GTBank, KAFOSA ink deal to revamp Saccos

KAFOSA Chairman Isedorius Agola (left) and GTBank managing director Ibukun Odegbaike (right) during the signing of the MOU. Kenya’s Guaranty Trust Bank and the newly formed Kenya Association of Front Office Service Activity (KAFOSA) have inked a deal to revamp Sacco operations. PHOTO | NATION MEDIA GROUP 

In Summary

• Stima and Bandari Saccos will be the first beneficiaries of the project that is targeting 182 other entities.

By MOSES OMUSOLO
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Kenya’s Guaranty Trust Bank and the newly formed Kenya Association of Front Office Service Activity (KAFOSA) have inked a deal to revamp Sacco operations.

Managing Director GTBank Ms Ibukun Odegbaike said the partnership will see Saccos provide efficient ATM services, agency banking, electronic funds transfer, inter-SACCO borrowing among others courtesy of the bank and other partners.

“Together with the Strathmore Business School as the Knowledge partner; Kenswitch, Paynet and Fintech as the technology partners, we shall endeavor to keep abreast with the dynamic market trends and provide timely solutions. This will eliminate inefficiencies including congestion, downtime and interoperability issues as currently experienced by KAFOSA members,” Ms Odegbaike said.

She further reassured stakeholders that the bank will consistently provide customized products and services to KAFOSA and its members.

FIRST BENEFICIARIES

Stima and Bandari Saccos will be the first beneficiaries of the project that is targeting 182 other entities.

KAFOSA chairman Isedorius Agola said the technology will be deployed at no cost as revenue is shared equally between Saccos and GTBank.

“KAFOSA has 184 potential members who are Saccos across Kenya and a 3 million membership portfolio. Out of these, with the current provider, slightly above 0.7M have access to ATM services leaving out 2.3M members. There is a need to bridge the gap and avail ATM services,” he said.