As part of the Secretariat’s work plan, the Member Relations Manager undertook scheduled visits to member companies across the country. Between March and December 2024, visits were conducted to one (1) member in the Volta Region, four (4) members in the Eastern Region, six (6) members in the Central Region, five (5) members in the Western Region, one (1) member in the Northern Region, one (1) member in the Upper West Region, ten (10) members in the Ashanti Region, and sixty-three (63) members in the Greater Accra Region.
In total, forty (40) members were not visited, as some institutions were non-operational while others were unavailable at the scheduled time of visitation.
The objective of the visits was to engage member institutions on the progress of their operations, identify operational challenges and concerns, and solicit feedback on the activities of the Association. The exercise further sought to gather insights and recommendations to enhance the Association’s relevance, address emerging industry issues, and inform its future plans and interventions.
Key Findings:
- Most members reported modest growth in operations despite prevailing macroeconomic challenges.
- Most members emphasized the absolute cap on deposit and loans as a major impediment to their performance and growth prospects. Others also highlighted liquidity constraints, rising loan default rates and high staff turnover as major operational concerns.
- Members expressed the need for enhanced and inclusive capacity-building initiatives, particularly in governance, risk management, financial reporting, customer service, internal audit, and emotional intelligence amongst others.
- Several companies commended the Association’s advocacy and engagement with regulators and other stakeholders but emphasized the need for stronger collaboration among industry players and greater visibility of the Association’s activities.
- Members noted unfavorable regulations that has led to high compliance costs and a lower appetite to explore other opportunities in areas such as digitization.
- Members called for a forum with high performing members to provide support to the Association. In a similar light, the secretariat should establish a welfare fund which members would contribute to and can fall on for liquidity support when needed.
Overall, the visitation exercise provided valuable insights into the operations of member institutions and reaffirmed the importance of sustained engagement and support to promote the growth, stability, and resilience of the microfinance sector.