Factors affecting youth participation in savings and credit cooperative organizations in Lira City East

Abstract

Savings and Credit Cooperative Organizations are member-based financial institutions that operate on cooperative values, identity, and principles which include social responsibility, openness, honesty, and caring for each other. Youth is the period of transition from the dependence of childhood to adulthood. The study aimed to determine the factors affecting youth participation in Savings and Credit Cooperative Organizations. The research was a cross-sectional study based on quantitative data collected using semi-structured questionnaires. The survey was carried out in Lira City East. The sample size of 250 youth comprising youth between the age of 18 and 32 years was used. Analysis was done using a binary logistic regression model and odd ratios were reported. The research found that the youth who attained post-secondary education were 2.5 times more likely to participate in savings cooperative society than the youth who either stopped in primary or never studied (P = 0.037), and also the youth in the age bracket of 28-32 years were found to have 3.4 times more likely hood to participate in savings cooperative than the youth in the age bracket of 18-22 years (P = 0.036), and also the male youth were 0.355 times less likely to participate in savings and credit cooperative society than the female youth (P = 0.003). The study recommends that the government should; use SACCO as an agent of all youth development initiatives such as youth development funds; carry out mass sensitization of the youth about the importance of joining SACCO through radio and television programs. The youth themselves need to attend financial literacy training that would help them acquire knowledge and skills and change their attitude toward the saving cooperative society. The study concluded that marital status of youth, age of the youth, employment status of youth, and level of education of the youth is associated with youth’s participation in SACCO.