Minescho co-operative credit union makes impressive performance

The Minescho Co-operative credit union in the Western Region, has recorded assets growth by 18.4 per cent from GHC9,137,836.09 in 2017 to GHC10,815,554.91 in 2018.

The impressive performance has changed the union's position from medium credit union to large credit union, and from grade 'E' to grade 'B' under the industry classification.

Professor William Kwame Buah, Chairman of the Board of Directors, disclosed this to members and shareholders at the 26th Annual General Meeting held at Tarkwa at the weekend.

He said Minescho posted a net surplus of GHC669, 510.67 in 2018 representing 25.5 per cent increase in surplus over GHC533, 602.64 recorded in 2017.

The shares of the credit union improved to GHC1, 881,519.78, representing 154.1 per cent over the previous figure of GHC740, 407.73, he told the shareholders.

In the year under review, Prof. Buah stated that the credit union undertook major strategic revision to respond to the changing risk models of the financial industry and to reposition the credit union for growth.

He added that following the five years of slow growth, they embarked on a strategy to restore the union’s operations performance to an attractive growth trajectory.

Even though the year under review was a challenging one following the severe macroeconomic challenges from the preceding two year, he said the various strategic actions the board initiated to improve the resilience of their business to external shocks including; tightening of their risk and control measures have positively impacted their results.

"The credit union remains resolute and committed to providing top-notch modern electronic services to its members via strong partnership with international and indigenous banks in Ghana" Prof. Buah assured stakeholders.

The board chairman emphasised that considering the current state of the financial industry in the country, they expect a strong regulation of the financial industry and therefore need to reposition Minescho credit union strategically to embrace the declining lending rate, spread their risk and eliminate risk concentration of lending to few individuals, prudent cost-cutting strategies and varied products of members choice.

The Acting Chief Executive Officer (CEO) of Ghana Co-operative credit Union Association (CUA), Mr. Stephen Asiamah, in a speech read on his behalf, commended the credit union for its operational results and urged it to discharge their duties efficiently and effectively to benefit members.

He explained that there was the need to grow credit unions beyond the old approach of doing business locally at their corner and think globally as a new direction.

Mr. Asiamah encouraged all members to join hands to grow the membership of the credit union as well as increase savings base of the union and urged the Board of Directors to do more for the union especially in their current trend of panic withdrawal experienced by other financial institutions in the country.

Mr. Glibert Kennedy Asmah, Municipal Chief Executive (MCE) of Tarkwa Nsuaem, congratulated the board, committee members and shareholders for striving to sustain the credit union despite the numerous problems in the financial sector.