Octo

ber 2

014

Highlights of the monthly activities of the ASSOCIATION OF ASIAN CONFEDERATION OF CREDIT UNIONS

Management Report

Asian Cooperators Attend 2nd International Summit of Cooperatives in Quebec

Seven Asian Cooperators: ACCU founding President Andrew So, Immediate past CEO & Chief Technical Officer Ranjith Hettiarachchi, CEO Leni San Roque, National Confederation of Cooperatives’ (Philippines) Chair Joe Ebron, CEO Sylvia Paraguya, MASS-SPEC’ (Philippines) Chair Edelito Sangco, and Paglaum MPC’ (Philippines) GM Gadwin Handumon participated in the 2nd International Summit of Cooperatives held on October 6-9 in Quebec, Canada.

3,000 people from 93 countries participated at the Summit. The participants networked and learned from the top industry experts, stay abreast of major international development trends and gain a solid understanding of the global cooperative movement and the business opportunities it offers.

Experience Shared at the Coop Summit in Quebec

ACCU Immediate past CEO & Chief Technical Officer Ranjith Hettiarachchi and Founding President Andrew So shared the Asian credit union experience at the International Cooperative Summit on October 6-9 held in Quebec.

Ranjith was one of the panelists on the topic “Boosting Performance through Education about the Cooperative Business Model." He emphasized on the importance governance, growth, sustainability and financial stability. Boards and management should be trained to gain skills, competence and acquire the right values of cooperatives.

As panelist on the topic on governance of credit union networks, Andrew shared the integration of the credit union networks in Asia aimed to boost good governance of the credit union network. He emphasized that the integration elevates governance since the leaders and staff become evidently accountable on the performance of credit unions and ensure delivery of quality services to members to improve their lives.

Mini Exposure at Desjardins Group Inspired Asian Leaders

to take on the Network Integration forward

The group of Asian Cooperators participated in the mini exposure at Desjardins Group organized by DID on October 2 to 5. The study visit at Desjardins Monitoring group, Central Liquidity, HR Services, and Security Fund proved that the credit unions working together can create an enormous power for cooperatives to become relevant to their members and become competitive in the market.

Desjardins' people showed passion for cooperatives and the guiding principles as foundation of every service they provide to members. Despite sophistication and bigness, Desjardins' employees demonstrate passion on cooperation- working together for the good of all. The visit inspired the Asian credit union leaders to take the integration agenda to immediate action - a follow up of the forum on the Wayforward - Integration of Credit Union Networks in Asia.

4

2

Management Report Oc

tobe

r 201

4

Exposure for Sri Lankan delegates held

ACCU was delighted to welcome 25 representatives from the National Institute of Co-operative Development – Polgolla and The CB Lanka Microfinance (CBLM) – Sri Lanka on their study visit to Thailand on October 18 – 24, 2014.

Besides visiting ACCU, the program included visit to the Credit Union League of Thailand; Cooperative League of Thailand in Bangkok and St. Peter Credit Union Ltd. The participants appreciated the extensive welfare services programs credit unions provide to its members.

The visit expanded the skills and knowledge of participants on the role of credit unions in the community development and improving members’ livelihood.

Continuing Professional Development: CEO attends Women Leadership Course

Newly appointed CEO Leni San Roque attended a week long executive program at the University of California Berkeley. The program is for high-potential women seeking new levels of success as team leaders and organizational visionaries. The program is based on a very pressing and timely message: The world needs more women leaders.

The program seeks to develop women leaders by strengthening their sense of empowerment. By attending this intensive and highly interactive program, women will learn strategies for using power effectively and gain balance to effect change in their personal and professional lives.

Participants learn to identify their individual leadership styles, hone their ability to read people and diagnose situations, share individual experience, master powerful negotiation tactics, and build skills for forming strategic professional alliances. Over four days, each session provides ample opportunity for small and large group discussion, allowing participants to forge lasting connections with their cohorts. Participants gain enhanced self-awareness of their leadership approach and new levels of confidence to achieve their professional goals. The CEO attended the course as part of ACCU HR policy on the continuing professional development of staff.

WELCOME TO NEW SUPPORTER MEMBER!

ACCU Supporter Membership: Help Promote Growth of Credit Unions.

ACCU provides opportunity for large credit unions to be part of its development work. The annual dues contributed by supporters could accelerate the promotion and strengthening of credit unions in countries where credit unions are its initial stage.

Welcome to New Supporter members joining in October:

Pintu Air Credit Union, a member of Swadaya Utama – Maumere Chapter, Indonesia.

Led by top UC Berkeley-Haas faculty, the course is an optimal learning environment to share and analyze the unique strengths, challenges and opportunities facing women in business.

3

Management Report Oc

tobe

r 201

4

The National Committee for Rural Development and Poverty

Eradication (NCRDPE) – Lao PDR and The Association of Asian

Confederation of Credit Unions (ACCU) signed the Memorandum

of Understanding (MoU) on October 15, 2014 to signify that ACCU

SACUDIL project will continuously support the capacity building for

the poor rural areas of the three provinces in the Northern part of

Laos for the next three years. These provinces are Luang Prabang ,

Oudomxai, and Luang Namtha.

Mr. Saysamone Khomthavong - Vice Governor of Luang Prabang

Province, Mr. Khong Keaw wong Paseth - National Director

for Rural Development and Poverty Eradication, Mr. Phoxay

Khaykhamphithoune - MOFA Deputy Director General, Mr. Khamtiam

Sadik Samsai - Luang Prabang RDPE Director, Mr. Sonthala Sekthela

- National IRD Director, Mr. Name Viangwongseth - RDPE Director

Oudomxai Province, Mr. Singalone Saymanhing -RDPE Vice Director

Luang Namtha Province, BOL representative, DPI representative and

Dr. Ranjith Hettiarachchi former ACCU CEO and current Myanmar

Project Manager/Chief of Technical Team with SACUDIL staffs

witnessed the signing ceremony.

Further to this, Mr. Saysamone Khomthavong —Vice Governor of

Luang Prabang Province thanked ACCU for introducing SACUDIL

project and the continuous effort in helping the poor people in rural

communities.

He believes that the partnership between NCRDPE and ACCU

will act as a force to its mission in poverty eradication.

Memorandum of Understanding signed: NCRDPE and ACCU

Adhering to the Strategic Plan for the year 2014 – 2020, Board members during its 80th Board

of Directors meeting dated September 17, 2014 crafted the new vision statement of ACCU from

“Sustainable Credit Union in Asia” to “Integrated and Sustainable Credit Union Networks in Asia”.

The new vision statement reflects on the importance ACCU place on working together with its

members to achieve high level of integration for credit union growth and development.

The New Vision: Integrated and Sustainable Credit Union Networks in Asia

Stay informed about our upcoming

seminars, activities in which ACCU

participates and those we organize,

information about the cooperative

movement and credit unions, the

implications of ACCU and more!

facebook.com/accu.thailand

Loan portfolio of the highest quality, delivered to the

members with the most streamlined processes, is the ulti-

mate goal of Credit Management. Its objective is that the

loan extended to the members will be paid on time and in

the right amount.

To facilitate processing, analysis and evaluation of mem-

bers’ loan application, the Board of Directors of Myanmar

savings and credit cooperatives created the Credit Com-

mittee - tasked ,among others, to develop and recommend

changes in loan and collection policies.

On October 12 and 13, 2014, thirty-four (34) Credit Com-

mittee members and Managers from 17 savings and credit

cooperatives in Myanmar participated in the Credit

Management Training held at the Cooperative Training

School, Pathein Township, Ayeyarwaddy Region, My-

anmar.

Delinquency, technically called Portfolio-at-risk

(PAR), is Zero (0%).

In the business plan, the SCCs projected to raise the

outstanding balance to 70% of the total assets by re-

leasing more loans to qualified members while main-

taining the zero delinquency status.

Initially, SCC members can avail of loan with a maxi-

mum amount of USD 45 in the first cycle to be paid in

weekly amortization for three months. Second cycle is

USD 60, third cycle is USD 90 and fourth cycle is

USD 120. However, the over-riding policy in deter-

mining the amount is the capacity of the member to

pay.

To date, a total of USD 50,000 has been released to

more than 1,100 members. The outstanding balance of

USD 45,000 is 61% of the total assets—a few percent-

age points short of the 70-80% standard in PEARLS,

the set of financial ratios used by savings and credit

cooperatives.

Myanmar SCCs create Credit Committee for Imporved Credit Management

Myanmar SCC News

ASSOCIATION OF ASIAN CONFEDERATION OF CREDIT UNIONS

Vol:1

Issue No.: 15

13 October 2014

Ms Kelly Hattel, Financial Sector Specialist of the

Asian Development Bank, who is currently involve

in developing policies for financial sector reforms in

Myanmar, wanted to see for herself the situation in

the countryside and check on projects being initiated

towards financial inclusion in the country.

On October 24 nd 25, 2014, Ms Kelly, together with

consultant Mr Dave Grave, visited ACCU-CCS Pro-

ject Office in Pathein, Ayeyarwaddy, Myanmar.

On the first day, Project Manager Ranjith Hettiarach-

chi presented the Project’s concepts, Business Plans

and accomplishments.

On Day 2, the mission went to Ayararrman Savings

and Credit Cooperative in Kyungkone Village,

Wakema Township, Ayeyarwaddy, Myanmar.

Ayararrman SCC is one of 19 SCCs under the AC-

CU-CCS Project supported by UNCDF MicroLead

Expansion Program.

Currently, the total membership of the 19 SCCs is

5,587 with Shares and Savings of USD 71,500 and

loan portfolio of USD 53,800 (1,671 borrowers)

Ms Kelly lauded the efforts of the Project manage-

ment and looks forward to seeing successful coopera-

tives in Myanmar.

Myanmar SCC News

ASSOCIATION OF ASIAN CONFEDERATION OF CREDIT UNIONS

Vol:1

Issue No.: 16

26 October 2014

Asian Development Bank Mission meets Myanmar SCC

Ms Judith Karl, Executive Secretary of UNCDF or Unit-

ed Nations Capital Development Fund, visited Shwe

Zaw Gi Savings and Credit Cooperative in Zaw Gyi

Kwin Village, Zalun Township, Ayeyarwaddy Region,

Myanmar last October 30, 2014.

Shwe Zaw Gi SCC participates in the capacity-building

and institutional development activities currently imple-

mented by ACCU and Central Cooperative Society

(CCS) under the UNCDF MicroLead Project.

Together with Ms Karl were Mr Henri Dommel, Director

Financial Inclusion Practice Area, Mr Paul Luchtenburg,

Program Specialist Financial Inclusion, and Ms Eleonora

Gatti, Financial Inclusion Fellow.

Project Manager Mr Ranjith Hettiarachchi and Assistant

Manager Thein Zaw Htun, together with the Board of

Directors, Manager and members of Shwe Zaw Gi SCC,

were on hand to welcomed the delegation with a briefing

on the cooperative’s progress since they were organized

in May 2014.

During the visit, Ms Karl encouraged all the officers and

members to continue the habit of savings and to encour-

age more people in the community to join the coopera-

tive.

Ms Karl noted that the members of the Board of Direc-

tors are all male and enjoined the officers and members

to allocate a seats in the Board for representatives of the

women sector in the community.

Shwe Zaw Gi SCC has 221 members with Shares and

Savings of USD 2,500.

UNCDF Executive Secretary visits ACCU-CCS Project in Myanmar

Myanmar SCC News

ASSOCIATION OF ASIAN CONFEDERATION OF CREDIT UNIONS

Vol:1

Issue No.: 17

31 October 2014