SUMMARY, DISCUSSIONS, CONCLUSIONS AND THE RECOMMENDATIONS ON
EFFECTS OF FINANCIAL RESOURCE MOBILIZATION OF AINABKOI RURAL
SAVINGS AND CREDIT CO-OPERATIVE SOCIETY LTD ON THE INCOME OF
SMALL SCALE DAIRY FARMERS IN AINABKOI DIVISION
Summary of the findings
According to the findings out of the 85 SSDF, 80.5% supported the opinion that the duration of
membership is key in appraising of loans, 76.2% supported the statement that members are
encouraged to participate actively so as to enable them access loans while 72.9% felt that the
SACCO has different forms of membership. This was interpreted to mean that the members who
have been in the SACCO longer definitely could have more savings and their account activity
has been evaluated longer to ensure one is eligible for the loan. The operation of an individual’s
account is always used by financial institutions to gauge repayment abilities. Out of the 85 SSDF
who participated in the study, 81.1% were of the opinion that the guarantor of the loans has to be
a member of the SACCO, 74.6% were of the statement that other assets of the member can be
used as a security when borrowing, while 67% were of the opinion that the guarantor of the loans
should be credit worthy in the SACCO. Majority of the respondents supported the statement that
guarantors have to be members of the SACCO. This could be a measure to ensure that the
guarantor of the loan is easily accessible to the SACCO in case of default. This could be a
security measure to ensure efficiency in collection of loans by the SACCO. It could also be to
ensure that the SACCO is able to monitor the activities of both the guarantor and the loanee so as
to ensure the proper payment procedure is followed and when the loan defaults it is easy to
pressure the guarantor to ensure that the loan is paid on time.
Out of the 85 SSDF who participated in the study, 79.3% were of the opinion that the amount
you have saved determines the loan one can get from the SACCO, 76.9% were of the opinion
