A new cooperative drive aimed at expanding access to affordable credit in Western Kenya received a major boost on Saturday after President William Ruto committed Sh50 million to the newly formed Shirikiana Sacco during its official launch in Kakamega County.
The Sacco, unveiled at Masinde Muliro University of Science and Technology, brings together thousands of members across the region and is expected to strengthen savings culture, support small businesses and widen access to financing for households and enterprises.
Speaking during the event, Ruto confirmed that he will personally join the Sacco and contribute to its initial capital base following consultations with Cooperatives and MSMEs Cabinet Secretary Wycliffe Oparanya.
“I'll be a member today, and I will put my money…and because the sacco is important, I agreed with CS Oparanya that I will look for Ksh50 million and put it in the sacco so that we can start with it,” Ruto said.
He said cooperative societies remain a key tool in helping families meet basic needs such as healthcare, education and business development, adding that collective savings models continue to play a central role in the country’s economy.
Ruto further stated that Kenya’s Sacco movement is the largest in Africa and should be strengthened to ensure more citizens benefit from structured financial systems that support long-term growth.
The launch, organised by the Ministry of Cooperatives and MSMEs Development under Oparanya, was also presented as part of efforts to deepen financial inclusion and expand opportunities for farmers, traders and young entrepreneurs.
Oparanya, who hosted the event, said preparations had been completed at the university ahead of the official unveiling, noting that the Sacco is anchored on value chains such as coffee to unlock economic potential across the region.
“With coffee as the anchor value chain, Shirikiana SACCO is designed to unlock the immense economic potential of farmers, entrepreneurs, professionals, and other productive sectors across the Western region,” Oparanya said.
He added that the Sacco will improve access to affordable credit, boost agricultural production, support industrial growth and expand opportunities for micro, small and medium enterprises.
The Sacco already has about 100,000 members drawn from Kakamega, Vihiga, Busia, Bungoma and Trans Nzoia counties, with a target of reaching 250,000 members by the end of the year.
Ruto said the initiative reflects a shift towards community-driven economic development, where citizens pool resources to build wealth and expand opportunities.
“We have not gathered here merely to set up another financial institution. We are here to witness the birth of a genuine people-owned economic opportunity,” he said.
He added that the Sacco model allows members to come together, save, borrow and invest in income-generating activities that improve livelihoods.
“The name says it all — Shirikiana. Come together, work together, grow together and prosper together,” he said.
Ruto also pointed to existing gaps in access to organised financial structures in parts of Western Kenya, saying the new Sacco will help address long-standing barriers faced by residents seeking affordable credit.
“What has been missing is organised capital and strong member-owned institutions through which individual efforts can be transformed into collective economic power,” he said.
The President noted that the cooperative movement remains central to the Bottom-Up Economic Transformation Agenda, which focuses on empowering households and small businesses.
He also highlighted the expansion of the Hustler Fund to Sh90 billion, saying it has improved access to credit for millions of Kenyans across the country.
“I want to thank our minister Wycliffe Oparanya for his work empowering MSMEs. He has taken this ministry to the next level. The Hustler Fund is now at Sh90 billion and has reached citizens across the country,” Ruto said.
According to official data from the Sacco Societies Regulatory Authority and the Kenya National Bureau of Statistics, regulated Saccos in Kenya hold assets estimated at about Sh1.24 trillion.
Ruto concluded by expressing confidence that Shirikiana Sacco will strengthen economic participation in Western Kenya and expand opportunities for future generations.