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dc.contributor.authorNgui, Alexander Mwanthi
dc.contributor.authorJagongo, A. O.
dc.date.accessioned2019-09-11T08:22:02Z
dc.date.available2019-09-11T08:22:02Z
dc.date.issued2017
dc.identifier.citationInternational Journal of Social Science and Humanities Research Vol. 5, Issue 4, pp: (596-604), Month: October - December 2017en_US
dc.identifier.urihttp://ir-library.ku.ac.ke/handle/123456789/19647
dc.descriptionResearch Articleen_US
dc.description.abstractThe purpose of this study is to establish whether capital adequacy has any effect on the financial performance of deposit taking savings and credit co-operative societies in Kenya. The study used a comparative research design where a census survey was carried using DT-Saccos empirical data from SASRA supervision reports and Saccos audited accounts. The target population comprised of 175 fully licensed DT-Saccos in Kenya as at 31st December 2016 as per the SASRA register. The research design utilized is descriptive since it compared two periods between 2007-2011 when SASRA requirements on capital adequacy had not been fully enforced as the law allowed for 4 years compliance period and 2012-2016 when the capital adequacy was fully in force. According to Sacco Societies Act 2008 article 10, all Sacco societies carrying out deposit taking business were given four years to build their capital to the regulatory standards. The four years given were to end officially in 2011 and thereafter full implementation of the Act would take place. The relevant secondary data was analyzed and inferences made about the relationships between capital adequacy and performance of DT-Saccos in Kenya. The data involved time series and cross sectional attributes which gave it a longitudinal element. To remove bias, a period of 10 years was subdivided into two, pre-full implementation of SASRA core capital requirements period 2007-2011 and post-full implementation of SASRA core capital requirements 2012-2016. The study concluded that capital adequacy influenced the financial performance of DT-Saccos in Kenya as explained by the findings. To continue strengthening the DT-Saccos in Kenya, the study recommended the review of the core capital requirements by SASRA and improving the ratios through issuing more specific parameters on how to monitor the same. For example, Deposit taking societies would benefit a lot through adjusting their dividend payout ratios. A one percentage reduction of dividend payout would significantly improve the institutional capital of the DT-Sacco.en_US
dc.language.isoenen_US
dc.publisherResearch Publish Journalsen_US
dc.subjectCapital Adequacyen_US
dc.subjectFinancial Performanceen_US
dc.subjectDepositsen_US
dc.subjectSavings.en_US
dc.titleCapital Adequacy and Financial Performance of Deposit Taking Savings and Credit Co-operative Societies in Kenyaen_US
dc.typeArticleen_US


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