THE EFFECTS OF SAVING AND CREDIT COOPERATIVE'SON MEMBERS' SOCIO-CONOMIC CONDITION INPROVMENT: EVIDENCE FROM ENTOTTO SAVING AND CREDIT COOPERATIVES

Abstract

Saving and credit cooperative societies (SACCOs) are established to encourage saving by mobilizing pooled funds they provide loan service to its members at reasonable rate of interest and other financial -related service to enable members improve economic and social condition. The study has focused on the effect of saving and credit cooperative on socio-economic condition of members' or well-being at Entoto SACCOs district Addis Ababa, Ethiopia,2020.The study used an explanatory research design because it built on the exploratory and descriptive and identified the reasons for the occurrences .It looked for causes and effect of the current statues of the study. The study utilized a sample of 233 out of 560 from saving and credit cooperative members' at Entotto district Addis Ababa. They were selected through systematic random sampling method. Data were collected through open and closed ended questionnaire. Data was analyzed using a multiple linear regression model to test relationship and examine the impact of the independent variables on members socio-economic condition .Correlation coefficient revealed that members' amount borrowed, education access consumption expenditure, family size had a strong positive significance influence on members' socio economic condition and while, year in stay, number of time loan availed, saving amount and asset creation had positive significance influence on members' socio-economic condition at st' peters' saving and credit cooperative. It was therefore concluded that saving and credit cooperative affect members' socio-economic condition. Recommendations the study recommend as a result of major finding and discussion. Saving and credit cooperative should involve all stake holders in the promotion and capacity building should be properly communicate with all saving and credit cooperative to encourage members’ to build their financial status, to live better, and improve the socio-economic condition or well-being of the country.