Rédaction Africa Links 24 with The Observer
Published on 2024-02-24 02:51:21
The police’s Exodus savings and credit cooperative organization (Sacco) is facing a critical threat due to the continuous withdrawal of savings by its members, officials have recently warned. Established in 2007 during Gen Edward Kale Kayihura’s tenure as the Inspector General of Police (IGP), Exodus was created to provide affordable and low-interest loans to members of the police force.
Wilson Omoding, the chairman of Exodus and deputy director of police operations, revealed that withdrawals have consistently remained high, accounting for over 69 per cent of the total deposits every month. Despite achieving significant growth in its loan portfolio, with a 48 per cent increase reaching Shs 45.8 billion, the Sacco is facing challenges due to the high monthly savings withdrawals, totaling approximately Shs 557 million.
The recent inquiry by the parliamentary committee on defense and internal affairs highlighted irregularities affecting police officers recruited into the force from 2015 onwards. The probe revealed that junior-ranking officers, representing over 91.6 per cent of Exodus Sacco’s membership, were allegedly coerced into joining the savings scheme against their will. Some officers reported being pressured into joining the Sacco upon completing their training, as refusal resulted in difficulties obtaining necessary documents for accessing loans from other financial institutions.
While responding to the parliamentary investigation, Omoding clarified that the progress and challenges faced by Exodus Sacco since he assumed the chairmanship in 2020 were not fully considered. He emphasized that the Sacco operates autonomously under the cooperative principle, with no interference from police management, and aims to improve officers’ welfare.
Mary Nankinga, a member of Exodus Sacco, echoed Omoding’s sentiments, praising the organization’s stability and financial growth over the past three years. Despite challenges such as retirements and voluntary exits leading to a slight decrease in membership, Nankinga highlighted the Sacco’s commitment to transparency, accountability, and member autonomy. The Sacco engages its members directly through various channels, providing updates on developments and addressing member concerns.
In response to the parliamentary inquiry, Exodus Sacco management has corresponded with the registrar of cooperatives, addressing the issues raised. They have also communicated with the police council, emphasizing the Sacco’s establishment by council resolution in 2007.
Overall, Exodus Sacco faces challenges due to the high rate of savings withdrawals, but officials are working to address these issues and ensure the Sacco’s sustainability and continued support for police officers. The organization remains committed to its members’ welfare and aims to provide affordable loans and financial services to enhance the well-being of police personnel.
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