INFLUENCE OF CREDIT RISK MONITORING ON THE GROWTH OF SHAREHOLDERS’ WEALTH IN DEPOSIT-TAKING SACCOS IN NAIROBI CITY COUNTY
Victor Ocharo Kiprono - Department of Economics, Finance, and Accounting, Jomo Kenyatta University of Agriculture and Technology, Kenya
Agnes Njeru - Department of Economics, Finance, and Accounting, Jomo Kenyatta University of Agriculture and Technology, Kenya
ABSTRACT
This study sought to investigate the influence of credit risk monitoring practices on the growth of shareholders’ wealth amongst licensed SACCOs in Nairobi City County. The research applied a descriptive survey. The study targeted a population of 42 licensed DT-SACCOs in Nairobi City County. Target respondents included 168 employees of the DT-SACCOs in the positions of general managers, investment managers, risk managers, and credit managers making financial decisions. The sample for the study was 118 respondents arrived at through a stratified random sampling method upon application of the Taro Yamane formula. The study used primary data to collect relevant information. The study used descriptive analysis and inferential analysis to ascertain the influence between study variables. Results from the study were presented on tables which were interpreted narratively. Results of the study revealed that; credit risk monitoring had a positive and significant influence on the growth of shareholders’ wealth in DT-SACCOs. The study recommended for the DT-SACCOs carry out monitoring for the identification of mistakes and errors as well as monitoring to identify hazardous practices facing the DT-SACCOs.