Mudi Savings and Credit Cooperatives (Sacco) Limited on Saturday reported a K184 million surplus in the year ended December 31 2022, a 63 percent jump from the previous year’s K113 million.
An audited financial report presented at the annual general meeting (AGM) in Blantyre showed that the sacco increased its assets by 49 percent from K1.7 billion in 2021 to K2.59 in 2022.
In the year, Mudi Sacco’s loan book increased by 89 percent to K1.7 billion from the previous year’s K926 000.
Speaking during the event, Malawi Union of Savings and Credit Cooperatives (Muscco) chief executive officer Fumbani Nyangulu commended Mudi Sacco for achieving a surplus amid a tough economic environment.
“The economy is not good and if saccos are reporting good surplus, it shows that the saccos are growing,” he said.
Nyangulu commended Mudi Sacco for being the first sacco to hold its annual general meeting.
He commended the sacco for its ambitious target to grow membership to 50 000 by 2027 from the current 13 000, which is in line with the sacco sector’s national ambition of growing membership.
“As a sector, they want to get 500 000 members by 2025 from the current 200 000 members and get to one million members by 2030,” said Nyangulu.
He said Mussco will support the drive to ensure that more people are recruited into saccos nationwide.
During the AGM, Matilda Mtambo was elected as new board of directors’ chairperson replacing Stanley Mpaya, who has completed his term of office.
Mtambo said the sacco’s five-year strategic plan will ensure growth of the loan book to K19 billion from the current K2.5 billion.
“We have put in place yearly strategies which have been developed with our sacco coordinators on how we are going to go forward,” said Mtambo.
She said one of the strategies is an agreement with the shareholders to save 40 percent of their dividends in the non-reedemable share accounts as one way of cushioning the liquidity challenge faced in the year.