BARBADOS PUBLIC WORKERS’ CO-OPERATIVE CREDIT UNION LIMITED
CONSOLIDATED ANNUAL REPORT 2015
8
OVERVIEW
The Board of Directors is happy to report another year’s
commendable performance notwithstanding the volatile
economic environment, and applauds management and staff
for their commitment and contribution to this achievement.
At March 31st, 2015 membership exceeded 70,000, and
based on our current growth path as a separate entity, the
Credit Union is on target to meet the one billion dollar mark in
assets during the coming year. These are significant milestones.
In the process of reviewing our past year’s performance, we
evaluated those things which impacted us in the pursuit of
achieving our strategic objectives, with a view to seeing how
these could either be improved or mitigated depending on the
impact.
In undertaking this exercise we sought to make a comparison
with the global Credit Union movement. The World Council of
Credit Unions in their 2013 report noted that, “In 2013, our
top challenges across the globe were more universal than ever
before. Large, small, emerging and mature systems, regardless
of their differences, all reported the same top challenges:
increased regulatory burden, payments innovation, young adult
membership growth and small credit union sustainability.”
These revelations almost perfectly mirror our domestic Credit
Union environment today.
As we seek to learn from our counterparts across the globe
to improve our individual operation and performance, we
must also examine those things that impact the movement as
a whole with a view to keeping Credit Unions alive and well
in Barbados. In evaluating each of these trends we remain
convicted in our efforts thus far and our vision for the future.
RAPIDLY CHANGING REGULATORY ENVIRONMENT
Today the Credit Union stands at a significant cross-road.
The new regulatory world, the dynamic technological future
and landscape, increased and intensified competition in the
financial services sector have all impacted on the operation of
BOARD OF DIRECTORS’ REPORT
President
Bro. Glendon Belle
financial institutions, and more significantly on Credit Unions.
During the last financial year, we saw the implementation of
the asset tax on Credit Unions. While this was only imposed
on Credit Unions with assets of forty million dollars or more,
the impact was material as it is not our business model to pass
cost on through fees to our members as most other financial
institutions typically would. Through rigorous scenario
planning and budgeting exercises we were able to mitigate the
effects of this impact on our Credit Union.
Additionally, the introduction of the Foreign Asset Tax
Compliance Act (FATCA) and the reduction of the world to
a global village through technological advancements also
affected our operations this year. The implementation of FATCA
required changes to our internal operating procedures and
extensive training for operational staff which was championed
by our internal compliance team.
ACCESS TO SERVICES
The review of products and services is an ongoing process and
we must continue to be informed by diligent market research
so that we remain appropriate and relevant to our members’
needs and expectations. Our delivery channels must ensure
that doing business with the Credit Union is fast, accurate and
efficient.
Through an analysis of behavioural data, management saw
that more and more of our members were engaging the
Credit Union through mobile devices and responded with the
launch of our mobile banking application at the beginning of
the second half of the year. This was further supported by a
revamp of our corporate website which is now mobile friendly.
Successive reports from our annual member survey have noted
a call for an expanded branch network. We are pleased to
report that the branch at Emerald City which registered strong
performances from inception, will shortly be relocated to more
commodious surroundings at the Emerald City Complex, Six
