SACCOs and Savings Groups Rethinking Financial Services Taking Stock of our achievements and forging the way forward Current User Profiles SACCOs and Savings Groups Who do they serve and what do members utilize them for ID: 765295
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SACCOs and Savings Groups Rethinking Financial Services Taking Stock of our achievements and forging the way forward
Current User Profiles SACCOs and Savings Groups Who do they serve and what do members utilize them for?
General Uptake of Financial Services
2% (429,000 people) of adults 16 years or older are a SACCO Member and 16% (4.4 Million) are Savings Group members How many adult Tanzanians are in a SACCO or Savings Group?
Savings Groups
Informal Groups Uptake
Who are savings group members?
Who are savings group members?
Membership and Groups
About three quarter of informal groups are self-established
Half of saving group members have been in their group for more than 2 years
One third of members joined because they recognized the risk mitigation mechanisms of a savings group
Savings groups are both a source of credit as well as a savings vehicle
Savings groups provide indirect access to formal channels
6 in 10 groups require weekly contribution Monthly Contribution to all groups Minimum 200 Maximum 780,000 Middle Value 10,000
4 in 10 savings group members borrow more than twice a year Loan amount Minimum 1,000 Maximum 15,000,000 Middle Value 100,000
One third of members utilize the fund to cover living expenses Social fund amount received Minimum 5,000 Maximum 10,000,000 Middle Value 50,000
What other products do saving group members utilize? 77% of savings group members have taken up mobile money services
SACCOs
SACCOs Uptake
Who are SACCO members?
Who are SACCO members?
Three quarters of SACCO members have been members for 2 years or more
Almost half of SACCO members joined to access credit or emergency loans
4 in 10 SACCO members appreciate SACCOs for their guarantee ability
SACCOs are used for both accessing credit and saving
Over three quarter of SACCOs have a bank account
8 in 10 SACCOs contribute at least once a month The last time members contributed the majority contributed 30,000 Tsh
Two third of SACCO members borrow at least once a year from their SACCO Most people borrowed around 600,000 Tsh when they borrowed last
6 in 10 SACCO members utilize the welfare fund at least once a year Over half of them utilized the money for covering living expenses
7 in 10 SACCO members have taken up bank services
Low levels of awareness and proximity issues are key barriers to SACCO uptake