NATCCU DOING WELL DESPITE FINANCIAL CRISIS - BOARD CHAIRMAN 19th January, 2019
The Navrongo Teachers’ Cooperative Credit Union [NATCCU], has
held its 19th Annual General Meeting [AGM] in Navrongo, capital of
the Kassena-Nankana Municipality in the Upper East. The event which came off
over the weekend was under the theme, “Credit Union, Reliable Place to Sustain
Your Future”. The most-immediate previous AGM of the Union was held on February
17, 2018.
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| Board Chairman, Mr. Isaac Amuriyaga presenting his report |
Mr. Amuriyaga disclosed further that within the period under
review, the Union’s prudent management skills and adherence to the Cooperative
Credit Union Legislative Instrument, LI 2225, increments were experienced in
many other financial indices. He said for instance, the Union’s Total Assets
rose from GH₵4,410,820.43
in 2017 to GH₵5,319,567.48 in 2018 whilst its Total Income also shot up to
GH₵1,052,384.42 in 2018 from the previous year’s figure of GH₵983,763.26. Meanwhile,
Total Expenditure for the period was reduced from GH₵719,382.76 in 2017 to GH₵689,354.14
in 2018.
The Board Chairman’s report also revealed that the Union’s
Share Capital recorded a growth of 18.6 percent depicting a rise from the 2017
figure of GH₵254,105.47 to GH₵301,382.08 in 2018 likewise a rise in Deposits
from GH₵3,619,662.18 to GH₵4,164,396.24 for the same period. He however
observed that, loans recovery efforts for the period was not too encouraging
and charged Management to do more to recollect all outstanding loans with their
corresponding interests so as make the Union more solid and vibrant. He added
that, a debt collections expert known as Advance Debt Recovery Ghana has been
contracted to assist in recovering all outstanding loans owed the Union.
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| A Section of Union Members Looking On Attentively |
On Corporate Social Responsibility, Mr. Amuriyaga said the
Union had done its own bit in giving back to the community whose citizens form
the basis for its existence. In that regard, the Union spent GH₵4,470.00 in
support of the Ghana Education Service in both the Kassena-Nankana Municipality
and Kassena-Nankana West District as well as extended some financial assistance
to the Catholic Church among other beneficiaries.
According to him, the Union has a staff strength of 15, whilst
its membership grew steadily from 4,147 in 2017 to 4,447 in 2018. A branch opened
in the Manyoro area, had also recorded a membership of 77 with a mobilisation
in its coffers amounting to GH₵15,288.00. He observed that challenges the Union
faced during the period included rampant withdrawals, irregular loans
repayment, the dumping of deposits purposely for loans and insufficient
shareholding. He appealed to members to buy more shares and also allow savings
to grow.
CAUTION AND ADVICE FROM THE GUEST SPEAKER
National Board Chairman of the Credit Unions Association
[CUA] of Ghana, Mr. Thomas Abeliyine Azuure who was the Guest Speaker at the
AGM, expressed his sympathies to Ghanaians and particularly, members of credit
unions who lost their monies through dubious investment schemes over the
period. He cautioned Union members against investing in any financial
institution that promises very juicy and outrages interest rates stressing
that, such high rates automatically, come with high risks and without any guarantees
to fall on in case things go bad.
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| Another Section of Members At the AGM |
Mr. Azuure noted that, as Ghana’s financial sector undergoes
restructuring which saw the collapse and consolidation of some banks, some
credit unions with low yields may also be affected in the future. He thus urged
the Unions to redouble their mobilisation efforts and also adopt new innovative
ways such as use of technology to rake in more funds as well as, to ease up
transactions for members.
He tasked Managers of the Unions to continue to work within
the regulations and ethics governing Credit Unions as the Bank of Ghana had
relaxed its supervision and other routine checks on the Unions trusting that,
CUA was doing a good job providing oversight duties in the sector. He for
instance warned Union Managers; “do not engage in concocting mandatory reports
for you will be punished when audit uncovers such acts.” He observed that, lack
of proper internal controls and inadequate risk assessment were among some
obstacles that could cripple a Union and advised Management and Board of NATCCU
to be on guard.
Manager of the NATCCU Mr. Solomon Kantorgje Agaa, in his
remarks mentioned products the Union has for members and the general public as
Member Savings, Member Shares, Special Savings, Fixed Deposits, Youth Savings
and Loans amongst others. He announced that the Union now had activated a
mobile money number [055 - 794 56 67] to ease deposit payments for members
while more field staff will be recruited in the coming months in order to reach
out to more members and new entrants.
Mr. Kantorgje added that discussions with the Controller and
Accountant General’s Department had ended successfully and that, all Public
Sector workers such as those in the Ministry of Health and the likes can now enroll
as members of the Union to access all the laudable products on offer.
The NATCCU began operations on January 31, 1997. It initially
comprised only teachers but its membership was later opened to many more
individuals and groups such as market women, business men and other
professionals. Members make savings over a specified period and become eligible
to access loans for business and other ventures. It is gratifying to note that,
the existence of the union has boosted economic activities in and around the
Navrongo area.
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