Ministers aim to encourage growth of cooperative banks
Savings and credits cooperatives (SACCOs) could soon become a more common fixture of Africa's financial services market.Savings and credits cooperatives (SACCOs) could soon become a more common fixture of Africa's financial services market.
Francois Kanimba, minister of trade and industry in Rwanda, has said African nations should pursue the cooperative model in the industry more widely and make the system more integrated both at regional and national level, Rwanda Focus reports.
Speaking in his capacity as chairman of the International Cooperative Alliance Ministerial Conference, he said this should incorporate SACCOs, cooperative banks and cooperative insurers.
Sithembiso G Nyoni, minister of small and medium enterprise and cooperative development, added during the conference in Kigali that finance is "an issue to most of our cooperatives".
"Access to bank services is difficult for them as some banks are not there to serve small businesses," she commented.
Ms Nyoni argued that this makes joining savings and credit banks in this way necessary, as it would make them small businesses "shareholders in the banks".