New Vision Credit union asked to diversify investments

CedisManagement of the New Vision Co-operative Credit Union (NEVCCU) Limited, Ho, has been advised to diversify its investments to solidify its financial position.

The Union must also embark on a vigorous membership drive to expand and strengthen its membership base beyond Ho.

Mr Bene-Pewudie, Volta Region Chapter Manager of the Credit Union Association Ghana and Mr Stephen Quarshie Dzorkpata, former Board Member NEVCCU gave the advice at the 17th Annual General Meeting of the Union in Ho on the theme: “raising capital, the role of the Credit Union.”

The Union’s Statement of Financial Position as at June 30, 2014 signed by Senyo Alphonse, Chairman and Agbettoh Vivian Treasurer and approved by Stephen Amewu, Regional Co-operative saw a dip in the Union’s total assets from GH₵ 976,589.91 in 2013 to GH₵ 930,441.11 in 2014.

During the same period its liabilities dropped from GH₵ 1,003,384.35 in 2013 to GH₵ 935,755.93 in 2014 while its capital fell from GH₵ 26,794.44 in 2013 to GH₵ 5,314.82 in 2014.

Total liabilities and capital in 2014 stood at GH₵ 930,441.11 as against GH₵ 976,589.91 in 2013.

“The greatest problem we have is loan delinquency. But for this canker the Union will have made a lot of profit,” Mr Senyo said in his report.

Mr Bene-Pewudie said by June 2016 there should be a quantum leap in the financial position and membership of the Union which stood at 1,340 as at June 2014.

He also stressed the need for the Union to attract young people in order to expand its savings base.

Mr Dzorkpata observed that “the economic situation in the country currently and the financial market calls for credit unions to sharpen the managerial and technical skills to be more competitive and stand the test of time.”

He therefore suggested to the management of NEVCCU to consider introducing products such as Fixed Deposit, SMS Alert, Pension Plan Savings and also run hospitality business from its building once completed.

Mr Dzorkpata asked NEVCCU to follow the examples of the Golden Opportunity and Universe Credit Unions of Jasikan and Hohoe which sprang from very humble beginnings to phenomenal financial heights by diversifying their investments and increasing their membership.

Source: GNA

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