By SACCO Secretary
Officials from Ministry of Trade, Industry and Co-operatives, Board members, other committee members and UPSTU MEMBERS’ SACCO delegates, it is my great pleasure and privilege to welcome you all to our 3rd Annual General Meeting. We are here to review this year’s performance and project our future by laying strategies that will ensure that our SACCO remains the point of first choice to science teachers in Uganda for their financial and investment needs.
This is UPSTU MEMBERS’ SACCO 2024 Annual report. The report includes both financial and non-financial information though generally focuses on the performance of the society.
UPSTU MEMBERS’ SACCO BACKGROUND
UPSTU MEMBERS’ SACCO was started with an aim of empowering science teachers in Uganda to manage their finances better and develop themselves as they perform their professional work.
This was to be done through mobilizing science teachers to boost their savings hence creating a financial pool from where they could access low interest credit for themselves to improve their earnings and enhance their livelihoods.
UPSTU MEMBERS’ SACCO was started as a fundraising group by science teachers in early 2020 to help in collecting money for registration of UPSTU union and paying office rent for the union. Members agreed to collect money and be used by the union but it would be refunded back later when the union stabilizes.
UPSTU MEMBERS’ SACCO was registered by the ministry of trade, industries and cooperatives on 26th November 2020 where it obtained a probation certificate. It was then issued with a permanent certificate in March 2023.
Our motto, “Save Together, Grow together“ reflects a commitment of working together as a means of empowering its members financially.
UPSTU MEMBERS’ SACCO has proven instrumental in enhancing its members’ professional and business growth plus enhancing their financial management skills.
With a vision “Leading provider of quality financial services to boost the welfare of science teachers.”, UPSTU MEMBERS’ SACCO’s mission is “To empower science teachers enhance their savings, access convenient credit facilities to promote their social economic welfare through competent and professional human resources and use of technology in the dynamic competitive environment.” This mission is underpinned by a clear set of objectives, which includes financial linkage and intermediation across the nation, and any additional cooperative development support services that its members demand and approve.
UPSTU MEMBERS’ SACCO’s strategic goal is to develop into a formidable and stable national central cooperative financial institution and later to become a SCIENCE TEACHERS’ BANK. Its mandate centers around Cooperative Financial Services aimed at the Economic Empowerment of Co-operators. In alignment with its ethos, UPSTU MEMBERS’ SACCO adheres to cooperative principles, such as open and voluntary membership, democratic member control, members’ economic participation, autonomy and independence, and fostering education, training, and technology.
UPSTU MEMBERS’ SACCO’s core values are
Equality
– Equal membership rights
– Equal voting rights
– Equal opportunity to participation
– Fair distribution of benefits
Confidentiality
Protecting members’ personal details like IDs, addresses etc and financial information like account balances, loan history from unauthorized access, disclosure or use.
Integrity
Honesty: Truthfulness in dealings.
Ethics: Adherence to moral principles.
Teamwork
We value clear and open communication, Joint effort towards common goals (collaboration) and mutual trust in order to enhances productivity, innovation and member satisfaction.
Diversity
Inclusiveness in culture, gender, age diversity, Geographic location, Disability, socioeconomic status and educational levels.
Accountability
Responsibility: Answerable to members and regulators.
Fairness: Unbiased, neutral and objective decision-making
Transparency: Clear and timely information
STRATEGIC INITIATIVES
To remain relevant in the diverse and competitive economy, the Executive board had to pursue different strategic initiatives including the following;
1. Installation of a financial management system;
In compliance with digital transformation, we launched a friendly mobile app which enables members to;
-check account balance wherever you are.
-Save and buy shares anywhere you are.
-Apply for loans online. – Monitor loan balances
2. SACCO PUBLICITY.
We have endeavored to make UPSTU Members SACCO popular to all Science Teachers in Uganda through the following ways;
- Presentations about the SACCO through gatherings and meetings like NEC, ADC.
- Through online media likes like prodev.
- Through social media plate forms like whatsapp, Facebook etc.
- Through website optimization.
- Through the SACCO structures i.e. the National and SACCO Ambassadors.
- Through referrals by existing members inviting other Science Teachers.
3. LOBBING FOR EXTERNAL FUNDING.
The union has been our major funder until when we got the 6.6bns from the Government recently.
4. DEVELOPMENT OF A STRATEGIC PLAN.
As a way of improving the SACCO’s Operational effectiveness and efficiency, the Executive Board developed a strategic plan which is going to be presented to This AGM for approval.
5. SACCO POLICIES DEVELOPMENT.
The 2nd AGM tasked the Executive Committee to develop SACCO Policies in order to guide and direct the SACCO, support good governance, improve operational efficiency and also for compliance with both hands and went on to develop 7 policies which are going to be presented to you for ratification.
6. PRODUCT DEVELOPMENT.
We have designed different savings and loan products to meet the wide variety of the members’ needs and circumstances.
The loan products include; Emergency loans, Micro loans, Salary loans, Business loans, Agricultural loans, Development loans, Target purchase loans and corporate loans.
7. STAFFING.
We recruited one staff as an Accountant who has been doing most of the work in the SACCO include record keeping, on boarding members, accounting etc. we really thank her for her dedicated hard work and commitment.
8. WORK STATION.
With the help of the union as our sole partner. The SACCO office was well furnished and equipped with the necessary requirements to operate including computer, stationary etc.
OPERATIONAL HIGHLIGHTS
- MEMBERSHIP GROWTH;
Membership has grown to rapidly. This growth reaffirms our position as a trusted financial partner within the Education fraternity.
- LOAN PORTFOLIO.
Loan portfolio has also grown tremendously. This year we have given loan facilities to 70 members. This showed our commitment to responsible lending practices.
- RISK MANAGEMENT;
We have endeavored to use management practices which reduce putting the SACCO funds at risk. For example, we have only one loan at risk.
- SACCO EQUITY and Members Savings
The shareholders’ funds and savings in the SACCO has increased exponentially due to increased trust of the members in their SACCO. Adding on the 6,666,666,000 now takes us to a good amount of Equity.
OUT LOOK AND FUTURE PLANS
- STAFF EXTENSION;
The Executive Committee has already embarked on staff extension program with a well-developed work plan starting with recruiting the SACCO Manager and Administrative Assistant and thus this process will be complete in a few weeks from now.
DEVELOPMENT OF A STRATEGIC PLAN.
As a way of improving the SACCO’s Operational effectiveness and efficiency, the Executive Board is developing a strategic plan to guide the direction of the SACCO.
- REGULATORY COMPLIANCE;
We have ensured that the operations of the SACCO are lawful, transparent and protect members’ interests. We wish to extend this by registering with Uganda Cooperative Societies Union (UCUSCU) and Uganda Microfinance Regulatory Authority (UMRA)
- COMPLETION OF SALARY LOAN RECOVERY METHOD
The executive board has decided to adopt the the Standing order instruction as a method to recover Salary loans. Signing of Memorandum of Understanding about this cause with different banks is heading to completion.
- SACCO EDUCATION
SACCO Education is one of operational strategies and crucial for the success and sustainability of the SACCO. To the members, Next financial year we shall embark on financial Literacy programs to educate them on prudent Financial management, Savings and Investments so as to enable them make informed decisions about their financial resources.
To the SACCO board members and Technical Staff, it will help them get grounded in governance and management best practices.
- OPERATIONALISING OTHER LOAN PRODUCTS;
As earlier mentioned, the executive board developed many savings and loan products but not yet activated. Next year, we wish to make them operational. Such saving products include fixed deposit A/C, Target Savings, Group Savings etc and Loan products include Agriculture loans, Target Loans and Group loans.
Thank you for listening,
HAPPY NEW YEAR!
SAVE TOGETHER, GROW TOGETHER