COMSIP Cooperative Union Limited COMSIP COOPERATIVE …
Transcript of COMSIP Cooperative Union Limited COMSIP COOPERATIVE …
COMSIP COOPERATIVE UNION LIMITED
Plus another 2 pictures depicting say training or support
mission and buying shares and giving out
COMSIP Cooperative Union Limited
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COMSIP COOPERATIVE UNION LIMITED
Plus another 2 pictures depicting say training or support
mission and buying shares and giving out of loans
ANNUAL REPORT
2013
COMSIP Cooperative Union Limited
COMSIP COOPERATIVE UNION LIMITED
Plus another 2 pictures depicting say training or support
of loans
COMSIP Cooperative Union Limited
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MISSION
Delivering flexible Savings and Investment products and
services in order to economically empower Malawians to
improve their livelihoods through member owned Savings
and Investment cooperatives
VISION
A vibrant, sustainable Savings and Investment culture
amongst COMSIP Cooperative Societies in Malawi”
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CORE VALUES
The Union observes the following values:
Integrity: Honesty and sincerity all the time
Client Focused: Treat clients with utmost respect and care
Transparency and Accountability
• In all endeavours, members have to be accountable and transparent
Employee and member development –
• In the spirit of cooperative movements, continuous human resource development is
one of the pillars of success, and development of people will foster a learning
organization culture
Hard work and commitment
• Working hard and being committed to achieving the organizational goals
Teamwork
• All employees shall work as a team focused to meeting the organization strategic
objectives and mission
Corporate and Social Responsibility
• The union will accord maximum attention to social issues of the clients and the
society where the clients operate, bearing in mind that the society is the one that
sustains its existence
Sensitive to cross cutting issues (HIV/AIDS, Gender and Environment)
• The Union will ensure issues of HIV/AIDS, gender and the environment are
integral in its operations within the workplace policy framework.
CHAIRMAN’S STATEMENT 2013
Canaan Thebulo Gondwe
PERFORMANCE
The year 2013 was yet another successful year
for COMSIP Cooperative Union as it earned an
interest of K958,000.00 on shareholders’ funds
and mobilised resources amounting MK
927million ( equivalent of USD 2.25 million
from the World Bank. The Union is the lead
partner and fund manager for the Strengthening
cooperative in Malawi project and the Scottish
government through the UK cooperative
provided GBP430,000 for the first year..
The World Bank resources are a manifestation
of the impressive performance in implementing
a savings and investment initiative in public
works program. A total of Mk839 million in
savings has been mobilised up from MK
million reported in the last financial year. The
portion of savings attributable to cooperatives
was standing at MK50 million from 65
cooperatives. The savings is invested in various
investment activities at primary cooperative
level such as, winery, poultry, irrigation
farming, livestock and agriculture production
and produce marketing. At the end of the year a
total of Mk99million was deposit for investment
in the coming year.
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CHAIRMAN’S STATEMENT 2013
Canaan Thebulo Gondwe
The year 2013 was yet another successful year
rative Union as it earned an
interest of K958,000.00 on shareholders’ funds
MK
.25 million
The Union is the lead
partner and fund manager for the Strengthening
cooperative in Malawi project and the Scottish
government through the UK cooperative college
provided GBP430,000 for the first year..
The World Bank resources are a manifestation
erformance in implementing
a savings and investment initiative in public
A total of Mk839 million in
savings has been mobilised up from MK331
reported in the last financial year. The
portion of savings attributable to cooperatives
was standing at MK50 million from 65
cooperatives. The savings is invested in various
investment activities at primary cooperative
gation
farming, livestock and agriculture production
and produce marketing. At the end of the year a
total of Mk99million was deposit for investment
The Union continued to host World B
teams in the year and the visit of the World bank
Country Director to COMSIP clusters to appreciate its
implementation and impact. At its supervision mission
of October 2012, the mission rated COMSIP highly
satisfactory. This rating came amidst several
challenges mostly in mobility. It is the dedication and
commitment of staff that has greatly contributed to
these achievements. Innovations in the approach and
delivery methodology also contribute in this
substantial performance rating.
During the year we innovated in two fronts. Firstly on
how to provide backstopping services to augment the
work load of extension workers whom we rely on. The
introduction of community facilitator (CF
cooperative agent to backstop fellow members in all
aspects of the COMSIP approach was achieved.
Secondly, an innovation in feedback mechanism to
inform progress of clusters / cooperatives was achieved
through SMS reporting using mobile p
As at June 2013, the Union register
membership and share capital albeit at slow pace.
Membership grew from 51 affiliates to 6
representing 27% growth, compared
% in the strategic plan. This growth is also reflected
in the share capital growth that
shares representing 38%. The slow pace in share
capital growth is attributed to the low numerical
values that many cooperatives have as shares in the
union. A majority of cooperatives have a single
share. A changed approach to meet the
in our strategic plan and will be implemented in the
coming year.
The Union continued to host World Bank mission
teams in the year and the visit of the World bank
Country Director to COMSIP clusters to appreciate its
implementation and impact. At its supervision mission
e mission rated COMSIP highly
satisfactory. This rating came amidst several
challenges mostly in mobility. It is the dedication and
commitment of staff that has greatly contributed to
these achievements. Innovations in the approach and
y also contribute in this
substantial performance rating.
the year we innovated in two fronts. Firstly on
g services to augment the
d of extension workers whom we rely on. The
introduction of community facilitator (CF) as a cluster /
cooperative agent to backstop fellow members in all
aspects of the COMSIP approach was achieved.
Secondly, an innovation in feedback mechanism to
inform progress of clusters / cooperatives was achieved
through SMS reporting using mobile phone technology.
nion registered growth in its
membership and share capital albeit at slow pace.
affiliates to 65 affiliates
, compared the projected 15
% in the strategic plan. This growth is also reflected
in the share capital growth that grew from 68 to 94
%. The slow pace in share
capital growth is attributed to the low numerical
values that many cooperatives have as shares in the
union. A majority of cooperatives have a single
share. A changed approach to meet the targets is set
and will be implemented in the
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The union has a greater opportunity to raise its
membership considering the enormous
number of clusters – cooperatives formed with
the support of the World Bank through LDF.
There is also an added advantage as a lead
partner in the support to cooperatives Malawi
project in utilizing the available capacity to
train more cooperatives. All this puts the
union in good outlook for the future.
TRAINING:
The union continued to build capacity in its
staff, stakeholders and community members
for improved delivery and performance. A
total of 31,060 community members, 234
extension workers,179 community facilitators,
9 board members and staff were orientated/
trained in various field according to the
identified. For instance, the board was drilled
in strategic planning and corporate
governance.
DIVIDEND
A total of K383, 600 representing 40% of the
surplus is proposed for payment as dividends for
the 2013 affiliates. This surplus comes from the
investment of share capital in old mutual
investment account. However, the Union is
exploring more rewarding investment vehicles
such as real assets and old mutual unit trust
which has higher returns than the other old
mutual products.
STRATEGIC OUTLOOK
In pursuance of the union strategic objectives, it will
continue to undertake a number of activities. Notably,
the Union will continue implementation of savings and
investment initiative in PWP reaching out to more
clusters as pre-cooperatives, concentrate in promoting
value addition and market linkages for cooperatives to
leverage more income for cooperatives which could be
invested in shares at the union. The union will continue
forging strategic partnership as a way of resource
mobilization and positioning itself in the financial and
project management arena. To strengthen its corporate
position and sustainability the Union will have to
review its By-Laws to embrace growth prospects.
BOARD OF DIRECTORS
The board of Directors have served for six months
at the end of the financial year as the Board was
elected midyear.
CONCLUSION
The milestones achieved are a manifestation of
the dedication of staff and the strategic direction
of the Board of Directors. I would like to request
you all to remain steadfast, dedicated and
committed to steering the union forward in its
quest to alleviating poverty among ordinary
Malawians. Without your support I would not
have been reporting diligently and confidently on
the performance of the union.
Canaan Thebulo Gondwe
BOARD CHAIMAN
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CEO’s STATEMENT 2013
At national level the impact of devaluation had
its toll on the granting systems and cooperative
resource mobilisation as the cost of living went
up.
The union continued to be a lean structure. In
the year the Finance and Administration
manager resigned and the position of
Operations manager still remained vacant. The
two key positions are filled with acting
personnel and are to be filled in the coming
year
OFFICE STRUCTURE
The Union secretariat moved from its rented
accommodation in old town to its new premises
in Area 6. The new premise is spacious
accessible and conducive environment to work.
The establishment of this office space has
brought confidence in its members (primary
cooperatives) This development has
encouraged primary cooperatives to likewise
establish permanent structures as office space.
It has been one of the fulfilments of the actions
in the Union Strategic Plan.
OPERATIONALISATION OF THE LEAD
PARTNER ARRANGEMENT
The Union was identified by the Ministry of
Industry and Trade to be a lead partner in the
implementation of the Supporting Cooperatives
Malawi project, a Scottish Government funded
project through the UK- Cooperative College. The
other partners are MUSSCO and Mzuzu Coffee
Cooperative Union limited. The Union is a fund
manager and also helps in the operation guidance
on a day to day basis. The Union facilitated the
opening of regional offices in the south and
northern regions while the central region the officer
is housed in the union building. The Union
facilitated the recruitment of project officers and
identification of offices currently in Ministry of
Gender, Community development and Social
welfare. With the involvement of the project staff
the union has accelerated the training of clusters
into cooperatives.
INCORPORATING SAFEGUARDS
The implementation of economic activities triggers
environment and social concerns. The World Bank
Operational Policy (OP4.01) entails that Bank
supported project be subjected to screening.
COMSIP ensures that these activities do not
negatively impact on the environment through
devising mechanisms to protect the environment.
To this end the Union developed a toolkit for
environment and social screening of economic
activities and the production of Environmental and
Social management Plans (ESMP)
The year
experienced
milestones worth
noting and
produced
impressive impacts
albeit the mobility
shortfalls.
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SHORT MESSAGE REPORTING (SMS)
COMSIP works with diverse communities scattered
across the country. These clients through their
clusters and cooperatives need constant feedback in
terms of reporting of financial and physical
progress. Over the years the Union relied on
extension workers to provide such progress reports.
With time the workload as more clusters are formed
has overwhelmed the capacity of extension workers
who in addition have mobility problem. As a result
the MIS department of the Union devised an SMS
reporting system that uses mobile phone
technology. The extension workers, Monitoring and
Evaluation Officers at district councils and the
community facilitators at cluster and cooperative
levels have been trained on the system and reports
have been easy to get. This has eased the transaction
cost in search of real time data.
OUTLOOK
There is high prospect to forge ahead and become
self sufficient. There is great demand for service
and increased share purchase for more product and
service delivery. With the continued support of the
World Bank operation self sufficiency is inevitable.
The union looks forward to establishing regional
offices to close the service distance to the
cooperatives.
OPEN FIELD DAYS
As a form of IEC and also C2C the union encourages
clusters and cooperatives to organise open field days with
the assistance of the community development office in the
districts. In the year under review two open field days were
conducted in Kasungu and Blantye districts. During the
field days several products were show cased and trading
and information exchange took place. The surrounding
communities and other clusters cooperatives attended these
field days. The results from the field days have been
capacity need for the clusters to be cooperatives and two
cooperatives have been set up in Kasungu.
RESOURCE MOBILISATION - ADDITIONAL
FINANCING
The World bank through the Local development Fund, a
Government community Fund mechanism continued its
trust in COMSIP Union as an implementing Agency of
savings and investment in LDF projects. In its mission
report towards the end of 2012, COMSIP implementation
was rated highly satisfactory. To this end the World Bank
extended its additional financing to Public Works
programme to COMSIP as well to the tune of USD 2.25
million. This gesture also creates confidence in its
members of staff who have shown passion for results.
WEBSITE HOSTING
The website was redeveloped giving it a new look with
updated information as shown below. The site can be
visited at http://comsipmw.org .
E- TRANSFER
In the year we introduced e payment for training
allowance to extension workers and district
community development officers as supervisors.
The system has worked on very well and is cost
effective. Tenneson Kalizga Gondwe
Chief Executive Officer
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STATEMENT OF CORPORATE GOVERNANCE
The Union is run by the Board of Directors
elected among primary cooperatives at an
AGM. The union secretariat is delegated for
the day to day management of the Union
operations.
Board Of Directors
The board has 9 members as follows:
Mr. C.T. Gondwe - Chairman
Mr. I. Kampala - Vice Chairman
Mrs N. Wallama - Secretary
Mr. G. Chipanga - Treasurer
Mrs Joyce Nkhoma - Member
Mrs Sellina Mkandawire Member
Mr. W. Nhlongo - Member
Mr. S. Samva - Member
Mr. D. Maloya - Member
Board Committees
To effectively undertake an oversight role the
board has sub committees as follows:
• Finance and Planning Committee
• Risk Management Committee
• Disciplinary, Recruitment and
remunerator committee
Ethical standards
The board is committed that all the
operations of the union are undertaken
with utmost ethical standards. All
employees of the union abide by the
code of ethics
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BOARD MEETINGS
Two board meetings were held during the year under review where among many other issues, they
discussed:-
a) Approval of 2012 audited financial statements on recommendation of the Planning and
Finance committee
b) Recommend payment of 40% proposed dividend to the registered affiliates as at 30th
June,
2012.
c) Review and approve 2014 work plans and budgets and staff appraisal results prepared by
management as recommended by the Finance and Planning committee and recruitment,
remuneration and discipline sub-committees of the board.
SUB COMMITTEE MEETINGS
The two subcommittees of Finance, Planning and Audit Committee and that of Recruitment,
Remuneration and Discipline met twice during the year under review. Among the business they
transacted included:
a) Pension Fund Management
b) Staff appraisal results
c) Union’s budget and Workplans
ANNUAL GENERAL MEETING
An Annual General Meeting for all COMSIP Cooperative Union Limited affiliates was held in
December, 2012 at Messah Lodge in Lilongwe where among other things, new office Board members
were elected.
A cross section of the participants at the Union
AGM
The elections were facilitated by officials
from the Ministry of Industry and Trade,
Department of Cooperatives. There was a
smooth handover from the outgoing Board
and the incoming Board.
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ORIENTATION OF NEW BOARD MEMBERS
Members of the new Board were oriented in their new functions. The orientation which was
facilitated by officials from the Ministry of Industry and Trade, Department of Cooperatives
took place at Linde Motel in Mponela. The purpose of the orientation was to impart skills to
the new Board members so that they are able to discharge their duties efficiently and
effectively.
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MICRO SAVINGS FOR THE POOR: FINANCING THE CAPITAL NEEDS
Savings mobilisation
A total of Mk836.8million (USD1 2.03million) has been mobilised from 102,203 members
from both groups and cooperatives of which 66% are female member. Cooperatives savings
contribute a total of Mk50.8 million (USD123, 300). On average each member has Mk8, 188
(USD19.9) in savings. When split into groups and cooperatives the average savings for
cooperatives members is higher at MK16, 639 (USD40.1) and that of groups at MK7,
927(USD19.2). The disparities show that being in cooperatives as registered body corporate
members have greater savings safety and security than in being in groups. At all levels the
average savings are higher than the less than a dollar per day poverty indicator. Therefore the
COMSIP intervention contributes to the improvement in this indicator as shown in the graph
below for the period the initiative has been implemented.
1 USD 1: MK412 as at 9
th November 2013.
Average Savings Per member
-
200,000
400,000
600,000
800,000
2008 2009 2010 2011 2012
Cooperative
s
Groups
The savings volumes which is intermediated have been on the increase at both group and cooperative
levels with a drop for cooperatives in the year 2009-2010 due to poor performance of tobacco in the
year in which many cooperatives had invested their savings. The average price of tobacco was low and
many farmers were affected.While for groups many groups in the early years were from the MASAF 3
APL II program who had a loan mindset and lost steam with non disbursement of loans as per the
misconception of COMSIP in MASAF. The momentum was built up in the subsequent years as
COMSIP hyped IEC and PWP wages were a catalyst for saving.
Members at Jinthajembe at weekly savings
meeting Data Source: COMSIP data base
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The share of investment as at October 30th
2013, mirrors the rural economy with Commodity
trading of which agriculture related form the bulk of traded commodities is highest at
Mk714.4 million (USD1.7million), followed by financial intermediation- on lending as a
form of service to its members at MK99.4 million (USD241.3million) There is also
investment in livestock like dairy, goats, pigs, poultry and a good number of members also
invest in irrigation farming and food processing. From the table therefore it is deduced that a
big volume of loans were invested in various businesses with the deposits/savings as balance
at the end of October 2013 to be intermediated as loans as a service to members.
Investment Promotion
Investment promotion is through financial intermediation with a focus on micro enterprise investments.
Investment funds are derived from member savings. The trend in loan portfolio is similar to the trends
on average savings, with Cooperatives having a higher average loan portfolio of MK758, 209 per
cooperative than COMSIGs who intermediate at a portfolio of MK149, 500 per group. This likewise is
due to the saving safety and security in cooperatives than in groups. On average the loan portfolio has
been increasing over the years as shown in the graph below:
Average Loan Portfolio
-
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
2008 2009 2010 2011 2012
Cooperativ
es
Groups
There are four categories of businesses that
COMSIP promotes. These are Trading, Service,
Production and Processing. Within each category
members undertake several types of micro
enterprises with varied amount of capital invested
in their businesses as shown in the table below:
Table1: Capital Invested in Business Types
Business Types Total Amount Invested
Bakery 1,712,300.00
Commodity Trading (Various ) include agri trade 714,375,891.50
On-Lending 99,428,803.50
Irrigation F arming 7,342,740.00
Lives tock Production 11,077,410.00
Dairy F arming 156,200.00
Weaving 600,000.00
Winery 41,805.00
Tree Nursery Growing 706,000.00
General F arming 1,227,400.00
S eedling Multiplication 90,450.00
Grand Total: 836,759,000.00
Source: COMSIP data base Data Source: COMSIP data base
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PARTNERSHIP and STAKEHOLDER SUPPORT
Lead Partner Arrangement
During the year COMSIP Cooperative Union entered into partnership with the UK
Cooperative College as a lead partner in the implementation of the Support to Cooperatives
Malawi project. The other partners are Mzuzu Coffee Cooperatives Union and Malawi Union
of Savings and Credit Cooperative. The project aims at supporting the growth of a strong co-
operative sector in Malawi, and in particular to help small and marginal farmers improve
their livelihoods through collective entrepreneurship. Through education, mentoring and
other support, small farmers will be helped to form and improve their own member-
controlled businesses (co-operatives), and as a result will be able to improve their yields,
diversify their crops, and through joint marketing, get better prices for their harvest, leading
to improved livelihoods. The project is for a period of three years and will end in 2015, and
by the time it is envisaged that the National Apex body of Unions will have been created.
The project has regional officers who oversee capacity building of cooperatives at regional
level. The Union make use of these officers as link persons with stakeholders including the
community members. The Union has benefited through capacity building of 14 cooperative
in cooperative member education, engagement of staff in supervision missions and local fairs
as shown below.
Locally organised fair in Blantyre with assistance of Project Officer South
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Participation in IYC
During the year the world celebrated
International Year of Cooperatives IYC and the
Union played a key role in making the national
celebrations a success. The celebrations were
championed by the five Cooperative Unions
together with the Ministry of industry and Trade.
The opening session was presided over by the
Minister of Industry and Trade. The theme for
the IYC was “Cooperative Business makes a
Better World”. Members of COMSIP cooperatives and groups within Lilongwe and some from
the south and northern region participated through product displays and in plenary presentation
sessions as shown in the picture COMSIP members formed the largest part of the participants on
the opening day
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Support for Success stories Video Documentary
The successes of COMSIP approach attracted the attention of the Office of the President and
cabinet (OPC) which directed its information department to document the much needed
success stories of home grown initiatives in poverty alleviation. With support from the Union
the Department undertook a national wide tour to capture the success stories that have been
documented in a video documentary and newspaper print as shown in the newspaper cutting
below. The video documentary was distributed to various ministries and stakeholders and can
also be downloaded from the website at http://comsipmw.org
Documentary cover
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Other Stakeholder Support
Support was extended to the Thematic team meetings and supervision, Ministerial staff
especially Ministry of Gender, Community Development and Social Welfare, Ministry of
Local Government, Environment and Climate Change through their Environmental District
Officers(EDO) M & E and Ministry of Finance supervision and the involvement of district
commissioners in supervision missions to afford them knowledge sharing.
PROGRAM IMPACT
Graduation
The COMSIP approach has recorded greater impact in the lives of ordinary Malawians that
participated in the Public Works Program with a meagre wage of Mk200 per day for 12 days.
As the wage was saved and invested in the group business of on lending and other productive
investments, at least 50% of participants in COMSIP groups indicate that their incomes are
50% higher than the 12 days wage rate and may not participate in the Public works program
as reported by the Tracking study commissioned by the Local development Fund TST in
2012.
Poverty Alleviation
In addition to the above study results, a monitoring project supported by a consortium of
International NGOs called Kalondolondo project revealed that the COMSIP program has
registered huge successes in poverty alleviation as reported in the captioned newspaper
article.
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Incremental assets accumulation.
In its delivery methodology the Union emphasises on an incremental asset accumulation
strategy for poverty alleviation. This strategy encourages members to purchase household
provident and productive assets in bits towards achieving the whole in future. The rationale is
to make use of the available income or keep the income in assets towards a set objective. As
wants are many any postponement of purchase would result into missing the set objective.
One commonly applied incremental asses accumulation strategy is on house construction
especially roofing with corrugated iron sheets as shown in the half roofed house below.
Embracing COMSIP concept in Civil Service
There is growing concern on the welfare of Civil service in Malawi. As a result the Office of
the President OPC has formed a Civil Service Social Economic Empowerment Network
(CISSEN) to champion the economic empowerment of civil servants across the country
through a savings and investment culture. COMSIP was asked to provide guidance on the
COMSIP approach. Several meetings were held including high level meeting with the Chief
Secretary. Knowledge exchange visits were made to various COMSIP cooperatives
including the COMSIP cooperative at Mzuzu city and the COMSIP group at Mchinji district
council. The two solely draw membership from the civil servants and were taken for best
practices.
Mayi Manyozo of Ntcheu used to sleep in
grass thatched house. After joining COMSIP
and being exposed to the incremental asset
accumulation strategy, she started
purchasing iron sheets whenever she raised
enough to meet the cost of one sheet she
kept the iron sheet until enough was stocked
to cover half the house. She has since roofed
one side of the house as shown next
.. “I am a proud owner of an iron sheet house in the village though partially roofed. I have started
accumulating some so that come the end of 2013 I finish the other side, Mai Manyozo intimated.
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With such impressive performance of civil servants involved in COMSIP, CISSEN has
embraced the concept and advised district based CISSEN committees to liaise with the
district COMSIP team in building a culture of savings and investment among civil servants.
Other impacts
Following the adherence to the 8 jobs as human development indicators, COMSIP groups and
cooperatives act as platforms for other developments. As a result impacts are evident in
health, education, water and sanitation and other social development indicators as shown in
the pictures.
8 Jobs/HDI Percentage of members in
Supported Non supported
Education: child enroll in preschool 58 48
Health: Access to medical care 98 93
Owning a toilet 99 97
Housing: With burnt brick walls 76 63
Iron sheet roofed 68 45
Nutrition: Consuming 3 meals a day 91 83
Note: * is data from COMSIP Impact study Nov 2012
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CAPACITY BUILDING
Member Training and Grants Disbursed
During the year, the Union disbursed MK91.6 million in support of Financial Literacy and Business
Management Trainings to 18,320 beneficiaries in groups and clusters formed in all the districts in
Malawi. By the end of the year, the union had cumulatively supported 3, 431 groups out of the 4, 457
groups formed translating into 65, 476 beneficiaries out of the targeted 99, 153, representing 66%
achievement. (Refer to Table below)
The year has seen an increase in the number of Cooperatives affiliating to the Union following the
formation and training of 14 new cooperatives resulting 140 cooperatives formed of which 65 have
affiliated to the Union through purchase of shares. The Union also organized some training for the
Credit and Supervisory subcommittees for some of its affiliates with the objective of equipping
members of the subcommittees with knowledge and skills on how they can effectively discharge their
duties and responsibilities in accordance with their positions (refer to Table below)
COMSIP Union organized Environmental and social safeguards trainings and developed a toolkit for
the sensitization and development of Environmental and social management plans for the mitigation
of the environmental and social effects that some business enterprises bring on the environment and
social welfare of people. A total of 179 Community Facilitators, 435 DESC team members, 179
extension workers and 329 clusters were oriented on the toolkit and development of the
environmental and social management plans.
Staff trainings
During the year the union lined up some local and external training/workshops for the staff. Both
union staff members as well as members of the board attended some trainings and workshops as
indicated in the table below
Local trainings and workshops
Name of Staff Type of training/workshop Place
All Union Staff Environmental Safe guards Mponela
T.K. Gondwe ECAMA Mangochi
C. Kadewele SOCAM Mangochi
M. Kawamba Institute of IA Mangochi
C. Kadewele
M. Kawamba
P. Kamwendo
W. Kabango
SAGE Office
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External trainings and workshops
Name of Staff Type of Training/workshop Place
T.K Gondwe
B. Munthali
C. Mwanyali
Msindwa
SACCA Congress Entebbe Uganda
T.K. Gondwe
H. Dunga
B. Munthali
W. Kabango
Study visit to COMSIP in
TASAF
Dar-e-salaam, Tanzania
T.K. Gondwe
B. Munthali
C.B. Kadewele
IFAD Workshop Maputo, Mozambique
C. Chaphamtengo Management Arusha, Tanzania
T.K. Gondwe
C. Gondwe
J. Mbingwa
Performance Management Nairobi, Kenya
T.K. Gondwe
M. Kawamba
Risk management Accra, Ghana
VISITATION AT COMSIP COOPERATIVE UNION
A number of visitors came to the UNION during the year under review. These visitors
included government officials and those from the private sector. However, cooperative
members formed a larger percentage of the visitors who paid a visit to COMSIP Cooperative
Union Limited.
CHALLENGES
In the year the Union faced several challenges some of which were sorted out in the course of
implementation while some still remained outstanding as follows
Transport
Transport facilities via avis the volume of work remained a challenge and the frequent breakdowns
exacerbated the problem. The Union continued to rely on the old fleet of vehicles 3 in number with
one off road and a lone new vehicle. At the rate of implementation, the fleet fell short to effectively
deliver the services, further with the age of vehicles; they also posed an accident risk to staff.
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Demand for the services
COMSIP approach has become very prominent among ordinary Malawians; as such there is
overwhelming demand of the services by community members against the limited resources. The
positive testimonies and improved livelihoods by members in COMSIP groups and cooperatives have
wooed many to join the existing institutions and others forming their own groups and cooperatives.
The Union is working hard to mobilize resources from the existing donor and also to leverage
resources from other sources.
Commitment of stakeholders
Key stakeholders in the implementation of COMSIP activities remain the district Councils and
extension workers. This is in line with the decentralized approach that the Union embraced at the
inception of the Project. In spite of the various technical supports given to these structures at district
level, commitment at these levels is sporadic. It varies from council to council, with monetary benefit
regarded as a catalyst for individuals to commit themselves. Thus the allowance syndrome has taken
precedence over and above their respective sect oral roles as civil servants. The Union will at all times
strive to innovate so that the ultimate beneficiary is reached with effective service delivery
mechanisms.
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1. FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2013
DIRECTORS REPORTS
The directors have the pleasure in submitting their report together with the audited statement
for the year ended 30 June 2013.
INCORPORATION AND REGISTERED OFFICE
COMSIP Cooperative Union Limited is an apex cooperative society for COMSIP primary
cooperatives registered under the cooperative Act 1998. The registered office of the union is
situated at COMSIP House, Area 6, Plot No. 172 in the city of Lilongwe, Postal Address
Private Bag 105, Lilongwe.
PRINCIPAL ACTIVITIES
COMSIP Cooperative Union is registered as a cooperative society under the cooperative Act
1998. It is in the business of promoting cooperative business with emphasis on cultivating a
culture of savings and investment.
AREA OF OPERATION
The union operates in all districts in Malawi.
FINANCIAL PERFORMANCE
The results and state of affairs are set out in the financial statements with accompanying
notes to the financial statement.
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DIRECTORATE AND SECRETARIATE
The following directors and secretary served in office during the year
Mr. C.T. Gondwe - Chairman 6months
Mr. I. Kampala - Vice Chairman 6 months
Mrs N. Wallama - Secretary 6 months
Mr. G. Chipanga - Treasurer 6 months
Mrs Joyce Nkhoma - Member 6 months
Mrs Sellina Mkandawire - Member 6 months
Mr. W. Nhlongo - Member 6 months
Mr. S. Samva - Member 6 months
Mr. D. Maloya - Member 6 months
T.K Gondwe Secretariat All Year
In accordance with the corporative Society Act 1998 board members shall serve for a term of
minimum one year and maximum of 3 years. At the forthcoming AGM those destined for a
year term will retire and being eligible for re election.
AUDITORS
The auditors Graham car will continue to serve in office for the forthcoming year as
stipulated in the term of offer. A resolution will be passed at the time of expiration of contract
whether to reappoint them.
FOR AND ON BEHALF OF THE BOARD
C.T.Gondwe Samuel Samva
Chairman Director