Nkatha Fiona

Leader | Tech | Engineering Student 👩🏽‍🎓

[Rufas Kamau ⚡ @RufasKe]

After hours of research, I have come to several conclusions about SACCOs;

1. The model is great on paper and a net positive if everyone was ethical.

2. In practice, depositors and shareholders often end up being shafted.

3. The incentives for SACCO directors are not aligned with those of SACCO members.

4. The lack of a liquid secondary market and a price cap on SACCO shares due to the SACCO issuing more shares at a fixed price limits liquidity therefore entrapping shareholders.

5. The guarantor system exposes guarantors to borrowers by not sharing lending risks. The SACCO should investigate the creditworthiness of borrowers and share that info with guarantors beforehand.

6. When SACCO directors steal from the pool, they often get away with it. This questions the regulatory and justice system. It also encourages other directors to plot and steal from their SACCOs.

7. The member-led SACCO boards do not have sufficient structures for transparency, regular audits, member education, and governance structures to ensure that the board's interests are aligned with the member's interests.

Suggested changes;

1. Create an open market for trading SACCO shares with limitations on how much shares a SACCO can issue. This will improve liquidity. SACCO boards will be conscious of share price and will be partially paid in shares that they can only redeem after several years.

2. Enhance credit information so guarantors have more information before backing loans.

3. Segregate customer deposits, shareholding funds and investments from SACCO accounts.

4. Legislate laws to improve transparency, regular audits, and perhaps quarterly general meetings.

5. Use advanced IT tools for fraud detection to enhance fund security.

6. Rotate SACCO board members regularly and tie their performance to overall SACCO performance.

7. Allow SACCOs to buy back some shares, say a client can be allowed to sell directly to the SACCO a max of 20% of their shares per year. This will keep the management on wheels.

8. Compensate guarantors for taking the loan default risk.

9. Legislate laws that are stricter on directors who steal from SACCOs.

Overall, the biggest risk in SACCOs is directors' misaligned interests and the regulatory undersight where past cases have gone free therefore encouraging others to steal.

The other risk is investors getting trapped in illiquid shares that cannot appreciate and are difficult or expensive to liquidate.

I believe that every system can be improved upon. SACCOs can become community banks that eventually empower small businesses and build a manufacturing revolution in Kenya.

There's a light ahead!

[Collins of Highbury @Lord_Collins]

Today, I have been inspired by young, brilliant  engineers & scientists at @OctaviaCarbon in 🇰🇪 supported by UK-backed @FSDAfrica

Watch below to find out what carbon capture is, & why Kenya is a great place to do it

Asante Sana for the lesson, Duncan 🤝

#GoFarGoTogether

[The Kenya Power & Lighting Company Plc. @KenyaPower]

PRESS RELEASE: ELECTRICITY DEMAND HITS A NEW RECORD HIGH OF 2,316 MW ON THE BACK OF ENHANCED CONNECTIVITY

Peak demand refers to the period when electricity consumption is at its highest. This typically occurs when most people are at home, usually between 5:00 PM and 9:00 PM. During this time, lights are on both indoors and outdoors, as well as on streets. Numerous electronic devices—such as TVs, radios, phones, and chargers are also used. Activities like cooking, blending, cooling, and heating in homes, businesses, and industries contribute to increased electricity demand. #PoweringKenyans

[William Samoei Ruto, PhD @WilliamsRuto]

In Nairobi during the Kauffman Fellows Africa Venture Capitalists Summit that brought over 300 investors from more than 35 countries to Kenya.

[The OpenAir Collective @openaircollect]

Happening now!
#ThisIsCDR is excited to welcome @OctaviaCarbon's @MartinFreimlle1 and Duncan Kariuki to discuss DAC x geothermal in the Global South. Join us! 🇰🇪🇰🇪🇰🇪
https://t.co/xoWO7ElCZe

[Carbon Herald @CarbonHerald]

Today, @openaircollect will present Octavia Carbon CEO Martin Freimüller and Product Lead Duncan Kariuki to discuss the company's plan for deploying direct air capture in Kenya.

You can register for the free event, starting at 12pm ET (5pm UK), here: https://t.co/qTCtPZhAYR

[The OpenAir Collective @openaircollect]

@equatic_tech @Boeing 22 Aug #ThisIsCDR is excited to welcome @OctaviaCarbon's @MartinFreimlle1 and Duncan Kariuki to discuss DAC x geothermal in the Global South. Register via the link below to join and bring your questions!! 🇰🇪🇰🇪🇰🇪 https://t.co/1RwWfy0BeR

[Ali Mohamed @ClimateEnvoyKe]

Joined Minister @HonTuya at the ongoing #AMCEN2023 meeting taking place in Addis Ababa, Ethiopia, a gathering of African environment Ministers and experts discussing topical environmental issues including pollution, biodiversity loss, climate change and Africa’s role in driving sustainable climate solutions

[Nkatha Fiona @Nkatha_Fi]

@KenyaPower_Care A/c No: 115769129
A/c No: 136651377

[Nkatha Fiona @Nkatha_Fi]

@KenyaPower_Care Hello,
We are experiencing power outage along Eastern Bypass Rd - Close to Ruai. This wasn't in the planned power interruptions. Kindly assist

[Ali Mohamed @ClimateEnvoyKe]

Climate change is no longer an issue of them versus us, it's no longer an issue between the developed & the developing countries, it's no longer an issue between North & South, East or West. #Climate is an issue that affects us all. #ACS23

[Ali Mohamed @ClimateEnvoyKe]

Positive framing #COP28UAE at #MOCA with commitment to 1.5C & emphasising energy, trade, technology inviting global south solutions very welcome. Kenya keen on expanding financial reform at COP linked to climate positive growth transition discussed at Africa summit

[Nkatha Fiona @Nkatha_Fi]

@HonTuya @AfClimateSummit @Environment_Ke This will be pivotal moment for Kenya as we showcase our innovative efforts in reversing climate change! @OctaviaCarbon @ClimateEnvoyKe

[Soipan Tuya E.G.H @SoipanTuya]

It’s All systems GO ACS!

Presided over the official unveiling of the Africa Climate Summit website and social media platforms, setting in motion the official registration and accreditation process for the Summit and the Africa Climate Week @AfClimateSummit @Environment_Ke

[Ali Mohamed @ClimateEnvoyKe]

Kenya currently has a total of 1282 electric motor vehicles with a monthly growth of about 20 units and ~$50mn invested in the sector so far.
Commendable progress, a lot more needs to be done.

[Nkatha Fiona @Nkatha_Fi]

@KenyaPower_Care Ac no: 115769129
Contact: 0795001709
Area: Giriraj Business Park

[William Samoei Ruto, PhD @WilliamsRuto]

Addressing youth on climate change and financing at the Champs de Mars, Paris, France.

[William Samoei Ruto, PhD @WilliamsRuto]

President of France @EmmanuelMacron, International Monetary Fund Managing Director @KGeorgieva, President of the World Bank Group Ajay Banga and the US Secretary of the Treasury @SecYellen were present.