The International Institute for Science, Technology and Education (IISTE)
Abstract
Following challenges such as mismanagement, conflicting mandates among regulatory bodies and poor corporate governance, the Savings and Credit Co-operative Societies (SACCO) Societies Act No. 14 of 2008 was put in place to address some of these challenges. This paper is anchored on a study on the impact of this legislation on financial management of SACCOs. It will only highlight the impact of the legislation on the corporate governance. The study adopted descriptive research design. Data was collected through questionnaires and secondary sources. Statistical Package for Social Sciences (SPSS) was used to generate the outputs for both descriptive and inferential statistics. From the findings, the legislations have influenced corporate governance to a great extent though there is still room for improvement. The study recommends synchronization of key monitoring tools with the SACCO’s systems and processes achievable via exploitation of information and communication technologies. In addition, it recommends building the right infrastructure and allocating the right resources and human capital. Key words: SACCOs, Co-operatives, performance, shareholders, board, integrity
