Matsapha- The Minister of Commerce, Industry and Trade, Manqoba Khumalo, has urged Eswatini’s Savings and Credit Cooperative Organizations (SACCOs) to strengthen governance structures, embrace digital transformation, and reinforce financial accountability to ensure long-term sector stability and growth.
Speaking at the official opening of the 7th SACCO Indaba, hosted by the Eswatini Association of Savings and Credit Cooperatives (ESASCCO), at Esibayeni Lodge in Matsapha, Khumalo said the cooperative movement remains a key pillar in advancing financial inclusion and supporting national development priorities such as poverty reduction, job creation, and inclusive economic growth.
He commended ESASCCO for consistently providing a platform for dialogue, capacity building, and strategic reflection within the sector, noting that the Indaba plays an important role in shaping the future of cooperative finance in the country.
“This Indaba has become a significant platform for learning, reflection, collaboration, and strategic dialogue on issues affecting the cooperative financial sector,” he said.
Khumalo said SACCOs continue to play a critical role in mobilizing savings and extending credit to individuals and communities that may not have access to traditional banking services. Through these institutions, he noted, citizens are able to finance education, housing, agriculture, and small businesses, thereby contributing directly to economic activity.
“SACCOs are not merely financial institutions. They are community-based development engines,” Khumalo said, adding that their contribution to financial inclusion is particularly important for rural communities, women, youth, and low-income earners.
He emphasised that savings remain a cornerstone of sustainable development, arguing that strong savings culture enables investment and economic resilience at both household and national levels.
At the same time, Khumalo warned that SACCOs must prioritise governance, transparency, and accountability in order to maintain public trust and safeguard members’ funds. He said boards and management teams carry a responsibility to ensure that decisions are made in the best interest of members.
“Good governance is not an option; it is a requirement for sustainability and public trust,” he said.
The Minister also highlighted regulatory compliance as essential to strengthening the sector, noting that adherence to financial rules and standards helps SACCOs manage risk and protect deposits.
In addition, Khumalo pointed to digital transformation as a major opportunity for the cooperative sector, urging SACCOs to adopt technology-driven solutions such as mobile platforms, online loan applications, and electronic payment systems to improve efficiency and service delivery.
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