GASABO - A Savings and Credit Cooperative for Rwandan teachers (UMWALIMU SACCO) will be launched in a week’s time. This was revealed last Friday by the cooperative’s Executive Chairman, Joseph Murekeraho, during a press conference held at the National Curriculum Development Centre in Remera.

According to Murekeraho, the cooperative so far has Frw1.7 billion in its coffers from teachers’ contributions and government aid.

He added that it will be launched on September 1, 2008 and that the plan was instituted by the government with the aim of uplifting teachers’ living standards.

"The government’s idea is no longer verbal, it will become a reality soon,” Murekeraho said, adding, "The strongest message for teachers is that the cooperative is theirs. They have taken up something even if it was the government’s plan.”

The scheme is a viable solution towards improving teachers’ lives through profitable loans, according to its promoters and managers.

"I can call it a magic solution. Teachers were earning meager salaries and it is not the salary that can enrich people,” said José Habimana, the cooperative’s Director General.

The cooperative’s membership has gone up to 82.9 per cent of the country’s primary and secondary teachers so far. 33,000 out of 37,000 teachers in public schools have already joined the cooperative, while 1000 out of 5000 teachers in privately owned schools have joined it as well. 

They pay a contribution of Frw10,000 and agree to save at least five per cent of their salary in permanent savings with the scheme every month in order to become members.

According to Murekeraho, close to Frw3.4 billion is needed to construct UMWALIMU SACCO’s housing and ICT infrastructure.

He said that the launch will be an occasion to lobby funds from donors because that is when the cooperative will present its achievements and current challenges.

With the new teachers’ credit and savings scheme, teachers will be able to get loans from the cooperative at a 12 per cent interest annual rate.

They will get 4 per cent interest per year on their monthly permanent savings.

The cooperative was designed by the government to uplift teachers’ livelihoods by helping them to profitably save their money and extend to them loans.

The country’s central bank (BNR) allowed it to operate starting February this year after fulfilling and presenting all the necessary requirements.

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