United Nations (UN) Sacco grew its surplus to K77.2 million as at December 2018, a significant jump from K57.1 million surplus recorded in the preceding financial year, the Sacco reported on Friday.
Addressing the members at the Sacco’s 17th Annual General Meeting (AGM) in Lilongwe, UN Sacco president Pamela Mkwamba said during the period under review, the Sacco has seen almost all major indicators in the financial statement performing well, despite a tough operating environment.
Mkwamba said the Sacco has also recorded its income to K146 million, compared to K108 million registered in 2017.
In the same vein, the Sacco has also grown its assets by 42 percent to K589 million in 2018, up from K415 million in 2017.
“This superb performance has been possible with the many investments the Sacco has made in human resource, trainings, marketing and professionalism,” she said in an interview on the sidelines of the congress.
Mkwamba said during the period, the Sacco also reduced its interest rates for its members as a way of making its loans affordable.
According to the treasurer’s report, in 2018, interests on loans were reduced from an effective rate of 32 percent per annum to 28 percent per annum, before reducing further to 24 percent per annum this year.
On challenges, Mkwamba cited non-renewable contracts of members within the UN system as one factor which is affecting the Sacco’s membership base.
She also bemoaned lack of computerisation of its operations which she said is causing operational inefficiencies and poor service delivery to its members and its stakeholders.