By Johnson Chengo
Kilifi County low-income earners residents have a reason to smile after the County government launched a special Sacco that will provide financial support and house construction loans to the locals.
Speaking during the launch of the Funguo Yetu Sacco in Majengo- Kanamai, Kilifi Deputy Governor Flora Chibule said the initiative of the Sacco is aiming at combating poverty, adding that many people have already emphasised their potential as a tool for sustainable poverty alleviation.
She said empowering the poor on how to utilize resources wisely and developing a saving culture is very vital and is the only economic way of eradicating poverty among low-income people.
“I urge people to invest largely in Sacco’s because they generate start-up capital for the SMEs that play a key role in poverty reduction. Sacco’s in Kenya controls about 35 per cent of the national budget, so don’t take chances, embrace it to boost your capital bases,” she said.
The Deputy Governor said already the County government has pumped Sh1 billion to 45 Saccos across the County that have been launched after governor Gideon Mung’aro was sworn in, targeting to provide easy access to loans to the residents.
“As a County government in uplifting the levels of standards of our people. The County is aiming to provide a conducive environment where residents will get loans without challenges and this is why we are encouraging more people to join,” said Chibule.
Funguo Yetu Sacco chair lady Margaret Mwachiro said many residents were being sidelined by financial institutions after failing the requirements of borrowing but lauded the initiative saying it will attract more people at the grassroots.
She reiterates that Sacco is targeting the majority of people with low income, unlike the other financial lending institutions.
“We are going for the low-income people like the bodabodas, County casuals, Mama mboga’s, artisans, fish traders among others,” she said.
About 28 Million Kenyans depend on Saving and Credit Cooperative Society-related activities for their livelihoods and also play a key role in mobilising savings and creating job opportunities.