Police Exodus SACCO Income Grows By 71%

Police officers attending Exodus SACCO AGM at Naguru

The Police Savings and Credit Cooperation Organization known as Exodus SACCO’s interest income grew by 71.6% from 3.89 billion shillings in 2022 to 6.68 billion shillings in 2023. Exodus SACCO’s treasurer SP Eddy Ssekanjako said the net surplus also grew by 150.3% from 1.98billion shillings in 2022 to 4.96 billion shillings in 2023.

“This was mainly due to the effective and efficient expenditure management and the receipt of member loan repayments. It is imperative to note that the net surplus increased due to significant increase in loan disbursement arising from an increase in members’ trust in the SACCO activities and prudent expenditure management,” SP Ssekanjako said.

Get prepared for census to enable proper gov’t planning

SP Ssekanjako also explains that when the country’s headline inflation was registered at 4.6% in 2023 compared to 7.2% recorded during the calendar year ended 2022, they have not increased the interest on loans to SACCO members.

“The inflationary reduction was mainly attributed to factors from the informal sector, financial sector, external sector, but major point of concentration was the reduction in the lending rates for the shilling denominated credit from 18.9% in October 2023 to 16.8% in November 2023,” SP Ssekanjako said.

Exodus SACCO has continued to maintain the interest rate of 14% for the loans advanced to its members and this continues to supplement your efforts towards achieving enhanced welfare as members whilst maintaining the solvency of the SACCO

“SACCOs face challenges related to governance, financial sustainability, and adapting to economic uncertainties, impacting on the risk profile of loan portfolios. Exodus SACCO is increasingly embracing technological innovations to improve efficiency, expand our reach, and offer a broader range of services to our members,” SP Ssekanjako said.

Exodus SACCO Chairman Senior Commissioner of Police –SCP Wilson Omoding, said despite a slight uptick in total deposits from 30.67 billion shillings in 2022 to 31.71 billion shillings in 2023 making a 3.1% growth.

“This was largely influenced by our flexible savings withdrawal policy, enabling members to access portions of their savings during the year. Our equity also saw growth, climbing from 25.50 billion shillings in 2022 to 35.22 billion shillings in 2023, representing a 38.1% increase,” SCP Omoding said.

SCP Omoding said the dividend per share rose from 210 shillings to 348 shillings marking a significant 65.7% growth while our share price remained stable at 11,000 shillings at the end of 2023. Exodus SACCO said they achieved another remarkable milestone with a net surplus for the year of 4.96 billion shillings up from 1.99 billion shillings in 2022 indicating a staggering 150.3% growth.

“We exercised caution during the transition from the straight-line method to the reducing balance method of loan repayment, enhancing our loan recovery processes to mitigate any adverse impact on interest income,” SCP Omoding said.

Exodus SACCO said the impressive performance of both income and balance sheet reflects our robust risk management framework and strategies, supported by continuous staff training on risk identification and management.

Police said it further bolstered their internal controls, processes, and procedures to ensure operational efficiency. Its Board of Directors remained steadfast in their focus on cost control while upholding service quality standards for members and other stakeholders.

“It is our policy to grow the dividend at a rate that aligns with the underlying growth of our business, ensuring sustainable returns for our esteemed members. Looking ahead, we continue to pursue excellence, innovate, and adapt to evolving market dynamics, ensuring that we remain at the forefront of our industry,” SCP Omoding said.

Meanwhile, Acting Inspector General of Police Maj Gen Geoffrey Tumusiime Katsigazi, has cautioned police officers against borrowing without a purpose. Katsigazi said many police officers borrow by impulse, decide to plan where to invest money after they have borrowed it.  

Leave a Reply

Your email address will not be published. Required fields are marked *