Rukungiri CAO urges Saccos to initiate financial literacy

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NEWS– The Rukungiri District Chief Administrative Officer Masokoyi Wasswa has urged Sacco managers and administrators to ensure that their clients are equipped with financial literacy in order for them to effectively use their banking services. 

Musokoyi Wasswa made the remarks on Wednesday while speaking at a function where Nyakibale Sacco launched a Memorandum of Understanding with Rukungiri District Local Government and Rukungiri Municipality which will enable the civil servants to access salary loans from the Sacco.

The CAO hailed Nyakibale Sacco for coming up with the Salary loan product for civil servants which he described as a major step in financial service provision for Rukungiri District Employees.

Masokoyi noted that most Sacco managers need to know their clients’ background, capacity to take on various products they offer and this can be successfully done through mass sensitisation on financial management. 

Speaking at the same function, Rukungiri Municipality Deputy Town Ckerk Prosper Tagobya asked Nyakibale Sacco management to ensure that they operate the Salary loan product bearing in mind that they are dealing with civil servants and avoid diverting from the established lending procedures as laid out in the Memorundum of Understanding. 

He however asked the Nyakibale Sacco management to adhere to government financial policies which will help them attract more clients.

Earlier, Nyakibale Sacco Chairman Mpirirwe Aloysius said that the Sacco is built on a strong membership of a total 6,727 members with a loan portfolio of Ugx 5 billion, Capital Share of Ugx 1 billion , total assets worth Ugx 6.1 billion and total savings at Ugx 3.1 billion.

Mpirirwe also said that Nyakibale Sacco has several products which include Voluntary Savings, Institutional Savings Accounts, Fixed Deposit Accounts, Group Savings Accounts and Junior Savings, on top of school fees, home improvement and Boda Boda loans.

He also said that Nyakibale Sacco provides Business Loans, Agri-Business Loans, Development Loans and Group Loans among many others.

Mpirirwe thanked the government of Uganda for allowing to give Nyakibale Sacco a code to facilitate salary loans deductions and thanked Rukungiri District and Rukungiri Municipality authorities for accepting to sign a Salary Loan agreement.

He said that the core values for Nyakibale Sacco remain hinged on intergrity, accountability, punctuality, efficiency and team work which has enabled them to keep a sustainable, financial institution while providing high quality and secure financial services to the shareholders.

The Nyakibale Sacco Manager Julius Ainemukama assured the stakeholders that they will operate the Salary loan product for civil servants according to the established laws and ensure that beneficiaries feel a different touch of handling clients. 

He however emphasised that the Salary loan product is demand driven and ensure total accountability and a qualifying member has an opportunity to apply up to Ugx 30 million and be able to pay back within stipulated time of up to 72 months.

The Regional Relationship Manager of  Uganda Consumer Lenders Association who are in charge of operating the single code that facilitate the Salary loan product in financial institutions Murebire Junior Rwendeire appealed to Nyakibale  Sacco management to ensure that they adhere to laid out guidelines for operating the product in order to remain in partnership with them.

ItThe function was attended by Nyakibale Sacco Board of Directors, management and staff and some Rukungiri Municipality and District Heads of Departments.