Police Exodus Sacco has grown savings to shs29.9bn in four years- managers tell parliament

The managers of the Police Exodus sacco have told parliament that the sacco is performing well, having grown savings to shs29.9 billion in just four years.

On Tuesday, the deputy Inspector General of Police, Maj Gen Geoffrey Katsigazi Tumusiime together with Senior Commissioner of Police Wilson Omoding and other sacco managers interfaced with the parliamentary committee on defence and internal affairs where they detailed the sacco’s performance.

“We have been able to build a savings culture through sensitization and as result increased member savings from shs10.9 billion in 2017 to shs29 billion,” Omoding told parliament.

He explained that the savings have specifically grown from shs18.9 billion in 2019 to now shs29.9 billion in 2022 which he said is a big achievement.

The Police Exodus sacco managers said the share capital of the sacco has also steadily grown from shs4 billion in 2017 to now shs9.2 billion in 2022 whereas membership has grown to 42990 representing 70% of the officers in the force.

They noted that in the past four years, they have given out loans worth over shs78 billion to members in the past four years alone.

“We have opened and operationalized 13 branches countrywide to enhance service delivery to members and improve on operational efficiency. Our loans have enabled the members to engage in productive activities that have created job opportunities in their communities.

Omoding told parliament that the Exodus SACCO is welfare vehicle for personnel of the Uganda Police force with a composition of junior and senior officers and civilian staff working with the force.

He explained that previously, the policy on savings withdrawal from the sacco was unclear as members were allowed to access their savings often without control or regulation but noted this was changed in 2020.

“The 8^th  Annual General Meeting  resolved that members should be allowed to access part of their savings twice a year. The resolution however left the power to the board to regulate when during the year the member would be invited to apply for a savings withdrawal,”Omoding told parliament.

He noted that in order to be consistent with the core objective of the cooperative of coming together to create a pool of funds to provide affordable credit to members, the board was given the power to regulate the percentage of savings a member would be allowed to access.

This, he said was to ensure that the sacco maintains its capacity to meet the ever-increasing loan demand of members.

Generally, the sacco does not encourage members to make savings withdrawals and instead encourages them to apply for affordable exodus sacco loans so as to engage in productive activities. However, due to the nature of the environment under which our members operate, we allow regulated savings withdrawals as resolved in the general meeting.”

The Police Exodus Sacco managers said in order for a members to acquire a loan, it should be approved according to their affordability which is determined in line with the public service policy on the deduction of civil servant’s salary.

“ Loans are repaid through the member’s salary and deductions are made at payroll. Shs 70 million is the maximum loan amount a member can be granted and the maximum loan period is 60 months.”