The Kenya Union of Savings and Credit Co-operative Organisations (KUSCCO) has officially been placed under liquidation after its registration was cancelled by the Commissioner for Co-operative Development.
The decision was announced through a Gazette Notice published on August 31, 2026, following financial difficulties that affected KUSCCO’s ability to meet its objectives.
KUSCCO members had earlier voted to dissolve the organisation, paving the way for the cancellation of its registration and the start of the liquidation process.
Three officials from the State Department for Co-operatives have been appointed as liquidators. They will take control of KUSCCO’s property, books, records and other documents as they oversee the winding-up process.
The liquidators have been given a maximum period of one year to complete their work.
The move follows years of financial and governance problems at KUSCCO. The organisation had come under scrutiny over a multi-billion-shilling financial crisis that raised concerns about the safety of SACCOs’ savings and investments.
Recent financial assessments showed that KUSCCO had assets worth about KSh5.4 billion against liabilities exceeding KSh17 billion, leaving a deficit of more than KSh11.6 billion.
SACCOs that had invested money with KUSCCO are now hoping the liquidation process will help recover part of their funds.
The government had previously taken steps to restructure KUSCCO and had considered changing its role into a federation focused mainly on supporting good governance within the SACCO sector.
With the registration now cancelled, the liquidators will determine the organisation’s remaining assets and liabilities and oversee the process of settling its outstanding obligations.
The liquidation marks a major turning point for KUSCCO, which has served as an umbrella organisation for Kenya’s SACCO movement for many years.
