Coops urged to embrace technology for competitiveness and resilience

WANGARI NDIRANGU-KNA

Cooperatives have been urged to embrace technology to remain competitive and resilient.

Cooperative and MSME Cabinet Secretary Wycliffe Oparanya said in today's digital era, the costs associated with acquiring and maintaining technological solutions pose a significant challenge but urged cooperatives to pool their resources and invest in shared ICT platforms through the four-tier cooperative structure.

Speaking during the third annual cooperative movement stakeholders’ forum in Naivasha, Oparanya noted that the benefits of a shared platform would see cost reductions for software, hardware and data management, enhanced protection against cyber threats as well as improved service delivery and access to global payment systems, fostering financial inclusion.

“The Cooperative Alliance of Kenya (CAK) plays a crucial role in facilitating these shared services and ensuring the movement adapts to technological advancements,” Oparanya said and challenged the leaders to ensure cooperatives remained resilient and continue to serve as a driving force for economic development, empowerment, and community transformation.

He commended the Cooperative Alliance of Kenya (CAK) for its leadership and efforts, particularly in promoting the Co-opTech Shared Services Cooperative, a timely initiative, even as the government prepares for the enactment of the new Cooperatives Act.

CAK chairman Mcclound Malonza urged the Co-operative Sector players to harmonize their training programmes and forums, to allow for cooperative leaders and employees to avoid timing conflicts as well as limited budgets.

“By aligning these programmes, we can ensure cooperators have the opportunity to attend more relevant forums and allocate resources more effectively, enhancing the overall development of our movement,” he added.

To build prosperity for all, Malonza affirmed that CAK is helping cooperatives embrace innovative solutions in their businesses.

“Through CoopTec, we seek to provide a shared technology platform, which is an opportunity for cooperatives to modernize, streamline operations, and leverage technology to deliver better services,” he

Malonza urged all the cooperative leaders to support CoopTec even as CAK supports them to remain competitive in an increasingly digital world.

CoopTech SuperApp is an all-in-one platform designed to transform SACCO operations, offering seamless digital services for members and staff.

According to CAK CEO Daniel Marube, the setting up of a technology platform was informed by a rise in fraud thus the mechanism of the shared platform would guarantee the protection of depositors’ money in Saccos.

“The goal of the technology is to make fundamental banking services accessible to cooperative organizations that have struggled to generate the significant budget required to buy and operate flexible transaction systems that prevent fraud,” he said.

The common transaction platform, Marube noted, would improve reliability and cyber security and make services affordable, like those in the banking sector.