ByJames Murimi- Reporter
Kenya, 4 July 2026- The government will roll out sweeping reforms in the cooperative movement within weeks after President William Ruto signs the new Cooperatives Bill into law, paving the way for greater transparency, digitisation and stronger governance in a sector that safeguards more than Sh1 trillion in members’ savings
Deputy President Prof. Kithure Kindiki said the Bill, currently before Parliament, is expected to become law within a month, ushering in a new legal framework aimed at modernising cooperative societies and strengthening public confidence in Savings and Credit Cooperative Organisations (SACCOs)
“Within a month, the Bill will be signed into law by the President so that we can modernise this sector, improve transparency and governance as well as make it digitally conversant,” Prof. Kindiki said
Speaking during the 104th Ushirika Day celebrations at Uhuru Park in Nairobi on Saturday, the Deputy President said the Kenya Kwanza administration has placed cooperatives at the heart of its economic transformation agenda, citing the establishment of a standalone Ministry of Cooperatives and MSMEs as proof of the government’s commitment
He said the proposed law, together with ongoing SACCO reforms, will strengthen oversight of the sector while protecting the savings of more than eight million Kenyans who have deposited over Sh1 trillion in SACCOs
“The Cooperatives Bill currently before Parliament, alongside the ongoing SACCO reforms, will reinforce public confidence by promoting sound governance and protecting the savings of the more than eight million Kenyans who have entrusted SACCOs with deposits exceeding Sh1 trillion,” he said
Prof. Kindiki said the reforms are intended to position cooperatives as key drivers of inclusive economic growth by improving governance, financial sustainability and professional management
“Our goal is to build cooperative institutions that are transparent, financially sound, professionally managed and resilient enough to drive inclusive economic growth and support the successful implementation of the Bottom-Up Economic Transformation Agenda,” he said
He noted that cooperatives continue to transform livelihoods by enabling farmers to access better markets, workers to mobilise savings and affordable credit, and families to educate their children, build homes and establish businesses
Ad
Seven African Teams Crash Out of World Cup: Bad Luck or Failed When It Mattered Most?
Eight Suspects Arrested Over KSh 1.2 Million M-Pesa Fraud in Marsabit
The Deputy President also challenged cooperative societies to attract more young people and women into membership and leadership, saying their participation is critical to the long-term sustainability of the movement
“We must encourage the youth to keep this tradition of joining the cooperative movement to be able to succeed in business and other ventures,” he said
Prof. Kindiki said cooperatives are strategically placed to support the government’s flagship programmes, including increased agricultural productivity, growth of micro, small and medium enterprises, affordable housing, Universal Health Coverage and the digital economy
He added that the movement offers one of the most practical solutions to youth unemployment by enabling young people to mobilise capital, establish enterprises and create jobs
The Deputy President further pledged to push for increased budgetary allocations to the Ministry of Cooperatives to accelerate reforms and expand membership in cooperative societies from the current 14 million members
“We thank the members of SACCOs for developing a savings and productivity culture and taking part in national development. I look forward to greater development in our country with the cooperatives sector playing a bigger role,” he said
Ruto to Sign New Cooperatives Law Within a Month in Major Sector Shake-Up
DP Kindiki says the Kenya Kwanza administration has placed cooperatives at the heart of its economic transformation agenda
Discover more Kenya updates
Somalia Studies Kenya’s Digital Trade, Border Systems to Boost EAC Integration
Somalia Congratulates U.S. On 250th Independence Day
