The Sacco Societies Regulatory Authority (SASRA) has taken a major step toward strengthening Kenya’s cooperative finance sector. Through the Kenya Gazette Notice No. 15383 (dated October 24, 2025), SASRA officially approved several new SACCOs to operate as both deposit-taking and non-deposit-taking institutions.
According to The Kenya Times, this approval aims to enhance access to affordable financial services and reinforce Kenya’s savings culture, marking a positive milestone in the country’s economic transformation journey.

What the New SACCO Licenses Mean for Members

The introduction of new SACCOs across Kenya is great news for members and potential savers. It opens the door to more choices, better financial access, and improved service delivery.
These newly licensed SACCOs are expected to offer:

  • Easier access to low-interest loans for individuals and small businesses.

  • Increased competition among SACCOs, leading to better member services.

  • New, innovative financial products tailored for youth, farmers, and SMEs.

  • Enhanced digital and mobile banking options, reaching even remote areas.

With SASRA’s continuous supervision, these institutions will uphold high standards of financial integrity, ensuring members’ savings are well protected.

For a detailed understanding of how SACCOs should report and manage finances, explore this guide: Sacco Financial Management and Reporting.

How SACCO Licensing Works in Kenya

Before any SACCO can legally collect deposits or issue loans, it must comply with SASRA’s strict regulatory framework. This process safeguards members’ funds and ensures institutional stability.
Key requirements include:

  • Capital adequacy thresholds to maintain financial health.

  • Qualified governance and management structures to guide operations.

  • Transparent financial reporting and auditing to enhance accountability.

  • Compliance with both the Cooperative Societies Act and the Sacco Societies Act, 2008.

Once the evaluation is complete, SASRA publishes the names of approved SACCOs in the Kenya Gazette, confirming their legitimacy.
This transparency helps Kenyans differentiate genuine SACCOs from unregistered or fraudulent ones, promoting trust and safety in the cooperative movement.

Why the New SACCO Licenses Matter for Kenya’s Economy

SACCOs have long been the backbone of Kenya’s economic resilience. With assets surpassing KSh 900 billion and millions of members, SACCOs remain critical to the country’s financial inclusion agenda.
By licensing new players, SASRA is helping to:

  • Deepen financial inclusion in rural and underserved areas.

  • Support SME growth through easier access to affordable credit.

  • Encourage domestic savings to boost local investments.

  • Reduce reliance on unregulated digital lending platforms.

This move perfectly aligns with Vision 2030 and the Bottom-Up Economic Transformation Agenda (BETA) — both focused on empowering Kenyans through cooperative development and inclusive growth.

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Impact on the Cooperative Finance Sector

The approval of new SACCO licenses also means increased innovation within the sector. More SACCOs entering the market will adopt modern technologies, streamline service delivery, and improve financial literacy among members.
Furthermore, SASRA’s strong governance policies ensure that only financially sound and well-managed SACCOs operate, boosting confidence in the cooperative sector.

With these advancements, Kenya continues to set an example for other African nations in leveraging SACCOs for socio-economic empowerment and community-driven finance.

Key Takeaway

The licensing of new SACCOs under Gazette Notice No. 15383 is a strong signal of Kenya’s ongoing commitment to financial inclusivity and cooperative growth.
For ordinary Kenyans, this translates to:

  • More secure saving opportunities.

  • Better loan terms and member protection.

  • Enhanced trust in regulated financial systems.

Under SASRA’s vigilant oversight, the cooperative finance sector remains not only stable and transparent but also ready to drive Kenya’s economic future.

Learn more and stay updated at Sacco Champions.

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