MUSANZE — The National Bank of Rwanda (BNR) has given a local Savings and Credit Cooperative in Musanze district up to two months to recover a debt of Frw4 million or close down.
The debt was incurred after its accountants reportedly stole the money last year.
The BNR manager, François Kanimba, gave the ultimatum recently while meeting the members and administrators of the cooperative known by its French acronym as CLECAM (Caisse Locale et Credit epagne Mituelle).
After inspecting other local micro-finance institutions and cooperatives, in the area, Kanimba warned the administrators of such institutions to make fresh evaluations of their lending behaviour to avoid making loses.
Two branch accountants of CLECAM including Emmanuel Ndagimana and Aimable Ndikubwimana disappeared with Frw 3 million and Frw1.1m respectively.
At least six micro finance cooperatives were closed last year due to financial scandals.
Members of CLECAM who strongly protested against the idea of closing their business pledged to buy more shares and cover up the big loss which was incurred.
After the meeting, all Savings and Credit cooperatives in the Northern and Eastern Provinces were asked to form one union with central administration in order to have a strong ground to lobby for financial support.
The district administration was asked to intervene in the affairs of the local micro-finance cooperatives and work with police to arrest those who had swindled the money.
Kanimba promised to issue bank definitive certificate as soon as the confusion and loses are sorted out.