Starting today, March 24, meetings are expected to kick off to determine the fate and the future of Microfinance Inkingi Plc, following its decision to go under voluntary liquidation. According to the National Bank of Rwanda (BNR), Microfinance Inkingi Plc decided to proceed with voluntary liquidation, effective Friday, March 21. The decision to go under voluntary liquidation typically means the company cannot meet its financial obligations. In a public notice, BNR urged all depositors, creditors, and borrowers with outstanding balances within Inkingi to promptly contact M & Partners Chamber Ltd, the appointed liquidator, who will facilitate the voluntary liquidation of the institution. ALSO READ: Inkingi MFI loans motorcycles Advocate Olivier Mukama Ngoga, representing the liquidator, told The New Times that relevant meetings are expected to be held this week – starting Monday, March 24 – to discuss the liquidation plan, including the number and details of depositors, creditors, and borrowers. Ngoga explained that the microfinance institution will have to provide financial statements and any other relevant files to M & Partners Chamber Ltd so they can take control of the institution’s management. While the management of the institution will change during the liquidation process, Ngoga assured that daily operations would continue as usual, including the payment of loans and handling of debts. Details of creditors, assets, and liabilities, will be known based on the financial report statement of the company, he said, pointing out that a list of creditors will be compiled. “If there is anyone who has a loan, they will continue paying as usual,” he said. “For creditors, we will make a list of them, know exactly their amount, and make a plan about how to pay them.” ALSO READ: New microfinance liquidity fund set to lower interest rates Ngoga indicated that the firm will issue a communiqué to inform customers, shareholders, and partners about the institution’s management changes and to address any concerns. The legal process of liquidation involves the sale of assets, with proceeds distributed to creditors, as provided by Rwanda's 2021 law on deposit-taking microfinance institutions. Unclaimed funds after the completion of liquidation must be deposited with the supervisory authority (BNR) and can be claimed by rightful owners for up to two years. After that, the unclaimed funds are considered abandoned and managed according to the relevant legislation, the law provides.
