Legal framework needed for credit union operations

Page 30, July 11, 2008
Story: Emmanuel Adu-Gyamerah
THE Chairman of the Accra Academy Credit Union, Mr Peter Nortsu-Kotoe, has called for the institution of a legal framework to govern the operations of credit unions.
He stated that since credit unions were basically welfare organisations, laws governing their operations should be different from those governing other financial institutions.
Mr Nortsu-Kotoe was speaking at the annual general meeting of the union in Accra.
He stated that the credit union concept had come to save many people, especially those within the low income group.
Mr Nortsu-Kotoe noted that the union, which was established five years ago, was doing well in spite of the scepticism that was harboured during its inception because of some experiences that the Accra Academy community went through with regard to managing group finances,
‘That fear is now a thing of the past and we can say that almost every member of both the teaching and non-teaching staff is a member”, he said.
He stated that the membership had increased from 93 to 393 with a total assets value of over GH¢135,000.00
Mr Nortsu-Kotoe expressed the hoped that the total assets of the union would hit the GH¢200,000.00 by the end of the current fiscal year.
He said that the union had acquired 150 plots of land at Papase Number One on the Kasoa-Bawjiase Road at the cost of GH¢140,000.00 for sale to its members.
In his address, the Audit Co-ordinator of the Ghana Co-operative Credit Union Association (CUA), Mr Seth Agyemfra Ayeh, said that after 53 years of the existence of credit union, the concept was growing fast because the leadership was prepared to leave a legacy for the next generation.
He congratulated the Accra Academy Credit Union for its achievement and expressed the hope that the leadership would continue to improve on the union’s efficiency in order to provide quality service to its members.