PM outlines five priorities for Africa’s cooperative sector

Dar es Salaam — Prime Minister Dr Mwigulu Nchemba has called on African governments and cooperative leaders to take a new path for the continent’s cooperative movement, built around protecting members’ savings, accelerating digitalisation, empowering young people, financing local enterprises and strengthening regulation.

Speaking on October 15 at the opening of the SACCA Congress 2026 in Dar es Salaam, Dr Nchemba said these five priorities are essential if financial cooperatives are to become real drivers of Africa’s economic transformation. He was representing President Samia Suluhu Hassan at the continental gathering.

The Prime Minister told delegates that cooperatives must move beyond their traditional role as savings pools and become instruments for creating jobs, expanding businesses and improving livelihoods. He said governments, regulators and cooperative leaders should use these priorities to build institutions that respond to members’ needs while supporting sustainable growth.

Trust, he stressed, is the foundation of every cooperative. Poor governance and weak accountability, he warned, could destroy public confidence and put members’ savings at risk. According to Dr Nchemba, every deposit represents the hard work and aspirations of members and their families, which is why competent management, transparency, effective supervision and responsible leadership are non-negotiable.

He also urged cooperatives to move quickly toward digital transformation. Digitalisation, he said, can improve access to financial services, increase transparency and bring services closer to farmers, women, young people and entrepreneurs across both urban and rural areas.

On youth empowerment, the Prime Minister argued that young Africans should not be treated simply as beneficiaries of cooperative services. Instead, they should be seen as innovators, entrepreneurs, leaders and job creators. He called on savings and credit cooperative societies, known as SACCOs, to expand young people’s access to finance, digital tools, skills development and leadership opportunities.

Dr Nchemba further urged financial cooperatives to increase financing for African enterprises, including agricultural producers, processors, manufacturers, women-owned businesses, youth-led enterprises and small and medium-sized enterprises. He said turning African savings into productive investment would help create employment, boost production and support trade across the continent.

Regulation was another central theme. The Prime Minister emphasised the need for closer collaboration among governments, regulators and cooperative stakeholders to build effective oversight. He said strong regulation is vital for good governance, consumer protection, cybersecurity, transparency and institutional resilience.

The congress takes place as Tanzania’s SACCOs continue to expand. Recent figures show that Tanzanian savings and credit cooperatives now serve about 1.9 million members, with combined assets reaching 1.69 trillion shillings. The growth of these institutions reflects a wider trend across Africa, where cooperatives are increasingly relied on to extend financial services to people who are often left out of formal banking.

Dr Nchemba also linked the cooperative agenda to the African Continental Free Trade Area, which opens access to a market of more than 1.3 billion people. He said trade agreements alone will not deliver prosperity without productive enterprises, investment and accessible financing. “Let us build institutions that create jobs, expand opportunities, deepen financial inclusion and unlock Africa’s prosperity,” he said.

The SACCA Congress 2026 is being held under the theme “Building Trust, Driving Transformation: The Future of Financial Cooperatives in Africa.” It has brought together cooperative leaders, regulators and sector stakeholders from across Africa and beyond to discuss strategies for strengthening financial cooperatives and advancing inclusive economic development.