Sacco movement urged to prioritize growth
The minister of industries Honourable Roy Kachale Banda officially opened the 2020 Sacco Lake shore Conference at Sun ‘n’ Sand in Mangochi
Minister of Industry Roy Kachale has hinted on the intentions of government to sign a Memorandum of Understanding (MoU) with the government of Kenya which would see Malawi learning both technical and benchmarking programs to help grow the cooperative sector.
Kachale made the remarks on Friday in Mangochi when he presided over the 2020 SACCO Lakeshore Conference and Annual General Meeting (AGM) which was celebrated under the theme ‘inspiring hope for our members and the nation.’
He said in the recent years Saccos have complained for not being exempted from paying corporate tax and that it has always been on the basis of tax waivers granted by the Ministry of Finance on annual basis.
“My response is that this matter requires some serious dialogue with the Ministry of Finance and the Malawi Revenue Authority (MRA) to see whether it is justifiable to have legislative amendments so that Saccos are exempted from paying corporate tax since they already pay in society,” he said.
The minister, however, asked the cooperative movement to consider building properly defined structures that will be catering for primary, secondary and tertiary cooperatives.
In his remarks former president for the Malawi Union of Savings and Credit Cooperatives (Muscco) Francis Mlanga said despite having a difficult year with the Covid-19 pandemic, members had to embrace the saving culture for the cooperative movement to still grow.
“What we want is for cooperatives to work together despite having members with different backgrounds. If we work together for example agricultural cooperatives, microfinance cooperatives and also those in civil service so that we incorporate our activities for the betterment of our lives,” he added.
Mlanga also said there is still much that needs to be done for most people in the country to know about Saccos which have in the long run helped in transforming lives.
New Muscco president Stanley Synod Mpaya from Mudi Sacco said he will continue from where his predecessor has left and make sure that the movement reaches better heights.