Impact Of Sacco Societies Act On The Growth Of Deposit Taking Saccos In Kenya

Abstract

The aim of this study was to investigate the impact of Sacco Societies Act, 2008 on the growth of deposit taking SACCOs in Kenya. By using a sample of 10 deposit taking SACCOs, the study conducted a panel regression model to investigate the relationship between savings and the explanatory variables which included gross loans, payout to members, total assets, membership, and financial disclosures for the period 2007-2016. DTS Regulations were found to impact positively on loans, membership, financial disclosures, and total assets and negatively with payout to members of DTSs. The study concluded that Sacco Societies Act, 2008 is an externality which impacts positively on the growth of deposit taking SACCOs in Kenya.