Abstract:
The purpose of this study was to examine the effect of member ethical values’ education on loans of SACCOS and sustainability.
The study was carried out in Uasin-Gishu County where there is persisting cases of non-performing loans. Cross-sectional
research design was used. The target population was all SACCOS in Uasin-Gishu County. Twenty-four SACCOS were picked
whereby non-performing loans were analysed before a SACCOS taking member ethical values sensitization education and
after. Further, member ethical values educational sensitization was measured using co-operative ethical values of honesty,
openness, social responsibility and caring for others. Both quantitative and qualitative data were collected through
questionnaires and in-depth interviews. Qualitative data were analysed using content technique while quantitative data were
measured using binary logistic regression. The findings indicate that member ethical values education on loans has a positive
significant relationship with SACCOS’ sustainability; p-values were less than 0.05. The study concluded that member’s ethical
values education plays a critical role on SACCOS’ sustainability. The behaviour of an individual towards a loan taken was
determined by the personal ego; that is, the mindset which dictates individual consciousness on behaviour; hence, commitment
to repay. The study recommends to SACCOS’ Managers, Ministry of Fisheries, Livestock and Co-operative Development to
provide continuous SACCOS’ ethical values’ sensitization education so as to improve co-operative performance on loans
