Deposit‑taking SACCOs are expanding digital services, prompting commercial banks, fintechs and other payment providers to compete for a share of the growing payments market.

Regulated SACCOs held assets of KSh1.21 trillion in 2025, up from KSh1.08 trillion in 2024, while member deposits rose to KSh832.74 billion, indicating a sizeable pool of financial activity for providers.

Gross loans and advances reached KSh948.67 billion, creating recurring transaction flows that banks and payment firms can tap for services such as loan repayments, transfers and withdrawals.

The number of digitally enabled SACCOs (DT‑SACCOs) offering electronic products grew from 236 in 2024 to 267 in 2025, with approved digital products increasing from 345 to 407, broadening the infrastructure needs of these institutions.

Co‑operative Bank remains the leading provider of traditional payment links, serving 92 DT‑SACCOs for cheque issuance and settlement in 2025, while Family Bank and KCB also supply services to smaller numbers of SACCOs.

Real‑time payment platforms such as PesaLink are widening competition; Co‑operative Bank integrated 21 DT‑SACCOs in 2025, with Family Bank, NCBA and newer entrants like Interswitch and Safaricom also offering connectivity.

Mobile‑money operators are entering the SACCO space, exemplified by Airtel Money’s 11.1 % market share in Q2 2026 and its expanded links with banks for bank‑to‑wallet and cross‑network transactions.

Agency banking networks are growing, with SACCO agents increasing from 4,247 in 2024 to 4,377 in 2025 and transaction volume rising from KSh31.64 billion to KSh37.07 billion, showing higher usage intensity than physical expansion alone.

The sector’s digital expansion is also generating valuable financial data; the government’s proposal to broaden credit assessment for repeat Hustler Fund borrowers would draw on transaction information from banks, SACCOs and digital lenders, subject to consent‑based sharing.

Banks such as I&M are leveraging digital onboarding, mobile‑money links and alternative data to grow retail and SME business, with about 25,000 customers opening accounts digitally each month.