Non-Consolidated Annual Report 2016

BARBADOS PUBLIC WORKERS’ CO-OPERATIVE CREDIT UNION LIMITED NON-CONSOLIDATED ANNUAL REPORT 2016 13 BOARD OF DIRECTORS REPORT OVERVIEW The Board of Directors, management and staff of the Barbados Public Workers’ Co-operative Credit Union Limited (BPWCCUL) are extremely proud with the progress made by the organization, its subsidiary and affiliated companies during the financial year ended March 31, 2016, notwithstanding the volatile economic environment. The Credit Union continued to grow in key aspects of its operations. Membership averaged 447 persons monthly, recording net growth of 5,363. Deposits grew by $87.8 million or 11.3 percent, while assets increased by $90.0 million or 9.7 percent. Notwithstanding, interest on deposit rates continue to steadily trend downwards. In spite of this ongoing development, we were able to offer competitive rates on deposits to our members. The key areas of risks faced by the Credit Union sector related mostly to concentration, credit quality and delinquency. Non- performing loans decreased by $1.8 million or 3.5 percent. As a consequence, the delinquency rate decreased from 6.7 percent to 6.3 percent over the course of the year. In full adoption of the prudent and continuous management of our loan portfolio, we have formulated individual payment arrangements and debt management strategies, with the primary objective of improving our members’ financial and economic well-being. We therefore commit to continue working with our members, who are experiencing challenges to offer solutions geared at returning their financial affairs to a state of normalcy. We take this opportunity to outline some of our achievements during the year and to identify a number of opportunities and key areas of focus for our organization. ENHANCED IN-BRANCH CONVENIENCE Last year, we promised expanded facilities at our Emerald City location. This latest undertaking, the third at that particular location, was completed with a formal blessing and opening ceremony in December 2015. The branch was also complemented with the installation of two full service ATMs, as well as a coin counting machine, supporting an enhanced and integrated service delivery. In addition longer business hours are now in place at Emerald City, augmented by 24 hour ATM access. This outlet is therefore better able to adequately and efficiently offer our full suite of available services in new commodious surroundings. Our expectations are that this branch will continue to surpass its objectives. NEW PRODUCT OFFERINGS Ever mindful of members’ needs, the Credit Union conceptualized and brought on stream an attractive investment vehicle with appeal to both new and seasoned investors. The Executive Platinum Plan was introduced to attract those seeking to enhance their investment portfolio and their retirement income, as an adjunct to their Registered Retirement Savings Plan. The Board is confident that this product, with its embedded flexible and fixed components, will support both long and short term financial goals. Consistent with our commitment to enhance our members’ financial well being and in response to the members’ request, the Board is pleased to announce that plans are well advanced and ongoing to launch the Members’ Equity Share Plan during this financial year. This product will provide members with an opportunity to share in earnings whilst strengthening the Credit Union’s equity position. SUPPORT FOR OUR YOUTH Commitment to our youth demographic remains firm and steadfast. We continue to initiate and implement programs aimed at supporting and nurturing the robust, holistic development of our young people. Annually, the Credit Union subsidizes a number of organic youth focused activities. Ranging from vintage, yet first rate staples such as the Annual Summer Camp, to the more recent and equally beneficial Thrift Club School Savers Programme, our focus remains riveted in ensuring the institutionalization of programs and enterprises, to create a competitive advantage for the youth as they migrate through the various developmental stages of their lives. President Bro. Glendon A. Belle