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Rising medical borrowing threatens household savings, investments, and long-term economic growth.[File, Standard]
SACCO Societies Regulatory Authority (SASRA) recently released a report revealing critical shifts in financing priorities. In the first quarter of 2026 alone, regulated saccos disbursed Sh2.79 billion in medical loans, a staggering 31 per cent increase from the Sh2.13 billion disbursed in the same period in 2025.
In context, the very institutions founded to assist members exert control over their economic livelihoods have medical lending as a fast-growing loan category, signaling a troubling shift in the cooperative movement role.
Medical emergencies until recently were met through harambees, but with economic pressures intensifying, those safety nets have weakened, forcing many to turn to saccos.
