The rapidly expanding Huruma Kariobangi Parish Sacco (HKPS) has announced the opening of its first customer service outlet in the city center in a move that is aimed at increasing customer touchpoints. The Sacco said that the CBD outlet is located on the second-floor of Caxton House on Standard Street.
It is not currently clear how many employees HKPS has deployed to work at its CBD office. But the Sacco expects the new outlet to widen its reach and ease pressure on members working in the city center who previously had to seek services at the Sacco’s offices in Kariobangi, Huruma or Korogocho. HKPS members are required to submit their deposit slips to the Sacco’s offices after they make their deposits at the bank.
But members of the Sacco reacted differently to the move to open a CBD office with some urging that existing outlets already meet members’ needs.
Membership
HKPS closed 2015 with a total of 9,203 members, indicating an increase of 37% over the membership of 6,738 at the end of the previous year. But more than 2,000 members in the Sacco are marked as dormant participants. Members’ deposits hit Sh406.9 million in 2015, up 42% from 2014.
HKPS members can buy shares in and obtain loans thrice their savings from the Sacco. Members also receive dividend distributions on their shares. The Sacco proposed to distribute Sh54.8 million in dividends for fiscal 2015, significantly up from Sh38.6 million in the prior year.
Revenue
Revenue of HKPS more than doubled in 2015 relative to the prior year. The Sacco reported consolidated revenue amounting to Sh102.9 million, suggesting a growth of 72% over the revenue generated in 2014. The Sacco’s sources of revenue include interest on loans and income from investments.
Transformation
HKPS has morphed into a Sacco, though it originally operated as a self-help group following its registration in 1994.