In a bid to diversify its income generating activities, a Kigali-based savings and credit cooperative, COPEDU, will early next year begin the construction of a commercial building estimated to cost Rwf 1.5 billion.
The cooperative`s vice president, Leon Nduwayezu, said the funding would mainly come from its investments.
“Members are also contributing towards the success of this project and construction will start in May. We have given ourselves a time limit of eight months to complete it since all necessities are in place,” Nduwayezu said.
He was speaking during a press briefing in preparation to mark the 15th anniversary of the cooperative slated for early next year.
The building to be located in Kicukiro District, will not only house the cooperatives headquarters, but heavily contribute to the income of the cooperative.
“We shall rent out the building and use the proceeds to boost our business, something that we expect to benefit all our members,” he stated.
Speaking to The New Times, the main branch Manager, Denise Murebwayire, said the proceeds would enable the cooperative to reduce on the interest rate on credit it advances to its members.
“If we get money from other financial institutions to give loans to our members, you find that the interest rate they charge us determines the one we charge our members,” Murebwayire said.
“But since this money will belong to us or our members, we shall not only reduce the interest rate, but increase the maximum amount we can give out,” she added,
She also said that the cooperative is set to extend its operations upcountry by opening branches in Rwamagana, Rubavu and Rusizi districts next February.
COPEDU currently operates only within Kigali and has six branches with 17,219 members.