| dc.description.abstract | A lot has been written about tharambee' and Co-operatives
in Kenya, but not about Rotating Savings and Credit Associations
which like harambee and co-operatives are self help of a kind and
which have become a household name not only in Kilungu but in
many parts of Kenya and the world.
This study was carried out between January and June, 1989
in all sub-locations of Kilungu location, Kilome Division in
Machakos District. A sample of 21 Rotating Savings and Credit
Associations was drawn from over 100 unregistered and registered
associations in Kilungu and a sample of 60 individual members of
the associations from allover the location.
The study investigated the social and economic basis and
functions of Rotating Savings and Credit Associations, the
sources of Development and commercial credit in Kilungu Location
and the .contribution of RSCAs to the development of Kilungu
Location.
It has been observed that the motivation to joining RSCAs
is more than making monetary profits because there are
RSCAs are mostly the low income groups who have limited education
and wealth to enable them deal with commercial financial
institutions. Development credit is only available to coffee
farmers to improve coffee cultivation and to the more affluent.
( v )
However, RCAs, the alternative, play a significant role in the
development of Kilungu Location because the money contributed is
used properly for the planned objectives. Other related and
intergrated activities like rotating labour has helped improve
food production in the area. The insurance aspect involved helps
the sick and diseased members and the togetherness and social
solidarity created among members in the groups give them
encouragement and guidance to continue working hard to cater for
their basic and other economic needs even during hard times.
This study further observes that the Rotating Savings and
,Credit Associations, are a success story in Kilungu Location
despite the problem of raising money te contribute,
members. | en |
