SUMMARY OF VC’s ADDRESS TO KENYA DIASPORA ALLIANCE (KDA) ANNUAL HOMECOMING CONVENTION, 2019
The Co-operative University of Kenya (CUK) is a Chartered Public University with a special niche to provide research, training and community engagement in the Co-operative sector and associated economies in Kenya and the region.
CUK provides a variety of services including baseline surveys prior to project initiation, pre Co-operative training to people intending to form any type of Co-operative enterprises, feasibility studies, development of Co-operative By-Laws, facilitation of strategic planning processes, development of statutory and non-statutory policies to guide operations of Co-operatives, CUK-Certified Short Courses for Board and Managers of Co-operative enterprises, customer-service surveys, data collection and analysis, etc.
The CUK would be happy to partner with the Kenya Diaspora Alliance (KDA) to stimulate and consolidate diaspora participation in the socio-economic growth of Kenya and beyond through research, training and community engagement in diverse areas mainly through the Co-operative business model including the current 17 Diaspora SACCOs and Investment groups.
The CUK would like to subscribe regularly as a KDA partner and exhibit at your annual events based on mutually beneficial arrangements such as a Memorandum of Understanding between the Kenya Diaspora Alliance and the Co-operative University of Kenya.
ADDRESS BY PROF. KAMAU NGAMAU, THE VICE-CHANCELLOR OF THE CO-OPERATIVE UNIVERSITY OF KENYA DURING THE 6TH ANNUAL KENYA DIASPORA HOMECOMING CONVENTION
AT THE OLE SERENI HOTEL, NAIROBI, 17TH – 19TH DECEMBER, 2019.
“PROSPECTS FOR THE CO-OPERATIVE UNIVERSITY TO SUPPORT
DIASPORA CO-OPERATIVES AND INVESTMENT CLUBS FOR PROFITABILITY AND SUSTAINABILITY”
Dr. Shem Ochuodho, the President of Kenya Diaspora Alliance (KDA),
KDA members present,
Diaspora Investment Club President and members present,
Invited Guests,
All protocols observed,
Thank you for inviting me as a Guest Speaker at your 6th Annual Kenya Diaspora Homecoming Convention. Karibuni nyumbani.
Mr. President, allow me to state from the onset that from the academia I feel privileged to address this important gathering knowing that the diaspora and universities like ours share common values of universality of knowledge, opportunities and partnership building for meaningful development. The Co-operative University of Kenya (CUK) sees limitless opportunities for collaboration with the Kenya Diaspora Alliance (KDA), the Diaspora Investment Club and the Diaspora Co-operatives in sensitisation of members on unexploited opportunities and capacity building of managers and board members to ensure profitability and sustainability of Diaspora investments in Kenya.
Mr. President,
Perhaps we all know that unlike in the 1990’s when some of us studied, lived and worked outside Kenya without organised networks with other Kenyans living in the diaspora, it is absolutely important to for me to start by congratulating all the 250,000 plus KDA members who have established over 40 associations of Kenyans abroad. It is very encouraging to note that the voice of Kenyans living in the Diaspora becomes louder and more listened to with time and there is steady progress towards significant integration of the Kenyan diaspora into the national development agenda. This is the natural thing to do given that Kenyans living in the diaspora are citizens of Kenya, have family and or relatives in Kenya and continue to remit colossal amounts of money in investments and support to their family. It is important to recognise the contribution of Kenyans in the diaspora in terms of scholarship, intellectual property, investments abroad and at home, annual remittances amounting to about KES 300 Million annually (2.8M USD), support to family and relatives back home, marketing Kenya abroad, shaping public opinion at home and abroad.
Mr. President, members, guests, ladies and gentlemen. Allow me to state that The Co-operative University of Kenya (CUK) is one of the over 30 Chartered Public Universities in Kenya. The CUK serves a very unique niche of the Co-operative sector in which Kenyans living in many countries around the world have invested heavily through 17 Diaspora SACCOs and many Investment Clubs.
The University has a unique mandate to offer co-operative education, research and training for various categories of personnel of the co-operative movement, government officers and the general public to serve as a centre of academic excellence in the region. The Co-operative University of Kenya is therefore critical in building the capacity of the co-operative movement which is key in the realisation of all four pillars of the Big Four Agenda – Affordable Housing, Universal Health Coverage, Food and Nutrition Security and Manufacturing as well as the Kenya vision 2030. The University is therefore working closely with the Ministry of Industry, Trade and Cooperatives and with the co-operative movement to make this a reality. Currently, co-operatives contribute about 45% of Kenya’s GDP and are the 2nd largest employer in the country. The Co-operative business model has been successfully used in Kenya to build very successful investments in agribusiness (mainly dairy, coffee and horticulture), finance (SACCOs, banks and insurance), housing and services.
From its humble beginnings as the East African School of Cooperation in 1952 serving Kenya, Uganda and the then Tanganyika, the CUK has accumulated a great deal of knowledge, expertise and experience in providing excellent services to make Co-operative enterprises and pre Co-operative organisations deliver value to their members in a sustainable manner.
The CUK supports Co-operative enterprises and associated economies in Kenya and the region through research, training and community engagement. CUK provides a variety of services and products that include but not limited to:
- Baseline surveys prior to project initiation;
- Pre-Co-operative training to people intending to form any type of Co-operative enterprise;
- Feasibility studies to determine the socio-economic viability of the intended enterprise;
- Development of Co-operative By-Laws;
- Facilitation of strategic planning processes;
- Development of statutory and non-statutory policies to guide operations of Co-operatives;
- Customer-service surveys;
- Data collection and analysis; and,
- In-house tailor-made courses for Board, Staff and Members.
Starting January 2020, the CUK will offer modular CUK-Certified Short Courses for Board and Managers of Co-operative enterprises and also organize stakeholder consultative forums. I take this opportunity to invite you all to the CUK Annual Conference that will be held on 23 – 24, March, 2020 at the CUK Main Campus in Karen under the theme “Co-operatives in a Changing Ecosystem”.
Mr President,
Unlike many other countries in both the North and South, Kenya has not significantly exploited the potential to utilise the Co-operative business model in the areas of professional service delivery, manufacturing, health, climate change, ICT, creative arts, etc. The CUK would be most pleased to build partnerships to explore possibilities of venturing into these areas and more. By doing so, Kenya would perhaps achieve its Vision 2030 through Business Outsourcing opportunities that many countries are leveraging on today.
Opportunities for investments by the diaspora investment clubs and cooperatives in the ‘Big Four’ agenda are possible in health, housing, manufacturing (value addition) and in food and nutrition security. In the housing sector the government has committed to provide 500,000 affordable houses for the low-income segment, create 300,000 NEW JOBS in the construction sector and increase in the construction sector CONTRIBUTION TO GDP by 100%. Diaspora inflows have already provided significant investment in the housing sector. Areas such as Ruaka are known for having attracted great investments in the development of residential apartments. The investments have mainly been individual and uncoordinated. Diaspora Investment clubs could partner with the government in providing affordable housing. The National Cooperative Housing Union NACHU has made presentations to the government on how it could contribute to the affordable housing pillar.
Under the Food & Nutrition Security pillar the government aspires to increase in the AVERAGE DAILY INCOME of farmers by 34% and to increase the agriculture sector CONTRIBUTION TO GDP by 48%. The government also aspires to create 1,000 AGRO-PROCESSING SMEs & 600,000 NEW JOBS. Diaspora investment clubs and cooperatives could invest in the Agro-processing industry and also seek to provide market outlets in the diaspora for the products. A good example of cooperatives involved in marketing is Flora Holland which is the world’s largest flower auction. In 2018, 12.1 billion flowers and plants were traded at the Royal FloraHolland marketplace. Product sales amounted to € 4.65 billion. The flowers and plants were supplied by 5,550 suppliers and purchased by 2,465 customers. Over 50% of Kenyan cut-flowers are marketed through Flora Holland.
The CUK would be happy to partner with the Kenya Diaspora Alliance (KDA) and the Diaspora Investment Club to further stimulate and consolidate diaspora participation in the socio-economic growth of Kenya through research, training and community engagement in diverse areas mainly through the Co-operative business model including the current 17 Diaspora SACCOs and Diaspora Investment Clubs.
Finally Mr. President,
The CUK would like to subscribe regularly as a KDA partner and exhibit at your annual events based on mutually beneficial arrangements such as a Memorandum of Understanding between the Kenya Diaspora Alliance and the Co-operative University of Kenya.
Thank you, Merry Christmas and Make Your Homecoming Memorable for yourselves and your hosts.
LIST OF KENYA DIASPORA SACCOs REGISTERED BY THE STATE DEPARTMENT OF CO-OPERATIVES AS AT DECEMBER 2019 (Source: SDC, 10th December 2019)
1.Kenya Swaziland Diaspora Sacco Society Ltd; Swaziland
2.Kenya – UK Sacco Society Ltd; United Kingdom
3.America South Rift Diaspora Community Sacco Society Ltd; South America
4.Kenya United Arab Emirates Diaspora Sacco Society Ltd; United Arab Emirates
5.Stoke UK Diaspora Sacco Society Ltd; United Kingdom
6.Corniche Diaspora Kenya Qatar Sacco Ltd; Qatar
7.Kenya Ireland Diaspora Sacco Society Ltd; Ireland
8.Kenya France Diaspora Sacco Society Ltd; France
9.Kenya Canada Diaspora Sacco Society Ltd; Canada
10.Kenya – South Africa Diaspora Sacco Society Ltd; South Africa
11. Kenyans in Nigeria Diaspora Sacco Society Ltd; Nigeria
12.Kenya – Qatar Diaspora Sacco Society Ltd; Qatar
13. Kenya North America Diaspora Sacco Society Ltd; United States of America
14. New England Kenya Diaspora Sacco Society Ltd; England
15. Kenya USA Diaspora Sacco Society Ltd; United States of America
16.Kenya Germany Diaspora Sacco Ltd; Germany
17.Great Pillars Diaspora Sacco Society