The Kenya National Police DT SACCO Society has attained an excellent credit rating from GCR Ratings, a top credit rating agency in South Africa.
The SACCO scored a Long-Term National rating of A-(KE) and a Short-Term National rating of A2(KE).
The A-(KE) rating highlights the company’s strong capability to meet financial obligations, thus the SACCO has a sound financial position and is consistently delivering results.
The SACCO highlights a core capital to total assets ratio of 33.0% which is highly above the industry average of 16.0%.
This solid base assures the SACCO of success in terms of its continuous growth while concurrently managing risks.
Along with a non-performing loan (NPL) ratio of only 2.4%, Kenya National Police DT Sacco’s asset quality is higher than the banking sector average (14.9%) and industry average (8.0%). This is evidence of the Sacco’s successful risk management strategies.
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The SACCO in funding and liquidity, its structure is extremely solid, with 90% of member deposits non-withdrawable at KES 28.7 billion, which is a 10% growth from last year.
The current liquidity ratio is at a point of 61.0%, which is far above the regulatory minimum of 15%.
Net interest income accounted for 82.0% of the total operating revenue for FY2023, which is a stable and recurring income base.
The stable outlook from GCR Ratings reflects the Sacco’s resilient performance, supported by expected stability in asset quality metrics and capital levels. Mr. Solomon Angutsa, CEO of Kenya National Police DT SACCO, put it thus:
“We are very proud for being acknowledged in this way, which reaffirms our dedication to financial safety and member service. Our strong ratings show that not only our performances are commendable but also that promoting a saving habit and financial inclusion for our members is our main concern. We are going to further develop this base as we progress to the future.”
The Sacco’s governance structure, which comprises a board of nine non-executive directors and a supervisory committee, has guided the company’s strategic initiatives in the past.
The present strategic plan points out the importance of proper governance, good service delivery, and capacity building.
Thus, SACCO is on the right track to grow the business because it is going to implement its next strategic plan for 2025-2029.
The credit ratings awarded to Kenya National Police DT SACCO showcase its commitment to financial resilience and its role in supporting its members effectively.
As the SACCO continues to evolve and adapt in the financial landscape, it remains dedicated to fostering a culture of savings and financial inclusion among its members.
