economy and yet people in the slums are really working hard but they are not being recognized.
“So, I came with the idea of financial inclusivity, and that’s how I brought people living in slums to have their own Sacco which they can use to save and borrow money with dignity,” he said.
He added: “Slum residents now have some sense of worth. That was my dream, to support people in poor communities and this Sacco is already the largest Sacco for the slum community and it will go far,” says Dr Odede.
Shofco Sacco Senior Manager Ibrahim Maina said the lender is now focusing on youth friendly products and ICT systems to make access to funds by the members easier.
“We are now in the process of procuring a very robust system that has four components i.e MIS portal, USSD, App, and Interactive Web Portal. The USSD will work well for our members who do not have smartphones and they are the majority,” Maina said.
Maina said the Sacco is targeting real hustlers who do not have collaterals to secure loans to start their businesses.
“As long as you are our member, you are eligible to get a loan facility with us. The only prove we need is that you should show that you are able to do business and repay the loan given,” he added.
Maina said the Sacco is also planning to open another main branch office either in Mombasa or Kisumu in the next six months.
Dolphin Aremo, County Director of Co-operatives, who was the chief guest during the office opening, praised Shofco Sacco for the growth it has realized in just seven years.
“You are doing a good wok and as government, we are happy about it. I’m happy because I am seeing growth and members are saving and borrowing money. There are Saccos that have existed for over 20 years and they do not even have an office, but you have opened a big office in just seven years,” she said.
Since its inception, the Sacco has disbursed over Ksh580 million in form of loans to members.
The Sacco, which draws membership from Kibera, Mathare, Kawangware as well as slums in Mombasa, Kisumu and Kakamega, saw deposits grow from Sh76 million in 2021 to Shh126 million in 2022 while loans to members in 2022 rose to Sh148 million up from Sh87 million in 2021.
For a population that had lost hope in life because they could not access credit due to lack of collateral or a pay slip, the Sacco has brought financial inclusivity and is now a model of how the marginalized can be empowered to realise a larger economic transformation.
A beneficiary, Dennis Owino, said he secured a loan from the Sacco and bought a car for taxi business.
“This Sacco has helped me buy a car which I put under Uber and from the income, I started a boutique. Life is good and for the youth out there, join this Sacco if you want to go far,” Owino said.
It’s a life-changing story that Veronica David from Kawangware can relate with.
“I saved for six months in Shofco Sacco and I was able to borrow money. Before that, I had challenges restocking my business and my children’s school fees was a problem. Now, I have been able to open a grocery shop and I have plans to buy a piece of land and build my house,” she said.
