|Group Photo of delegates at the 21st Yearly General Meeting: PIX: by MSJoof|
At a time when credit unions are regarded the “sharpest cutting edge against poverty”, the National Co-operative Credit Union of the Gambia (NACCUG), is taking strategic actions to ensure Gambia’s credit union movement continues to be financially relevant to affiliates.
The apex body’s board of directors said it ensured assets under its custody from January – December 2011 are adequately safeguarded while the keeping a financially healthy account.
At is yearly general meeting on April 21, 2012, under the theme: “Cooperation Strengthens Economic Growth”, NACCUG’s Treasurer, Omar Jallow, revealed the association’s financial status stands at D42.3 million in 2011, representing an increase of 12 per cent (%) compared to D37.8 million in 2010.
Mr. Jallow also noted that NACCUG’s investment has rised from D20.4M to 28.1M, increasing by 38%. Contrary to this, the current assets drop as low as D4.9M last year from D7.5M in 2010, a fall of 35% at year’s end.
However, the association’s equity has risen by eight per cent from D24.5M to D26.4M.
While NACCUG and its credit union affiliates continue to mobilise statutory reserves for onward investment in their shareholding with the association, the financial status of shareholders increased by nine per cent - from D13.3M in 2010 to D15.7M in 2011.
NACCUG’s liabilities stand at D15.3M as of 2011, from D12.8M in 2010, this; Mr. Jallow said is as a result of an increase Members Fund and Central Finance Facility (CFF) loan loss reserve.
The later, the CFF rised to D12.6M last year from D10.2M in 2010, as a result, he announced that the Board of Directors approved and paid a nine per cent interest per annum to the depositors’ fund.
|NACCUG’s Treasurer, Omar Jallow: PIX: by MSJoof|
The financial report of the credit union movement, NACCUG also indicated that its dependency on donors has dropped from 21 per cent to 10%, and the Treasurer is hopeful that they can do better in 2012.
He also revealed that NACCUG has received its final annual revenue grant of D595, 009 being financial support from the International Development Foundation Limited, ILCUF, which was preceded by a grant D1.1M in 2010.
A sum of D254, 931.00 was also given to NACCUG by the Rural Finance Project to add to its revenue generation; delegates to the 21st annual general meeting who gathered at the NACCUG Kanifing office were told.
The Chairman of NACCUG, Baboucarr Fatty sums it all. When he reported an 11 per cent rise in membership from 40, 546 in December 2010 to 44, 847 in December 2011, representing 57% of NACCUG’s annual membership target.
Savings grew from D275M to D366M with a growth of 33% and 227% our annual target, while outstanding loans also rised from D213M to D277M, which correspond to a growth of 30%, Mr. Fatty, said.
On this backdrop, the Registrar of Cooperatives, represented by Mr. Ebou Mendy, said Credit Unions are not only tools for addressing financial and social needs of members but also recognised by the Gambia Government as having the ability to alleviate abject poverty among the rural and urban poor.
|NACCUG Board Chairman, Baboucarr Fatty: PIX: by MSjoof|
However, he notes that NACCUG is grappling with supervision of its affiliates under a weak regulatory environment, which he blamed on the restructuring and change of leadership over the years at ministry of agriculture and the registrar’s office.
In a goodwill message from ILCUF, Abdou Karim Sey, a representative, said NACCUG has made giant strides towards assuring itself sustainability as an apex body supporting, monitoring and training affiliate members.
ILCUF announced that it has already began a three year support programme for Gambia with the help of Irish Aid and several Irish Credit Unions, aimed at establishing a network of credit union regional offices to improve services in rural areas.
The ILCUF also revealed that it will soon kick start a project supported by the European Union Irish League to link the Credit Union movements of Gambia, Ghana, Sierra Leone and Liberia.
Written by Modou S. Joof
Follow on Facebook: The-North-Bank-Evening-Standard