Chairman's Speech
SPEECH DELIVERED BY THE CHAIRMAN, MR. PATRICK AKINWUNTAN AT THE 1ST ANNUAL GENERAL MEETING OF ACCION MICROFINANCE BANK LIMITED ON WEDNESDAY, NOVEMBER, 14, 2007.
Distinguished Shareholders,
On behalf of the board of directors, I am pleased to welcome you to the first Annual General Meeting of ACCION Microfinance Bank Limited and present to you the report on the performance and achievements of the Bank from incorporation on 16 May 2006 to 31st August 2007.
During the period, the Nigerian economy recorded a number of positive developments. These include, the liquidation of external debt obligations and sound economic reforms resulting in stable exchange rate, real GDP growth rate of 7.6% and single digit inflation rate at the end of the second quarter of 2007. Democratic governance and rule of law was also enhanced. The reforms in the financial sector continued with the licensing of over 49 microfinance banks to improve access to finance by the citizenry.
The combination of all these factors has served to increase international confidence in the Nigerian economy and this is evidenced by the increasing foreign direct investment in the economy.
Going forward, we hope that sufficient attention will be given to infrastructural development especially with regards to power output to reduce the high cost of doing business.
The active involvement of the private sector in partnership with government is also required to achieve rapid economic growth, income earning capacity and quality of life of the average Nigerian.
Accion Microfinance Bank which has a mission to economically empower micro-entrepreneurs and low income earners by providing financial services in an ethical, sustainable and profitable manner will contribute significantly to this effort.
Achievements to date
During our first year of operations, we have achieved remarkable success in meeting the banking needs of our customers within the Lagos metropolis through innovative loans and savings products.
As at 31st October 2007, we have disbursed a total of 1,155 loans amounting to N143.5million, and mobilized savings deposit of N14.6million from over 1,763 voluntary savers.
In addition, we have opened five (5) branches; at Oke-ARIN, Oyingbo, Ladipo, Idi-Oro in Mushin and Balogun Business Association (BBA) Trade Fair Complex.
To complement our flagship working capital loan product “MY Own”, we introduced credit life insurance to eliminate the burden of debt passing on to a client’s family in the event of death. This further demonstrates our commitment to improving the quality of life of our clients and their families in a sustainable manner.
Accion Microfinance Bank has total committed share capital of N2 Billion and paid-up capital of over N578 million. Our shareholders are reputable financial institutions, namely: Accion Investments, Ecobank, IFC, Nigeria International Bank, SME Managers and Zenith Bank.
Expectations in the coming year
In the next 12 months, the bank will expand its capital base to support the planned growth in network, loan volumes and customer base. We are determined to make a positive difference by giving access to finance to hitherto ‘unbanked’ persons.
The Bank intends to consolidate on its present achievements by leveraging on technology to further simplify its processes while at the same time investing in its people. This is to ensure that we become the market leader and create sustained value for the society and economy. The future is bright indeed!
The Bank will also be launching its “Brighta” savings products specifically designed to suit the needs of our customers.
With distinguished professionals of diverse backgrounds in our board, management and staff, I am confident that the bank will deliver on its set mission and objectives to our customers in particular and the nation in general.
Thank You.
PATRICK AKINWUNTAN