Co-operative Credit Union Limited

The Co-operative Credit Union Limited of the University of Ghana succeeded in raising its Net Assets of about GH?25.1million in 2013 to over GHC 35 million in 2014, earning the Union a net surplus of about GHC1.9 as against GH?1.8 in 2013.

Co-operative Credit Union LimitedThe Net Surplus realized at the end of the 2013/2014 financial year represents a 6.6 per cent on the total average asset size and 9.7 per cent growth over the previous year?s surplus.

The Management Board has therefore proposed a dividend payout ratio of 40 per cent of the net surplus, which amounts to GH?792,191.27, compared to GH?541,590.98, which was 30 per cent of the net surplus in 2013.

Professor Peter Quartey, Management Board Chairman of the Credit Union disclosed these at the 2014 Annual General meeting in Accra, where the outgoing Executives were given an opportunity to account for their stewardship for the past financial year.

According to him, the gains made during the financial year, which ended on June 30, 2014, were made, despite the challenging and unstable macroeconomic environment within the country over the past financial year.

?We have seen rising interest rates, significant exchange rate depreciation and other resource flow challenges within government finances and the payment of subventions to public sector institutions?, he said.

Prof. Quartey said these affected the timelines of wages and salaries from government, since majority of the Union members drew their salaries from government, which affected liquidity within the Credit Union, and but for the proactive financial management of resources, it would have had to turn away members? request for loans and withdrawals.

He also explained that other developments such as the Monetary Policy Committee of the Bank of Ghana?s upward review of its policy rate by a percentage point, which remained the same until September 2013, affected the Treasury bill rates, increasing the 91-day Treasury bill rate marginally from 21.66 per cent in January to 21.75 percent in February 2014.

He said the Management Board would continue to engage in strategies that would promote and develop the Union to ensure that it maintained its lead in the Credit Union fraternity in the country.

Mr Fidelis Bazaanah, General Manager of the Co-operative Credit Union Limited in Ghana, adjudged the University of Ghana branch of as the richest and largest Co-operative Credit Union in the country, but cautioned its management against being complacent about the achievements, but to work hard to maintain the growth.

The newly elected Management Board, chaired by D Jonathan N. Anaglo, a Lecturer at the College of Agriculture and Consumer Sciences of the Department of Agricultural Extension of the University of Ghana, as well as Loans Committee members and the Supervisory Committee Members were sworn into office.

Shareholders at the close of the meeting adopted the resolution by the Management Board for the payment of the 40 per cent dividend of the net surplus to members through their Savings account and adopted the auditor?s report.

GNA

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