Nairobi, June 28 -- The budget-making process for the 2026-27 financial year has ended. Once again, as in previous years, proposals aimed at aligning the tax treatment of savings and credit cooperative societies (saccos) with their unique cooperative character were not considered in the final framework.

That is, of course, the prerogative of policymakers. Budget-making involves trade-offs and competing national priorities. However, this outcome presents an opportunity to step back and interrogate the tax environment.

The issue has never been whether saccos deserve special treatment, but whether our tax system fully recognises the roles saccos play in supporting the foundations of economic growth.

Ironically, saccos, institutions that h...