Table 3

Timeline of events in the history of the Umurenge SACCO financial inclusion program in Rwanda

YearTimeline of events
December 2008The idea of Umurenge SACCOs was discussed and supported during the National Dialogue Meeting
March 2009Umurenge SACCO policy was adopted by Cabinet
June 2009All districts began working on implementing the Umurenge SACCOs
August 2009Umurenge SACCO boards were elected in all 416 sectors in Rwanda
October 2009The Rwanda Cooperative Agency (RCA) grants legal status to all SACCOs established under the Umurenge SACCO program
June 2010All SACCOs established under the Umurenge SACCO program are given a provisional license by the National Bank of Rwanda (NBR) to begin mobilizing capital and deposits. Lending was not allowed at this stage
November 2010MINECOFIN conducted a comprehensive joint assessment of challenges experienced in implementing the SACCOs
May 2011NBR appoints two inspectors in each of the country's 30 districts to monitor SACCOs' compliance with laws and regulations
November 2011Umurenge SACCOs officially launched in 30 districts of Rwanda
January 2012All SACCOs were allowed to issue loans while maintaining a liquidity ratio of 80%, far above the 30% required by law
June 2012All inspectors complete intensive training from the World Bank and NBR issues a savings and credit policy guide for SACCOs
December 2012The NBR releases the first SACCO rating report
January 2013The NBR issues internal control guidelines for SACCOs to curb cases of fraud and embezzlement
June 2013All 416 SACCOs are fully licensed by the NBR and allowed to reduce their liquidity ratio from 80% to 60%
July 2013304 SACCOs are stopped from receiving government subsidies to cover their operational costs, and the NBR allows 218 SACCOs to decrease their liquidity ratio from 60% to 30% due to satisfactory
December 2013The NBR publishes the second SACCO rating, which reveals that 355 SACCOs (85.3%) broke even without taking government subsidies into account. All 416 SACCOs are authorized to maintain a 30% liquidity ratio
Source(s): AFI (2014) 

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