Policy, Advocacy & Regulation

Advocacy, Policy & Regulation

NASCU Zambia represents the collective voice of Savings and Credit Cooperatives (SACCOs), advocating for a strong, inclusive, and sustainable cooperative financial sector. As the apex body, NASCU engages Government, regulators, and development partners to promote an enabling policy and regulatory environment for SACCOs.

We provide coordinated sector representation, contribute to policy development, and support proportionate regulation that strengthens governance, protects members, and advances financial inclusion. Through constructive dialogue and collaboration, NASCU works to ensure SACCOs remain resilient drivers of economic empowerment and community development across Zambia.

Regulatory Framework of Financial Cooperatives in Zambia

Cooperatives in Zambia operate within a legal and regulatory framework designed to promote accountability, member protection, and sustainable development. The sector is primarily governed by the Co-operatives Societies Act of 1998, which provides for the registration, supervision, and governance of cooperatives across the country.

Savings and Credit Cooperatives (SACCOs), as member-owned financial institutions, are subject to additional oversight to ensure sound financial management, transparency, and protection of members’ savings. This includes compliance with applicable financial regulations, reporting requirements, and prudential standards issued by relevant authorities.

Regulatory oversight is currently undertaken by the Registrar of Cooperatives. NASCU works closely with regulators to support SACCO compliance, promote good governance, and advocate for proportionate, risk-based regulation that reflects the cooperative model and advances financial inclusion in Zambia.

Policy Advocacy Initiatives

The Co-operative Societies Act of 1998 is currently under review, and NASCU, working in collaboration with the continental apex body ACCOSCA, has provided progressive policy input to support the development of a regulated, transparent, sound, and stable financial cooperative environment in Zambia. The Ministry of Micro, Small and Medium Enterprises Development (MSMED) has received this input with openness and eagerness and is actively considering the incorporation of the proposed progressive reforms.

SACCO Standards & Compliance

NASCU promotes high standards of governance, transparency, and financial discipline across the SACCO sector in Zambia. In advancing this mandate, NASCU aligns SACCO operations with internationally recognised frameworks such as the PEARLS Monitoring System and other Internationally Accepted Reporting Standards (IARS) relevant to financial cooperatives.

Through these frameworks, NASCU supports SACCOs to strengthen prudential management, risk oversight, performance monitoring, and member protection. To further enhance sector consistency and accountability, NASCU plans to implement a uniform compliance and monitoring tool across all member-affiliated SACCOs. This initiative will enable standardised compliance, comparable performance assessment, and improved governance practices across the sector.

By embedding global best practices into local operations, NASCU aims to build a resilient, well-regulated, and trusted SACCO movement that supports sustainable financial inclusion and economic empowerment throughout Zambia.

Legislative Updates: Co-operative Societies Act of 1998

NASCU, in collaboration with the continental apex body ACCOSCA, has made formal submissions to Government as part of the ongoing review of the Co-operative Societies Act of 1998. These submissions provide progressive legislative input aimed at strengthening governance, enhancing transparency, improving regulatory clarity, and supporting the stability and sustainability of financial cooperatives in Zambia.

In addition, NASCU worked closely with the Ministry of Micro, Small and Medium Enterprises Development (MSMED) in 2025 to develop cooperative teaching and training modules, aimed at strengthening knowledge, compliance, and good governance across cooperatives nationwide.

The proposed legislative and capacity-building initiatives reflect international best practices while remaining responsive to the local cooperative context. NASCU continues to engage relevant authorities to support a resilient, member-centred, and inclusive cooperative financial sector in Zambia.

Apex Policy Papers & Recommendations

NASCU develops and issues policy papers and sector recommendations to guide cooperative development, regulation, and best practice within the SACCO sector. These policy positions are updated and published on a rolling basis, as and when they are prepared, to ensure they remain responsive to emerging sector needs, regulatory developments, and national priorities.