Wewe boss, go slow and find out at least some minimum facts before you unleash this kind of misinformation. Am sure even the cairman of your sacco or even some eomployees of your sacco can enlighten you. Theres no requirement that any and I mean ANY sacco must have FOSA. Where did you get that from????????? Please go to the Governement Printer (iko hapo Haile Sellasie Avenue next to Kenya Poly) and get yoursels a copy of the Sacco Societies Act (I thinks its Kshs 40 only) and refresh your mind. Ok, let me assist you here in the meantime. The relevant ministry realized that the saccos that operated fosas were doing it haphazadly without any regulation and hence the establishment of SASRA so that any sacco that OPTS volutarily to operate fosa must apply for a licence from Sasra and must meet the minimum set requirements. The main aim of this is to protect members deposits.

The Saccos currently licenced t operate FOSAS are less than 100 saccos out of more that 13,000 sacos in kenya. More info please google sasra and go to their website. Sasra is Sacco Societies Regulatory Authority.

On Shares, each sacco decides on its own (through AGM) the minimum value of shares that every member mush have then all the other moneys coming from such members go to deposits automatically. Since members contribute monthly, the first few months contributions got to Shares until the full value is realized and thereafter to deposits. Its very rare to find a sacco where shares for every members is valued at more than kshs 5,000/=, very rare indeed. However, wanjikus refer to everything they contribute to the sacco as SHARES.

Has Kimisitu Sacco complied? I happen to have keyed in their vision!

just seen the website of this sacco and came across this. I'm impressed Saccos are thinking out of the Box

"Kimisitu has partnered with Text Book Center and Hot point Appliances Ltd in pacts that will see members enjoy discounts from items bought in respective outlets or their networks countrywide."

what about finnlem..any idea?

Rule of thumb: Shares earn Dividends, Savings earn Interest.

Shares are used for the Sacco initial capitalisation, fixed assets and excess will be invested (The returns of this investments are the Dividends).
Savings are used to issue out loans and the interest charged on loans is used as working capital, some may be retained and the rest paid out to savers (As interest on savings).

Some SACCO have high shareholding therefore making it possible to loan out members with the excess capital.

Some SACCO's tend to be high on liquidity than others meaning they may be having cash sitting without borrowers and this is put into projects like buying land, encouraging some form of asset finance like car loans etc.. some of this projects net over the 12% revenue of the typical development loans. *Check and learn your SACCO's products.

A SACCO that is trying to grow it's shareholding, will most likely allocate a higher % of returns on shares (dividends) than returns on savings (interest).

As a member it is important to note that: Savings determine borrowing power. The maximum amount you can borrow is determined by savings. But the shares sit and earn dividends. Depending on the SACCO, you may use shares as security for a loan.
I would advise all who have over 500k in shares and deposits in a SACCO to always try to attend the AGM and read the financial reports.