Cooperatives Told to Invest in Youth Leadership and Strong Governance

David Obonyo, Cooperative Commissioner making his remarks during this years' 20th Annual SACCO Leaders Summit.

Kenya’s cooperative movement must deliberately invest in youth leadership, accountability, and strong governance if it is to remain relevant and transformative in the years ahead, Cooperative Commissioner Mr. David Obonyo has said.

Mr. Obonyo was speaking in Mombasa in early December 2025 while officially closing the 20th Annual National Cooperative Leaders Conference, a three-day forum that brought together cooperative leaders from across the country to reflect on the future of the sector.

In his address, the commissioner emphasized that cooperatives occupy a unique position in the economy because they are guided by values and principles that distinguish them from conventional business enterprises.

“Cooperative business subscribes to the seven cooperative principles which set it apart from any other business enterprise,” Mr. Obonyo said, urging leaders to protect these principles as the foundation of sustainable growth.

Sacco leader upstanding making his contribution.
Sacco leaders attending the annual leaders summit.

A major focus of his remarks was the need for succession planning and deliberate mentorship of young people within cooperatives. He warned that without grooming future leaders, many SACCOs and cooperative societies risk stagnation.

“Leaders should plan for future SACCO transformation by helping grow young leaders. It is the only way we can be sure of real transformation,” he said. “Unless we have people who will take over from us, we will never be successful.”

Mr. Obonyo reaffirmed the government’s strong support for the cooperative movement, describing it as a key driver of national development. He noted that cooperatives are central to the government’s agenda on job creation, wealth generation, and poverty reduction.

“The government recognises cooperatives as vehicles of economic transformation, and that is why, as a ministry, we are doing anything possible to ensure that we create an enabling environment for cooperatives to thrive,” he said.

He added that the expectation is for cooperatives to play a more visible and impactful role in improving citizens’ livelihoods.

“We want our cooperatives to create jobs, and be able to deliver our citizens from poverty,” the commissioner stated.

On policy and legislation, Mr. Obonyo updated delegates on progress toward a new legal framework for the sector. He revealed that a new Cooperative Bill is currently awaiting adoption by both houses of Parliament, after which it will become law.

“The new business bill is awaiting adoption by the two houses into the new cooperative law,” he said. “As a ministry led by the Cabinet Secretary, we are committed and believe that very soon the new cooperative bill will be with us. It has many good things to help the cooperative movement move to the next level.”

The commissioner also paid tribute to key institutions that support the cooperative ecosystem, including The Cooperative Bank of Kenya, CIC Insurance Group, and the Cooperative University of Kenya. He described them as critical pillars that have helped elevate Kenya’s cooperative movement on the global stage.

“The institutions supporting the movement are vital and need our consistent support,” he said. “Through these institutions, the cooperative movement in Kenya has become one of the best in the world.”

As he concluded the conference, Mr. Obonyo challenged leaders to move from discussion to action, stressing that effective leadership must be defined by integrity, accountability, and measurable progress.

“Let us put what we have learnt here into practice. We need to manage our cooperatives with accountability,” he said. “We need to become leaders who will be remembered to have moved our organizations from point A to point B.”

He closed with a call for unity and inclusivity across the sector, urging cooperative leaders to work together toward a shared vision.

“Let us build a strong and a more inclusive future through the cooperative sector—one that we can all cherish,” Mr. Obonyo said.

The annual conference reaffirmed the central role cooperatives continue to play in Kenya’s socio-economic development, while highlighting the leadership choices that will shape their future.

Leave Your Comment

Recent Stories

Scroll to Top