The Contribution of Sacco Financial Stewardship to Growth of Saccos in Kenya

Savings and Credit Co-operative Societies (SACCOs) in Kenya have been investing over the years with the objective of maximizing their wealth. As is the case with all investments, wealth maximization is a key objective whenever SACCOs have chosen an investment avenue from a universe of possible investment vehicles. Studies have shown that lack of sufficient Growth of SACCOs ’ Wealth has made it difficult for them to absorb their operational losses, which has threatened their sustainability. This has led to the losses being absorbed by members ’ savings and share capital, hence lose of members ’ savings. While the purpose of SACCOs is to mobilize members ’ funds and grant credit for the members ’ development, this has made it difficult for the SACCOs to grow their wealth, achieve this objective and contribute favorably to National Domestic Savings. This failure to build enough SACCOs ’ wealth, through accumulation of institutional capital, is attributable to weak financial stewardship. It is against this background that this study assesses the financial practice as a factor influencing growth of wealth of SACCOs with a view of ameliorating the situation for socio-economic development. The specific objectives were to; establish the association of loan management and the growth of SACCOs ’ wealth, establish the association of institutional strengths and the growth of SACCOs ’ wealth, and establish the association of Innovativeness of SACCO Products and the growth of SACCOs ’ Wealth. This study used descriptiv