The confusion that was created yesterday as a result of trying to explain the increased interest rates demanded by the SACCOs has forced me to assist and define the two institutions.


Let me begin with Umurenge SACCOs.


Umurenge SACCO is a government initiative aimed at increasing the financial inclusion to Rwandan citizens. The concept of Umurenge Savings and Credit Cooperatives (Umurenge SACCOs) was based on an understanding that banks and other financial institutions were more concentrated in urban areas whilst the majority of the Rwandan population lives in rural areas and totally excluded from the formal financial institutions (MINECOFIN, 2009).


Umurenge SACCOs was established in 2008 with the aim to boost up rural savings and provide Rwandans with loans to improve their earnings and enhance their livelihoods.


Umurenge SACCOs offer basic microfinance services.