businessdayonline.com/2015/08/south-east-co-operatives-to-float-regional-bank-with-n10-billion-capital/

Thousands of cooperative groups in the five South East states under the aegis of South East States Cooperative Financing and Investment Limited (SESCOOP) are set to revive the moribund regional Cooperative Bank Limited, with an initial N10 billion as take-off capital, to drive deeper operations of micro and small businesses (MSMEs) in the region, BusinessDay can report.


Authoritative information made available to our correspondent indicate that SESCOOP top officials have already got favourable dispositions from the nation’s banking regulatory body, the Central Bank of Nigeria (CBN) to float the cooperative bank.


It was reliably gathered that the CBN, while largely supporting the move; has advised the movers of the regional cooperative bank idea, SESCOOP, to fly fast with the idea, and get it established; saying that such institution clearly falls in line with CBN’s aim of promoting micro, small and medium enterprises (MSMEs), for which it has since set up a funding agency – the micro, small and medium enterprises development fund (MSMEDF).


In an interview with BusinessDay, in Owerri, Imo State, a top member of the SESCOOP and one of the brains behind the establishment of the Cooperative Bank, Peter Erika Okoye said, cooperative groups constitute the greatest change agents in empowering rural dwellers and the urban poor people, through the establishment of micro businesses; adding that it is these MSMEs that generate jobs for the unemployed.


“Only a Cooperative Bank understands the positions of a little pig farmer, a ground-nut seller, and fish farmer cooperatives and promotes them through advancement of micro-credits to the individual cooperative societies at little interest rates that would make it possible for them to pay back their loans. The deposit money banks (otherwise called commercial banks) would ask for collaterals, higher interest rates, which would discourage cooperative bodies from coming up to ask for loans. So, that’s why we are setting up the Cooperative Bank,” Okoye said.


Okoye, who is also the chief executive officer (CEO) of Rhino Energy Limited in Anambra State, informed that the Cooperative Bank, when established would be typically a regional bank, devoted to promoting cooperative development in the South East by advancing cheap micro loan facilities at very minimal interest rates to cooperative societies.


“We have about 10,000 cooperative societies in Imo State alone. In Anambra there may be nearly twice that number. When you take these numbers across the five states of the South East zone, you can only imagine how many cooperatives I am talking about here. But the sad thing is that almost all of these cooperative groups lack access to micro-credits. As a result, most of them are only struggling,” he stated.


He recalled how the late Obafemi Awolowo, as premier of the Western Region had provided then about £25 million to promote the establishment of hundreds of farmers cooperative groups in the region – the result of this was the massive growth of cooperative societies – leading up to the building of the Cocoa House in Ibadan.
Today, he said the South West zone leads the rest of the country in cooperative movement and micro-businesses.


“In the East, we had the Eastern Region Cooperative Bank, which later metamorphosed into the Cooperative and Commerce Bank, which helped a lot in promoting micro and small businesses then. We want to bring up again this Bank, especially at this time that all over the world, nations are developing faster through their cooperative groups which run micro, small and medium businesses. Besides, our own Central Bank of Nigeria is interested in promoting micro, small and medium businesses.” the SESCOOP boss said.


He spoke of how SESCOOP in recent time, has been sensitizing people through massive cooperative education in the zone, on the benefits of forming a cooperative or belonging to one.


Meanwhile, Geoffrey Samuel, the president of SESCOOP, said there is an urgent need for the South East zone to catch up with other parts of Nigeria, as well as other developing countries in Africa that have made great achievements with cooperative movement.
Such countries are: Kenya, Tanzania, Angola, Namibia, among many others.


Okoye informed that in order to whet the environment for cooperative culture and take-off of the regional Cooperative Bank, SESCOOP has concluded arrangements to hold an international cooperative investment forum in the South East later in the year. The conference which would also include exhibition of cooperative products, would showcase some of latest successes made by some developing countries through cooperative society.


BEN EGUZOZIE

This bank will die a natural death.

WEMA Bank survived in the West, because those managing the bank's affair have been doing a good job approaching business as a National Bank and not a Regional one.

Moreover, how can a bank be managed properly, when everybody comes from a region where everybody is very sensible?

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Hmn! make them no chop people money sha!

Yes they can

Welcome development.

K

Chiaka:
Hmn! make them no chop people money sha!

I just pray.

Okay.

The ofe mmanu's above don't seem to like this news

Is better than Islamic bank to Islamic hand to Islamic purposes at the end of the day Nigeria is mess up. People are talking development not provide for religious miscreants.

HungerBAD:
This bank will die a natural death.

WEMA Bank survived in the West, because those managing the bank's affair have been doing a good job approaching business as a National Bank and not a Regional one.

Moreover, how can a bank be managed properly, when everybody comes from a region where everybody is very sensible?

Shoro niyen?

HungerBAD:
This bank will die a natural death.

WEMA Bank survived in the West, because those managing the bank's affair have been doing a good job approaching business as a National Bank and not a Regional one.

Moreover, how can a bank be managed properly, when everybody comes from a region where everybody is very sensible?

Not it won't,
Not for those reasons you have given .
Any organisation will survive as long as it adapts to the times and it is run efficiently.
Even a bank in a small town will be profitable if it is well run .
It all goes back to the argument that the unitary federal government is more of an hindrance or liability than a facilitator.
For this bank to get approved , they would have to jump over numerous FG hoops ,headed by someone who probably cannot locate the state on a map .
This is why the country need to go back to 1960 .
3 regions, shrink the FG to pay for the poorer northern region. Further Organise within the regions based on ethnic make up of the regions, with all autonomous provinces getting derivation based on their contributions to the region .
After all , the FG will still be pocketing 50% of all the revenues.

There is a branch of Wema bank in Port Harcourt lol.
So much for regional bank in this days of global competition.

Oh!! Lovely. Who's gonna be the CEO, Nnamdi Kanu??
Nice initiative.

Biafra bank

Chiaka:
Hmn! make them no chop people money sha!

I tell u

HungerBAD:
This bank will die a natural death.

WEMA Bank survived in the West, because those managing the bank's affair have been doing a good job approaching business as a National Bank and not a Regional one.

Moreover, how can a bank be managed properly, when everybody comes from a region where everybody is very sensible?

RUBBISH

omenka:
Oh!! Lovely. Who's gonna be the CEO, Nnamdi Kanu??

Nice initiative.

Oh damn!
Shame on you bro!

Good

HungerBAD:
This bank will die a natural death.

WEMA Bank survived in the West, because those managing the bank's affair have been doing a good job approaching business as a National Bank and not a Regional one.

Moreover, how can a bank be managed properly, when everybody comes from a region where everybody is very sensible?

Now back to you, WEMA bank was just like Fidelity Bank, how did Fidelity keep on growing while wema bank is drowning... the reason is that one is being managed by an Igbo man while the other is being manage by the so called sophisticated ppl

tsk tsk tsk SMH instead make dem plant palm oyel or pineapple with d moni

omenka:
Oh!! Lovely. Who's gonna be the CEO, Nnamdi Kanu??

Nice initiative.

very very Shameful indeed..... Now tell me why Nnamdi kanu will not call you an animal living in the zoo

It's a good idea if it would be managed properly and with good ideas. Medium scale agriculture is making a comeback in Nigeria and such finance institutions are required to energise the growth

sweetgala:
It's a good idea if it would be managed properly and with good ideas. Medium scale agriculture is making a comeback in Nigeria and such finance institutions are required to energise the growth

I can bet the head office will be in Lagos. so much for regional bank.
So they will not accept deposit if Adamu or Kayode bring N10m?
Truth hurts, just like I saw Wema bank in PHC, I see the bank opening branches across the country if it want to survive.

kaycid77:


very very Shameful indeed..... Now tell me why Nnamdi kanu will not call you an animal living in the zoo

Na wa oo!! Did I say something wrong

I don't get it. Do you guys hate Nnamdi Kanu

Shooo...

omenka:
Oh!! Lovely. Who's gonna be the CEO, Nnamdi Kanu??

Nice initiative.

Stop being silly mister. You are getting very paranoid. What has the news got to do with Mr Kanu?

HungerBAD:
This bank will die a natural death.

WEMA Bank survived in the West, because those managing the bank's affair have been doing a good job approaching business as a National Bank and not a Regional one.

Moreover, how can a bank be managed properly, when everybody comes from a region where everybody is very sensible?

"
why d negative comment?

are u sure u will survive dis eastside hating.............?

Some region have abundant to improve themselves despite the economy recession while some certain region are crying for hunger and government handouts. I can understand their frustration.

gists:

I can bet the head office will be in Lagos. so much for regional bank.
So they will not accept deposit if Adamu or Kayode bring N10m?
Truth hurts, just like I saw Wema bank in PHC, I see the bank opening branches across the country if it want to survive.

I'm sure they would have a branch in Lagos and Kano , it would only make sense a vast amount of their customers would trade in those locations.

This is not about tribe unless the bank makes it so, the SW was able to establish good cooperative banks which was a major tool in the agricultural success during the mid twentieth century and now. And the now thriving agric industry in the SE needs it too if Nigeria is ever to rise to the challenge of being economically diverse.

Farmers the world over truly rely on these sort of financial arrangement.

I applaud it sincerely

Kingspin:
Is better than Islamic bank to Islamic hand to Islamic purposes at the end of the day Nigeria is mess up. People are talking development not provide for religious miscreants.

And igbo people are trooping to Islamic bank to borrow money

Shut up. Must you bring down everything that does not belong to you? Let me not open the lid on Wema Bank.

HungerBAD:
This bank will die a natural death.

WEMA Bank survived in the West, because those managing the bank's affair have been doing a good job approaching business as a National Bank and not a Regional one.

Moreover, how can a bank be managed properly, when everybody comes from a region where everybody is very sensible?