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The Kenya National Police Deposit-Taking SACCO (KNPDTS) has received affirmation of its 2025 national scale issuer ratings from GCR Ratings, a leading Johannesburg-based credit rating agency. The SACCO retains its Long-Term National Scale rating of A-(KE) and Short-Term National Scale rating of A2(KE), both with a Stable Outlook—underscoring its robust capital base, stable funding profile, and pivotal role in Kenya’s financial sector.
The A-(KE) Long-Term rating signals KNPDTS’s strong ability to meet its financial obligations, backed by disciplined operational practices. As of December 31, 2024, the SACCO reported a core capital to total assets ratio of 33.0%, significantly outperforming the 2023 SACCO industry average of 16.1%. Its institutional capital to assets ratio stood at 27.0%, and core capital to deposits reached 64.0%, both well above the regulatory minimum of 8.0%. The SACCO’s GCR financial leverage ratio was 36.0% in 2024, maintaining a five-year average of 36.9%.
Ranked third among Kenya’s 174 deposit-taking SACCOs, KNPDTS reported total assets of KES 54.0 billion in 2023. Gross loans and advances rose by 10.9% to reach KES 51.9 billion in 2024. Membership expanded to 74,305, primarily composed of police officers and civil servants. With a loan penetration rate of 46.2% as of December 31, 2023, the SACCO maintains a strong market focus.
Funding stability remains a cornerstone of KNPDTS’s model. Non-withdrawable deposits accounted for 90.2% of total member funding, amounting to KES 31.1 billion in 2024. The deposit portfolio remains highly diversified, with the top 20 depositors contributing only 1.1% of total deposits, despite strong ties to the Kenya Police Service. Funding costs edged up to 10.4% in 2024, compared to the 2023 commercial banking average of 5.2%.
Meanwhile, liquidity levels remain robust, with a 61.0% liquidity ratio, well above the regulatory minimum of 15.0%, ensuring ample capacity to meet short-term financial needs.
The SACCO’s asset quality is a standout feature, boasting a non-performing loan (NPL) ratio of 2.4% in 2023—substantially lower than the banking sector’s 14.9% and the SACCO industry’s 8.0% averages. Net interest income, accounting for 82.0% of total operating revenue in 2023, provides a steady and resilient earnings base.
Solomon Angutsa, CEO of KNPDTS, emphasized:
“GCR’s reaffirmed ratings highlight our unwavering dedication to financial strength and member-centered services. As we shape our 2025–2029 strategic vision, we remain committed to fostering savings, providing affordable credit, and promoting financial inclusion.”
The reaffirmed credit ratings from GCR reflect Kenya National Police DT SACCO’s solid financial position, effective governance, and sound risk management practices. As the SACCO advances into its 2025–2029 strategic plan, it remains focused on delivering reliable financial services, competitive returns, and operational excellence, while reinforcing its mission to empower members and enhance financial inclusion within Kenya’s cooperative sector.