Despite the economic challenges that rocked the countryâ€™s macro-economic environment in 2011, Polymed Sacco still beat the turbulence and achieved remarkable results with total assets recording 58 percent growth.
Polymed Sacco assets grew from K100 million (about $400 000) to K158.5 million (about $634 000). Their income collections have jumped from K20 million (about $80 000) to K31 million (about $124 000), representing a 54 percent leap. In addition to that, the institutionâ€™s net surplus also grew by 63 percent from K8 million (about $32 000) to K14 million (about $56 000).
During the year, Polymed Sacco also managed to grow its membership which stood at 1 507 from 1 206 as at December 31 2011, representing a 10 percent increase. Furthermore, their total deposits have grown by 302 percent, from K1 million (about $4 000) to K4.4 million (about $17 600).
Sacco president Gloria Chisakasa said Polymed was named the best Sacco in Malawi, out of all 40 Saccos in 2011 because of this good performance.
“The year 2011 saw the Sacco business growing so much that it became well recognised as a financial business that can help grow the Malawi economy. In the year gone by, the Malawi economy faced a number of challenges such as shortage of fuel, forex, poor tobacco sales and poor bilateral relationship with our donors. This led to the change in government policies as the zero-deficit budget came in with so many taxes which led to the price increase of many goods and services. Despite all the above challenges in the macro-economic environment, the Sacco still achieved quite remarkable results in the year,” she said.
She also said that in the first half of the year 2012, Saccoâ€™s unaudited books indicate even more growth in assets from the K158 million recorded at the end of last year to K197 million (about $788 000).
“Our profitability is also showing that we have managed to beat the budgeted profit by 47 percent. We hope that we are also going to give a good return to our members after this year,” she said.
Sacco has since introduced several new products to ensure variety and meet demands of its diverse customers.
“These new products will also help to increase the base of our income because we have introduced other non-interest income sources,” she said.