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Goldfields Ghana Limited, Damang Mine has extended a hand of support by investing a sum of GHC8000.00 as a seed capital to help set up a cooperative credit Union to cater for the financial needs of its host communities.
Known as ‘promprom Cooperative Credit Union’, a sum of GHC 41,983 shares is recorded to have been purchased in the Union making it financial sound following the successful take-off of the community credit Union.
At the maiden Annual General Meeting (AGM) of the Union since formation two years ago, the interim Board Chairman of the Union, Nana Kweku Baah said the Union has recorded a total of 1982 members make deposits with the Union for the last two years. Out of the number, 1037 were females whilst the remaining figure, 949 were males.
He said considering the rationale behind the formation of the Union, that is to ease the financial burden of members, the Union charges a soft interest of 3% on loans procured by members.
Two committees, loan and Education committee have been formed with the mandate to educate stakeholders on what qualifies to take a loan from the Union.
Considering the importance of the credit union to give financial cushion to members who are mostly farmers and petty traders, Nana Kweku Baah, however, paid a glowing tribute to the management of Damang GGL for the foresight in helping to establish the credit Union for them.
Expressing appreciation to the management of GGL, Nana Kweku Baah reminded the AGM that the success and failure of the Union depended on them.
For this reason, as chief chairing the Board, he would do all he could to ensure that the credit union becomes one of the financially viable credit unions in the region.
A representative of the Western Region Credit Union Association reminded the aboard their core duties. For this reason, he urged them to stay away from giving out loans to themselves and their friends. He said, if the Board heed to his advice, the Union would be financially viable.
They should also work to nip in the bud what he described as ‘deliquent’ loan. The Community Relations Manager of Damang GGL, Mr Abdel Razak Yakubu dispelled the rumour that the credit Union belonged to GGL.
He said, GGL as a good corporate company only helped in establishing the Union by giving out the seed money. That did not make GGL owner of the credit union.
Mr. Razak said the credit Union belonged to the communities as a result, they should see themselves as part and parcel of the Union and strive to make it work.
He told the AGM that considering the Youth in Agriculture Programm GGL has set up for the host communities, it realized the importance of credit union to help members access, hence the idea to assist the host communities with the credit union.