SACCO leaders explore risk management strategies amid economic shifts

KETSA summit brings SACCO leaders together to tackle emerging financial risks.

Savings and credit cooperative societies have been urged to adopt innovation and strengthen collaborations to navigate economic uncertainties affecting the sector.

Speaking at the Kenya Teachers SACCO Association (KETSA) Leaders' Summit in Nairobi, KETSA Chairman Robert Njue said shifting global financial dynamics required SACCOs to re-examine risk management strategies.

"The financial landscape is shifting worldwide... These shifts require close collaboration and innovation to enable SACCOs to navigate emerging risks," said Njue.

The three-day summit, held under the theme "Risk Management for a Vibrant Cooperative Movement," brought together more than 100 SACCO leaders to discuss strategies to bolster the resilience of the cooperative movement.

SACCOs have faced mounting challenges linked to inflation, fluctuating interest rates and regulatory changes, prompting calls for stronger partnerships among stakeholders.

Sidian Bank, a sponsor of the event, said it would continue offering digital banking solutions, risk management training and insurance products to support the cooperative movement.

"Risk management is at the core of financial intermediation as it enhances customer confidence and sector stability," noted Doughlas Mwangi, the bank's director of finance and strategy.

"We will continue partnering with SACCOs by offering digital solutions, payment services, risk management training, and insurance products to protect against emerging risks," he added.