Role of savings and credit co-operative societies in wealth creation in limuru sub-county

Since independence, Cooperative movement in Kenya has experienced tremendous growth and is actually ranked first in Africa (Sacco Societies Regulatory Authority, 2011). Through the support of the government, the movement has produced some of the biggest players in provision of saving and credit services both to the rural and urban population in Kenya. Since the formalities involved in the formation of the SACCOs are simple, and due to their popularity, the government has continued to register more of these forms of organizations. Although Cooperatives have been there for a long time, poverty is still prevalent amongst the rural population in Kenya. The research objective was to explore the role of Savings and Credit Cooperative Societies in creating wealth for their members in Limuru Sub County of Kiambu County in Kenya. Wealth created to the individual member was measured by the asset such member acquired since joining the SACCO. Descriptive research design was applied. The study population comprised of members of SACCOs in Limuru Sub County where a random sample of five percent of all the members were investigated. Both primary and secondary data was used as sources of data. Primary data was collected using a semi-structured questionnaire distributed to the sampled group. Statistical Package for Social Sciences (SPSS) was used to analyze the data. Descriptive statistics especially, frequencies and standard deviations was applied. Inferential statistics especially regression analysis was run to help establish, trends and relationships, and which made it easier for the researcher to understand and interpret implications of the study. Pie charts and tables have been used to represent data in a pictorial format, which could be easily used and understood by other users. The research findings established that SACCOs play an important role in wealth creation in the Sub County. The most among the four variables tested, loans acquired by members from the SACCOs contribute most to the wealth creation of such a member. The research recommended that women and youth be encouraged to join SACCOs in the region. The conclusion of the research was that all the independent variables contributed positively to the dependent variable.