NAIROBI, Kenya — More than 104,000 SACCO members were affected in 2025 after employers failed to remit Sh3.92 billion deducted from their earnings, the Sacco Societies Regulatory Authority (SASRA) has revealed.
SASRA Chief Executive Officer David Sandagi said 104,331 members were affected by delayed remittance of deductions meant for their SACCOs.
“Sh3.92 billion in SACCO deductions remained unremitted in 2025, affecting 104,331 members,” Sandagi said on Monday during the unveiling of the SACCO Supervision Report.
County governments and county assemblies accounted for the largest share of the unremitted funds, with Sh1.884 billion owed to SACCOs during the year.
The arrears affected 52,746 members employed by county governments and assemblies, making the category the largest contributor to the Sh3.9188 billion owed by employer institutions.
Universities, State Firms Follow
Public universities and tertiary colleges were the second-largest category, with Sh725.91 million in deductions that had not been remitted.
The arrears affected 6,928 SACCO members.
State corporations followed with Sh480.55 million in outstanding deductions affecting 7,668 members.
National government ministries recorded Sh157.99 million in arrears, affecting 9,389 members.
Private-sector companies, meanwhile, owed SACCOs Sh345.27 million, affecting 4,836 members.
Constitutional organisations recorded Sh204.74 million in outstanding deductions, with the report indicating a significant increase in arrears.
Unremitted Funds Rise
The amount of deductions that remained unremitted increased by about Sh430 million in 2025, from Sh3.49 billion recorded in 2024.
The increase comes despite SASRA describing the regulated SACCO sector as resilient and stable amid global and domestic economic challenges.
The sector continued to expand during the year, with total assets rising to Sh1.21 trillion.
SACCO deposits reached Sh832.7 billion, while loans grew to Sh948.7 billion.
SACCOs Advance Sh157bn for Housing
SACCO lending continued to support household development and productive economic activities, with members borrowing heavily for land, housing, education and agriculture.
According to the report, SACCOs advanced Sh157.2 billion for land and housing during 2025.
A further Sh125.5 billion went towards education, while Sh108.8 billion was advanced to agriculture.
Sandagi said the lending demonstrated the role SACCOs continue to play in meeting members’ socioeconomic needs.
Digital Lending Gains Ground
The sector is also undergoing rapid digital transformation as SACCOs expand access to financial services through technology.
The report shows that 267 SACCOs now offer digital credit products, while 250 use mobile money platforms.
Another 178 SACCOs are leveraging mobile and internet applications to deliver services to members.
The regulator’s report nevertheless highlights the growing challenge of delayed remittance of members’ deductions, with thousands of SACCO members affected by funds withheld by their employers.
