Analysis of Factors Affecting Compliance To Sasra Regulations By Deposit Taking Saccos In Kenya; A Case Of Kisii County
DOI:
https://doi.org/10.47941/jbsm.3286Keywords:
Stakeholder Management, Project Implementation, Stakeholder Engagement, County GovernmentAbstract
Purpose: This study aims to analyze the factors influencing compliance with SASRA regulations by deposit-taking SACCOs in Kenya, focusing on Kisii County.
Methodology: The study adopted a census approach, targeting all 11 deposit-taking SACCOs in Kisii County. A descriptive survey design was used, employing structured questionnaires for primary data and secondary sources such as journals and SACCO financial reports. Reliability and validity of the instrument was tested through a pilot study and evaluated using Cronbach’s alpha coefficient, with all variables meeting the acceptable threshold of 0.7.
Findings: Correlation analysis indicated strong, statistically significant relationships between compliance and the three variables: capital adequacy (r = 0.859), liquidity (r = 0.831), and corporate governance (r = 0.817). Regression analysis revealed that 73.9% of the variation in compliance could be explained by these three factors, with corporate governance and liquidity having significant positive effects, while capital adequacy showed a negative but statistically insignificant effect.
Unique Contribution to Theory Practice and Policy: The study recommended that SACCOs prioritize strengthening corporate governance structures, including enforcing board tenure limits, enhancing board-management communication, and involving shareholders meaningfully in decision-making.
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Copyright (c) 2025 Ruth Gichangi, Dr. Julius Miroga
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