Kenyan SACCO Sector Focuses on Cybersecurity at NCBA Forum
In a pivotal gathering aimed at shaping the future of Kenya’s cooperative banking sector, Hon. Wycliffe Oparanya, the Cabinet Secretary for Cooperatives and MSMEs Development, addressed key stakeholders at the NCBA SACCO Banking Customer Engagement Forum today.
The forum, held in Nairobi, brought together approximately 100 decision-makers from the SACCO sector, alongside prominent figures from NCBA Group, KUSCCO, SASRA, and ACCOSCA. The event underscored the critical role SACCOs play in driving financial inclusion and economic empowerment across Kenya and Africa.
Hon. Oparanya began his address by acknowledging the significant contributions of SACCOs to Kenya’s financial landscape. He highlighted the impressive statistics for 2024, noting the existence of 359 regulated SACCOs, which include both Deposit-Taking SACCOs (DT-SACCOs) and Non-Withdrawable Deposit-Taking SACCOs (NWDT-SACCOs). With Kenya home to approximately 35% of Africa’s 40 million SACCO members, the sector is a vital component of financial inclusion efforts.
However, as SACCOs continue to expand and digitize, they face increasing cybersecurity challenges. Hon. Oparanya emphasized the need for SACCOs to address these vulnerabilities by investing in advanced cybersecurity measures and adopting comprehensive policies for data protection and secure online transactions. The Minister cited the high costs and evolving nature of cyber threats as significant concerns for SACCOs.
The National Cybersecurity Strategy 2022 was highlighted as a framework to guide these efforts. The strategy recommends stronger governance, regular risk assessments, and robust incident response protocols to enhance SACCOs’ cybersecurity posture.
In his remarks, Oparanya also lauded the collaboration between the public and private sectors. He commended NCBA for its support and emphasized the importance of partnerships with financial institutions, technology providers, and cybersecurity experts. These collaborations are essential for accessing the latest tools and knowledge to safeguard SACCO operations.
NCBA Group Managing Director, Mr. John Gachora, echoed these sentiments, affirming NCBA’s commitment to supporting SACCOs through knowledge sharing and joint initiatives. The forum served as a platform to discuss the latest cybersecurity trends and share best practices for enhancing sector resilience.
Hon. Oparanya concluded his address by reinforcing the government’s commitment to fostering a supportive environment for SACCOs through policy reforms and digital transformation initiatives. He called for continued collaboration between the public and private sectors to ensure that SACCOs remain secure, innovative, and capable of thriving in an evolving digital landscape.
The forum marked a significant step towards strengthening Kenya’s SACCO sector amidst growing digital challenges, setting the stage for a more secure and resilient financial future.
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