Police Sacco to pay Sh2.9 billion dividend on increased revenue

Interior and Coordination of National Government CS Fred Matiangi, (centre) presents Best Saving Member award to Deputy Inspector General of Police, Edward Mbugua (right) as Chairman National Police Service Sacco, David Mategwa (right) looks on during the Police Sacco AGM held on Wednesday, 16, February, 2022, in Nairobi. [Samson Wire, Standard].

Kenya National Police Deposit-Taking Sacco will pay a dividend of Sh2.9 billion as its member deposits rose to Sh23.5 billion last year.

This was revealed yesterday during its annual delegates meeting held in Nairobi yesterday.

Police Sacco Chairman David Mategwa said deposits grew by 10.3 per cent from Sh21.3 billion to Sh23.5 billion at end of 2021.

Assets grew from Sh39.1 billion in 2020 to Sh44 billion last year, representing an increase of Sh12.7 per cent.

“Loans and advances grew by 14.4 per cent to Sh37.3 billion up from Sh32.6 billion in 2020. Additionally, revenues rose by 16.7 per cent to Sh7 billion from Sh6 billion in 2020,” Mr Mategwa said.

The board of directors recommended a payment of dividends on share capital at a rate of 17 per cent amounting to Sh51.6 million, and interest on deposits at a rate of 10.8 per cent or Sh2.4 billion, making a gross total of Sh2.9 billion.

“This is compared to Sh2.6 billion in 2020, representing an increase of 11.5 per cent,” the chairman said.

Mr Mategwa attributed the impressive performance of the 50-year-old Sacco to good governance, education and training of members, and adoption of technology.

The board also proposed to pay honoraria to directors and supervisory committee, staff bonus and annual delegates allowance of Sh175 million, an increase from Sh141 million in 2020.

Speaking later to the media, Mategwa said they have a scholarship programme for bright orphans who score 300 marks and above in the Kenya Certificate of Primary Education.

“We sponsor pupils who get over 300 marks from secondary to university. We now plan to see how to bring on board the widows and help them financially because we are already taking care of their educational needs,” he said.

The Sacco, which will celebrate its 50th anniversary next month, is open to the public although the majority of members are police officers.

It is ranked third largest in total assets.

Interior Cabinet Secretary Fred Matiang’i, who was the chief guest, asked the Sacco to work with the government to construct modern housing for police officers.