Mzinda Sacco posts K18 million profit
Mzinda Savings and Credit Cooperative (Sacco) has posted K18 million profit for the year ending December 31 2017, compared to K13 million from the previous year, representing a profit jump of 38.4 percent.
Outgoing president for the Sacco, Charles Tembo, attributed the performance to members’ commitment.
He said the cooperative show resilience amid the challenging business operating environment that was characterised by high lending rates among other challenges.
“Our enhanced business strategy and good customer relations supported by entry into new markets helped our deposits growth and built customer confidence,” Tembo said.
He said the gains made in 2017 surpassed targets in terms of the agents onboard, deposit attraction and transactions. “We want to ride on this gain and do much better in 2018,” Tembo said.
He said, following the improved performance, the cooperative would carry out a business feasibility study to identify additional branches in a bid to enhance business growth.
Malawi Union of Savings and Credit Cooperative (Muscco) Technical Services Manager, Wisdom Chikanga, said, the growth demonstrates that given a space, Saccos can play a crucial role in growing the individual and national economy.
Most Sacoos in the country posted positive results in the year under review.
Commentators say the concept of cooperatives has proven ideal for socio-economic development of members in the country.
However, the idea is yet to be fully embraced, as the number of registered Saccos in the country remains low than others in the region.
