Tier one Sacco signals strategic maturity with a strong performance in 2025 and a bold vision for the future
By George Gichuki
At a time when Kenya’s financial sector is continuously navigating economic headwinds, Amica Savings & Credit has emerged as a compelling story of resilience, strategic clarity, and forward-looking leadership.
During its 28th Annual Delegates Meeting (ADM), the Sacco unveiled strong financial results for the year ended December 2025. These results not only demonstrate a return to stability but also signal a deeper institutional transformation driven by digital innovation, governance reforms, and a renewed focus on members’ value.
From cooperative roots to a financial powerhouse
Amica’s journey is deeply rooted in Kenya’s cooperative movement. Its origins trace back to 1966, when farmers came together under the Murang’a District Co-operative Union (MDCU). Over the decades, the institution evolved, from a union banking section in 1970, to Murata Farmers Sacco in 1997, later becoming Murata Sacco Limited in 2006, and receiving a regulatory license in 2011. In a strategic move, the lender rebranded to Amica Savings & Credit in 2016.
Today, the tier one Sacco stands as a modern financial institution with an asset base of Kshs. 11 billion, demonstrating both historical continuity and strategic reinvention.
A strong financial comeback anchored on growth
Amica’s 2025 performance reflects a decisive turnaround, with the Sacco posting a surplus of Kshs. 327 million, up from Kshs. 178 million in 2024. This growth underscores improved operational discipline and sustained members’ confidence despite a challenging macroeconomic environment.
The Sacco’s financial trajectory is reflected in a robust expansion across all key indicators. Total assets recorded a significant 23.24 percent growth, rising from Kshs. 8.9 billion to Kshs. 10.9 billion, while members’ deposits grew by 20.7 percent to reach Kshs. 7.9 billion, reinforcing the institution’s strong savings culture. Lending activity also accelerated, with the loan book expanding by 26.2 percent to approximately Kshs. 7.9 billion, an indication of increased credit demand among members. Additionally, the operating revenue followed this upward trend, growing to Kshs. 1.63 billion from Kshs. 1.35 billion in 2024, supported by both core lending and alternative income streams. At the same time, share capital crossed the Kshs. 1 billion mark, signalling a deeper commitment among members and long-term institutional stability.
Membership growth further strengthened the Sacco’s position, increasing by 12,475 new members to reach a total of 211,935, highlighting growing public confidence in the institution. However, despite these gains, the Sacco acknowledged a few challenges, particularly from non-performing loans, with delinquency levels remaining relatively elevated at 21 percent, a modest improvement from 23 percent recorded in 2024.
Delivering value: dividends and member returns
Beyond growth, Amica continues to prioritize tangible returns to its members. The ADM approved a dividend payout of Kshs. 57.2 million for the year ended 31st December 2025, alongside Kshs. 152.6 million in interest on non-withdrawable deposits (dubbed investa) and an additional Kshs. 4.13 million in interest from Amica Ventures deposits. These distributions reflect not only a strong earnings position but also the Sacco’s unwavering commitment to delivering meaningful financial value to its members, even within a complex and evolving economic landscape.
Leadership perspective: stability, trust, and ambition
Speaking during the ADM, the Chairman of Amica Sacco, Mr Jediel K. Mwangi, highlighted the institution’s strong foundation and future direction: “Our performance in 2025 demonstrates the strength of our foundation and the trust our members continue to place in us.” He added: “Over the years, we have built a stable institution that continues to deliver value and grow sustainably.”
He further outlined an ambitious roadmap for 2026, noting that the Sacco is targeting significant expansion across all key metrics. This includes growing its asset base to Kshs. 12 billion, mobilizing an additional Kshs. 2 billion in deposits, and increasing loan disbursements to Kshs. 9 billion. In the same vein, the institution aims to achieve revenue growth to Kshs. 1.8 billion while maintaining an income retention rate of 21 percent, reflecting a deliberate balance between growth and profitability.
The Chairman also highlighted regulatory shifts, noting that the Sacco is aligning with the government’s directives requiring enhanced delegate representation. This is aimed at strengthening governance and accountability.
Digital transformation: the engine behind growth
A defining feature of Amica’s success has been its aggressive shift towards digital financial services. Over 85 percent of the lender’s transactions (equivalent to approximately Kshs. 26.2 billion) were processed through alternative channels, including mobile platforms, agency banking, and card-based systems. This transition has significantly enhanced members’ convenience while simultaneously improving operational efficiency and reducing transaction costs.
In addition, the Sacco generated Kshs. 127 million from transaction-related income streams such as charges and commissions, with tea-related activities continuing to play a leading role in this segment. This demonstrates the effectiveness of digital adoption not only as a service-delivery tool but also as a strategic revenue driver.
Expanding beyond traditional banking
Amica’s diversification strategy through Amica Ventures continues to shape its long-term sustainability. The subsidiary contributed to revenue generation by investing in real estate, including the sale of plots and the issuance of title deeds, reflecting a deliberate move to tap alternative income streams beyond traditional lending.
However, the Sacco acknowledged that some of these ventures have not performed as expected. This has had a noticeable impact on overall performance. Nevertheless, it presents a critical opportunity for strategic realignment as the institution refines its diversification approach to ensure consistent returns.
Operational footprint and institutional strength
The Sacco’s operational footprint continues to expand, with its branch network growing to 18 outlets. Notably, newer branches such as Gatura have demonstrated early profitability within a short period of establishment, signalling strong market potential. However, performance disparities persist, with some urban branches, particularly in Nairobi and other key towns, falling short of expectations and requiring targeted operational improvements.
Notably, Amica maintains a workforce of approximately 200 employees, supported by continuous training and professional development initiatives that enhance service delivery, strengthen institutional capacity, and ensure alignment with evolving sector standards.
Risk, governance, and institutional resilience
In his address, the Chief Executive Officer, Dr James K. Mbui, underscored the importance of strong governance and risk management frameworks in sustaining the lender’s growth. “Through these initiatives, we are positioning Amica as a strong, resilient, and future-ready Sacco, capable of delivering sustained value to our members,” he said.
The Sacco has made significant strides in strengthening its risk management architecture, including the development of a business continuity policy and the implementation of decentralized risk identification systems across branches. Risk management has also been integrated into staff performance evaluation, reinforcing accountability and institutional discipline.
Further investments in infrastructure, such as the establishment of a disaster recovery site in Kirwara town and ongoing upgrades to digital systems, are aimed at enhancing operational resilience, ensuring business continuity, and supporting long-term growth.
People, community, and social impact
Beyond financial performance, Amica continues to invest in community development through a range of impactful corporate social responsibility initiatives. These include the pre-university mentorship programme, now in its fifth year. The programme focuses on guiding young people through critical academic and career transitions. Additionally, the youth in coffee initiative aims to promote sustainability and youth participation in agriculture.
By the same token, the Sacco has strengthened its engagement with young people through the formation of Amica Football Club, which has progressed to the FKF Division 2 Eastern Zone A, providing a platform for talent development. The introduction of prestige banking, a product offering insurance coverage for members and their immediate families at a competitive rate, has also been well received, with a growing number of beneficiaries already accessing its benefits.
A future built on confidence and innovation
As Amica looks ahead, its strategy reflects a balanced approach that combines financial growth with governance reforms, digital innovation, and member-centric solutions.
Closing the ADM, Dr. Mbui expressed optimism about the road ahead, acknowledging the collective effort behind the Sacco’s success and reaffirming its commitment to continuous growth.
A cooperative redefined
By and large, Amica Sacco has evolved into a modern financial institution defined by resilience, innovation, and strategic clarity. Its 2025 performance is not merely a recovery story; it is a statement of intent. In a financial landscape marked by disruption and rising expectations, Amica is positioning itself not just to compete—but to lead.
