30.05.2009 Business & Finance

Credit Unions to switch to automated system - GM

30.05.2009 LISTEN
By gna

Accra, May 30, GNA - The Ghana Co-operative Credit Unions Association (CUA) will switch to an automated accounting system by the end of this year, initially with some 100 accounts, its General Manager said at the weekend.

Speaking to the Ghana News Agency in Accra, Mr Emmanuel Oduro Darko said all credit unions under the CUA would be hooked to the automated system within the next three years.

The number of credit unions operating under the Association is also expected to increase from 356 to 450 by the close of 2009, he added.

Mr Darko said the Association would adopt an insurance scheme to provide deposit protection for all the unions and safeguard members' savings in the event of any downturn or bankruptcy.

Other areas would also be explored to expand the CUA's risk management programme to protect members' savings and loans against mishaps, such as deaths or disabilities.

He said the Association was embarking on capacity building training for the staff to bring their performance to standards and also match their output with the rapid growth in the number of Credit Unions, especially among churches and in rural communities.

Mr Darko called for “a workable law” to guide the operations of Credit Unions to enable them live up to expectation.

While urging government to come out with a comprehensive plan to support the Association, Mr Darko appealed to the Bank of Ghana to develop guidelines to regulate the Credit Union concept.

He said the Association would complete a training centre project currently in progress at Kasoa this year at an estimated cost of GH¢2,200.

He urged organizations and individuals to join credit unions so as to enjoy the benefits.