UJE urged to safeguard co-op stake at COOP Bank
DODOMA: The Commissioner and Chief Executive of the Tanzania Cooperative Development Commission (TCDC), Dr Benson Ndiege, has directed the newly formed Ushirika Joint Enterprise (UJE) management to ensure that the interests of cooperative unions, which own a 51 per cent stake in COOP Bank Tanzania, are well safeguarded.
Dr Ndiege issued the directive in Dodoma immediately after witnessing the signing of a Memorandum of Understanding (MoU) between COOP Bank and Ushirika Joint Enterprise (UJE).
He urged the enterprise to ensure that more cooperative unions acquire additional shares in the bank in order to retain majority ownership.
The Commissioner further urged the UJE management, under the newly appointed General Manager Ms Daria Ulotu, to ensure that COOP Bank’s products and services adequately respond to the needs of cooperative members.
“UJE should ensure that COOP Bank meets shareholders’ needs, including offering affordable interest rates that they may not access elsewhere. It must also ensure that more customers are recruited,” Dr Ndiege emphasised.
He also called on the UJE Board to ensure that all vacant executive positions are filled promptly to enhance smooth operations under the new management.
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On his part, UJE Board Chairperson Prof Gervas Machimu assured the TCDC Chief Executive that the enterprise would ensure COOP Bank remains in the hands of cooperative unions.
Speaking at the ceremony, COOP Bank Managing Director and CEO, Mr Godfrey Ng’urah, told cooperative stakeholders that the strategic partnership between the two parties would enhance the rapid growth of the cooperative sector.
He described UJE as a key vehicle linking the cooperative movement and the bank, tasked with safeguarding cooperatives’ ownership stake in COOP Bank.
Meanwhile, UJE General Manager Ms Ulotu said the enterprise would work to ensure that more cooperative members acquire shares in the bank to enhance sustainability of the sector.
She noted that currently, a total of 1,540 cooperative unions has already acquired shares in the bank, adding that UJE will continue reaching out to more members to seize the investment opportunities available at COOP Bank.
