Namilyango College old students Sacco hits Shs 4.45billion

Namilyango College Old Boys Savings and Credit Cooperative Society (NACOBA SACCO) grew its asset base by 12 percent to Shs4.45 billion in the 2025 financial year, up from Shs3.98 billion a year earlier.

The group, as such, has this year rewarded members with higher returns despite an election-related economic slowdown.

The SACCO paid Shs350 million in interest to qualifying savers, up from Shs300 million in 2024, while proposing a dividend payout of Shs52.3 million to shareholders.

The performance was presented during the SACCO's 11th Annual General Meeting held at Silver Springs Hotel in Bugolobi on Saturday, where members reviewed the audited accounts for the year ended December 31, 2025, and discussed future investment plans.

Board Chairman Denis Owor Obonyo said the growth in assets was driven by higher member savings, increased share capital and continued investment.

Membership rose by eight percent from 572 to 619 after 49 new members joined during the year, while only two members exited the SACCO.

Members' savings increased by 11 percent from Shs2.61 billion to Shs2.9 billion. The loan portfolio also expanded from Shs1.31 billion to Shs1.36 billion.

Despite the growth, total income before savings interest expense fell by seven percent from Shs782.4 million in 2024 to Shs730.6 million.

The SACCO attributed the decline to slower economic activity during the election period, which affected land sales and borrowing by members.

"We observed varied performance in our land sales. While we sold out the remaining 24.5% of the Nakasajja Phase 1 estate during the financial year under review, progress at the Kalagi-Bunyiri Estate was slower due to the economic stress preceding the presidential elections," the report stated.

During the year, the SACCO launched the Kalagi-Bunyiri Phase 1 Estate project in Mukono District, comprising 99 plots. By the end of the financial year, 22 percent of the plots had been sold. Management reported at the AGM that sales had since reached 50 percent, improving the project's outlook for 2026.

Members are set to earn an annual return of 12.07 percent on their savings, up from 11.52 percent in 2024. The board also proposed dividends equivalent to 10 percent of the SACCO's total share capital and share premium of Shs523 million.

Looking ahead, NACOBA SACCO plans to diversify its investments into government securities, strengthen debt recovery, recruit more members and implement a new strategic plan covering the period 2026 to 2031.

The SACCO also plans to intensify legal action against persistent loan defaulters after reducing non-performing loans from Shs209 million to Shs185 million.

Members also received a new Management Information System that will allow them to access savings and loan statements, apply for loans and request savings withdrawals electronically.

Chairman Denis said the SACCO remained committed to protecting members' savings while pursuing sustainable growth.

"I am proud of what our SACCO has accomplished despite the challenges we faced. We appreciate the trust and loyalty of our members and look forward to working together to strengthen our brand and secure a sustainable future," he said.