Saving and Credit Cooperatives Services and Socio-economic Empowerment of Teachers in Rwanda
Abstract
The provision of better services to members of UMWALIMU SACCO in Rwanda especially in Nyagatare branch, enhance the socio-economic empowerment of teachers ready to get various service and build their lives. The purpose of this paper was to investigate the effect of credit services on members social economic empowerment at Sacco in Nyagatare. This paper adopted survey descriptive research design. The target population was 140 people and sample size was 72 respondents using solvin formula. The data was collected by using questionnaire and interview guide and analyzed using SPSS software version 21 for quantitative findings and thematic approach for qualitative approach. The findings indicated that the amount borrowed depended on the savings made and shares owned, amount borrowed linked to the purpose of the loan, amount borrowed being adequate to undertake a reasonable investments were all friendly. On credit period, results showed that credit period depending on the type of the loan, credit period changing with the size of the loan and affordable credit period were friendly to members. However, members not aware of the policies on credit period and credit periods given by SACCO not favorable for business growth were not favorable to members. The findings also revealed that the increase of SACCOs services (receive cash deposit, Grant loans, provision of salary advance and accept collateral for loans) can affect starting new business and expending the existing business at 95.3%. This implies that the remaining 4.7% can be affected by other variables. The findings also revealed that the increase of SACCOs services can affect the members investments opportunity at the level of 96.2% while the remaining 3.8% can be affected by other variables. Though, the increase of SACCOs services can also affect members health members at 96.4%. This also implies that the remaining 3.6% can be affected by other variables. However, it was also showed that there is a statistical relationship between saving money using saving account and investing in other business r = .880 and P-value = .000 < .05. This paper also recommends that SACCO should allow its members to withdraw their savings as needed and the minimum balance and be friendly to members.
Keywords: Saving and Credit Cooperatives, Socio-Economic, Empowerment, Teachers & Rwanda.
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