The National Co-operative Credit Union (NCCU) reports a surplus of 4.6 million for the financial year 2022.
The information was presented in the institution’s 13th Annual Report by its Treasurer McDowill Paul.
According to him, the credit union has emerged from 2022 with steadfast growth despite the ever-changing fiscal climate, the Covid-19 Pandemic, and Russia’s invasion of Ukraine.
“NCCU was able to generate a $4.6 million Net Surplus and $46.9 million growth in assets for the year 2022 and this is a testament to the hard work of Management and Staff, along with all Committee Members,” Paul said.
He continued, “Operationally, before the.. adjustments to Provision for Risk Assets necessary due to the changes in IFRS 9, the institution would have generated $5.8 million.” Paul added, “This without a doubt stands as testament to the financial soundness of our beloved institution.”
Furthermore, he reported that the Cooperative’s Assets grew by 6.83%, moving from $693.1 million in 2021 to $740.5 million in 2022.
“This is the largest growth that the institution has recorded over the past five (5) years; driven primarily by an increase in Cash and Cash Equivalents and loans which increased by 7.05%,” he stated.
Paul pointed out that a major factor contributing to the rise in cash deposits was the foreclosure of another financial institution in Dominica as new members sought alternative financial solutions.
“This had compounding effects on our liquidity, savings, and deposit accounts and positively impacted our loan portfolio,” he revealed.
He said over the course of the year, the NCCU provided its members with access to a wide range of lending products which catapulted its loans portfolio by an impressive $30.0 million or 7.05% and surpassed management’s strategic goal.
“The credit union also launched the largely successful Snap Mortgage 5.0% in the last quarter of 2022 in an effort to remain competitive and reclaim market share in the dwindling pool,” he stated. “The Net Loans to Total Asset Ratio increased from 55.82% at the end of 2021 to 57.00% at the end of 2022.”
Meanwhile, Paul said despite the economic climate, the delinquency rate slightly decreased in 2022.
“Importantly we must be mindful that delinquency risk is still high and is likely to persist if inflation and unemployment levels continue to rise,” he indicated. “Our target rate per PEARLS rating system remains at 5.0%, however, our closing rate as of December 31, 2022 was 13.42%.”
Members are urged to make loan payments a priority as nonpayment will negatively impact NCCU’s ability to operate effectively.
Members are also encouraged to visit the Loans and Collections Department if their ability to service their loans has been compromised.
@ Customer, It appears to me that you from the UK, one of the easiest and quick way to transfer money from one saving to another is your bank app, I used my bank app to transfer money from the UK, Spain, and Dominica no problem.
I know IBO is a complete Jacka.I want MEME to explain with all his wisdom and wizardry what is meant by assets grew by 6.83%.And what is meant by grew a surplus of $4,600,000,also delinquency rate slightly decreased in 2022.2022 was 6 months ago,smart MEME.I would also like to ask,what section in the law or constitution of Dominica that make provision for electoral reform?
The other day I asked NCCU to transfer funds from my savings account to my account at another local bank. No one seemed to know how to make this simple transaction, so I eventually accepted a cheque which I then had to physically take to the bank and queue to make the deposit. I also asked about interest on savings and was told it remains at 2%. Central Banks around the world are raising rates – the Bank of England base rate is now 5%. With inflation rising, we customers need a meaningful interest rate on our savings.
The ECCB you have to go and complain too, they are the ones’ who mandate that rate which all the Eastern Caribbean member countries must follow
I understand but the stock market always yield higher rates. Nccu has been doing int’l Bank to bank transfers for many years using swift codes. You mean not to local banks or village credit union?
@ Customer, It appears to me that you from the UK, one of the easiest and quick way to transfer money from one saving to another is your bank app, I used my bank app to transfer money from the UK, Spain, and Dominica no problem.