Amend decree on credit unions - CUA

The Government has been urged to amend the National Liberation Council (NLC) Decree of 1968 Section 252, to ensure the growth and future viability of credit unions.

Mrs Aba Smith, National Chairperson of Credit Union Association (CUA), made the appeal at this year's celebration of the International Credit Union Day in Sunyani, on the theme "Credit Union: Building A Better Tomorrow".

She described the decree as outmoded and said it did not create a competitive and enabling environment for the Association's operations.

Mrs Smith said the Credit Union movement was the only non-banking financial institution with 250 branches throughout the country, adding that, its potential for future growth was very great.

She said the Association with the support of the Ministry of Employment and Manpower Development had drafted a Credit Union Act and expressed regret that work on the draft had delayed.

"We feel something should be quickly done about it," Mrs Smith added.

Mrs Smith said, "We feel we need the government and the government also needs to practically support our efforts on wealth creation and the provision of basic human needs".

She said the movement operated on safe and sound business principles devoid of maximising profits.

It was also alive to its social responsibility to members and had incorporated HIV/AIDS awareness and education in its activities.

Mrs Smith announced that the Board of Directors of the CUA had agreed to float shares and establish a training centre at Kasoa, in the Central Region.

She said as at December 2001, it had accumulated 100.6 billion cedis as deposits while outstanding loans stood at 71.4 billion cedis with a total membership of 103,822.

Prince Yeboah Marfo, Chairperson of the Brong-Ahafo Chapter of the Association, said the region had 30 Unions and Study Groups with more than 11,000 members.

As at December last year, deposits in the Region was 7.3 billion cedis, disbursed 5.2 billion cedis as loans and accumulated assets worth 8.4 billion cedis.

He said, "The negative factors that almost caused the demise of Credit Unions in the country belonged to the past," and asked people to enrol.

Mr. Ignatius Baffour-Awuah, Sunyani District Chief Executive commended CUA for its contribution to the economy and the well being of members.

He advised the administrators of the Union to ensure transparent operations and to be prudent in its lending policy.

Nana Bosoma Asor-Nkrawiri, Omanhene of Sunyani who presided asked union to expand its activities to involve more people.