By Tsozungu Kombe.
Imarika Sacco Society Limited, formerly known as Kilifi Teachers Sacco defied a harsh economic environment to record profit of Sh 285,636,578.00 for the year ended 31st December, 2016. This is compared to Sh65.8 million posted in the previous year.
Interest on loans and advances was Sh847.1 million compared to Sh665 million during the period under consideration. The Society earned Sh16 million in net fees and commissions compared to Sh10.7 million posted in 2015. Imarika Sacco recorded Sh266.5 million as total comprehensive income at the close of financial year ended 31st December, 2016 compared to Sh44.3 million in 2015. Other operating income for Imarika Sacco was Sh119.3 million in 2016 compared to Sh92.7 million the previous financial year.
Directors proposed a dividend payout of Sh35.4 million in 2016 compared to Sh28.4 million in 2015. Loans and advances to members was Sh4.7 billion in 2016 compared to Sh3.5 billion given to members during the financial year ended 31st December, 2015. The value of total assets held by Imarika Sacco was Sh5.7 billion in 2016 compared to Sh4.4 billion in 2015.
Net interest income was Sh510.6 million in 2016 compared to Sh374.3 million in 2015. Members deposits was Sh 3.8 billion at the end of 2016 compared to Sh3.1 billion in 2015. The Society increased its borrowings from Sh137.2 million in 2015 to Sh384.3 million in 2016.
“I urged delegates to consider increasing their monthly deposits to higher levels. This is to enable the Society provide more loan products and affordable repayment rates,” said Renson Ndoro, Imarika Sacco Board of Directors Chairman.
He made these remarks while making a presentation during Imarika Sacco’s Annual Delegates Meeting (ADM) held at Travellers Beach Hotel, Mombasa County. He also told delegates to manage the loans prudently and ensure that they repay their debts promptly after investing only in viable projects.
I am asking you members to remain united and patronize the Sacco without which it cannot exist,” said Daniel Masha, CEO Imarika Sacco Society Limited.
While addressing delegates, Masha gave an update on what measures the Society has embarked on in order to improve service delivery to members. This includes putting up a new office complex in Kilifi at an estimated cost of Sh200 million, a project that is expected to cut down on rent paid for Imarika Sacco’s current offices, at KITECO Complex, Kilifi.
Mary Mungai, the Commissioner for Co-operative Development who was the Chief Guest encouraged Imarika Sacco members to patronize the Society’s products, illustrating the important role played by Co-operatives towards Kenya’s economic development and uplifting the living standards of its people.
“I commend Imarika Sacco for its good performance and challenge others in the coastal region to emulate it,” said Mungai.
Imarika Sacco has a presence in Malindi, Mariakani, Mtwapa, Garsen, Ukunda and Kilifi- where its head offices are situated.
Speaking during the official launch of Imarika Sacco, Garsen branch in September 2016, Imarika Sacco, Corporate Affairs Manager, Peter Angore, who represented the Sacco’s Chief Executive Officer (CEO), Daniel Masha, during the occasion, said Imarika, whose membership now stands at more than 45,451 members, plans to open branches in Hola town, the Tana River County headquarters, Mpeketoni and Lamu towns both in Lamu County.
Mr. Angore noted the move would shortened the long distances members would cover while seeking the Sacco’s services.
He said that the Sacco has opened Garsen branch with the sole aim of bringing Sacco services closer to members or residents, pointing out the branch will serve members and the general public in a more efficient and effective way.
The main objective of Imarika Sacco’s rebranding process is establishment of new branches in strategic areas at the Coast, whenever it is found economical and viable to set up.
The four branches are Malindi, Mtwapa, Mariakani and Ukunda and a service centre at Bamba Trading Centre in Ganze Sub County. The Garsen Branch office opened its doors to members and the general public on June 15, 2015. It has since recorded significant increase in membership recruitment of more than 1,597 new members.
Garsen branch has 450 registered pay points and has check off arrangement with over 13 institutions with over Sh5 million already disbursed to members. Opening of the Garsen branch office has brought a great relief to members in Garsen and Tana River.
Previously, members from Garsen used to be served at the Malindi branch office, over 200 km away from Garsen town.
From the North, the Garsen branch will serve members all the way from Madogo to Kipini and Ozi, while to the East, it will serve members from Lamu and Mpeketoni all the way to Assa in the West
“We are set to review the strategic plan this year. In line with this objective, the Society has embarked on the process of upgrading its Management Information System (MIS), a project that will be complete by August this year,” said Masha.
Imarika Sacco (then known as Kilifi Teachers Sacco) was established in 1974 with only 100 members. Its founders formed the Society with the objective of uplifting the living standards of teachers in Kilifi whose monthly salaries could not support their investment plans.
In 1988, Kilifi Teachers opened its common bond in order to attract members that are not from the teaching profession, including business people and other salaried professionals. In 2014, Kilifi Teachers Sacco rebranded to Imarika Sacco
