The Order prescribes the annual levy charged on non-deposit-taking SACCO societies, which levy is used to finance the operations of the regulator (SASRA).
Last updated
Was this helpful?
Quick Link:
· This Order prescribes the annual levy payable by non-deposit-taking SACCO societies to the Saccos Societies Regulatory Authority.
Section 2 of the Order provides for payment of an annual levy known as the Annual Sacco Societies Levy by Sacco societies undertaking non-deposit-taking business at the following rates:
0.10% for the period between 1st January to 31st December 2024
0.13% for the period between 1st January to 31st December 2025
0.14% for the period between 1st January to 31st December 2026
0.15% from 1st January 2027, until further review.
The Annual Sacco Societies Levy shall be based on the total non-withdrawable deposits held by the Sacco for the relevant period and the maximum levy payable under this Order shall not exceed KES 6 million.
· The levy charged is meant to finance the operations of the regulator (SASRA) to enhance its effectiveness in the supervision and regulation of SACCO activities and is permitted by section 15 of the Sacco Societies Act. This arguably, may lead to indirect benefits including better protection of member deposits, enhanced financial stability, and increased market confidence, among others.