By Mpho Shelile
MASERU – Boliba savings and credit needs no introduction to Basotho, considering the fact that it has been around for 23 years. What is new about it is the change it’s about to undergo. Boliba is said to launch a new policy from the 18th August 2023.
In his opening remarks, Mr. Mosehle Khalema the chairperson of Boliba stated that Boliba has indeed travelled a long but beautiful journey. Since its establishment in the 1999. Boliba Savings and Credit was established under The Cooperative Act No. 6 of 2000 under Registration Number 1544. It is the trading arm of Boliba Multi-Purpose Cooperative. Individuals from the defunct Lesotho Bank and some local businessmen joined forces and formed a cooperative with the sole purpose of soliciting deposits and offering credit to its members. The cooperative has over eighty professional staff and management structure that employs modern business techniques to achieve its strategic objectives.
In an executive speech, Mr Mosehle Khalema stated that the organization was established in 1999 and was lawfully registered in the same year, under the no.47 act of 1948 as a multipurpose cooperative society. Boliba opened its first wing in June 2000. Due to the new No. 6 act of 2000, which prohibits those who are not members to save nor get credit.
He further emphasized that this project will facilitate access to finance for every Mosotho hence the project will be impacted by this initiative and this will also enable them to grow and consequently graduate from the category they are in at the moment.
“Obviously there was need to comply with the requirements of the new act but Boliba was able to pull through it all” he stated. “I may do well to remind you that these people had come to Boliba solely for services and nothing else but that as pressure mounted to comply with the act, we found it in our wisdom to convert them to membership, by requesting them to buy membership at a cost of M50 which adds them to category C, on which they are to buy packed shares worth M500 with each share amounting to 1 loti,” Mr Khalema added.
“Saving money is one of the essential aspects of building wealth and having a secure financial future. Saving money gives you a way out of the uncertainties of life and provides you with an opportunity to enjoy quality life and that is what we as Boliba offer to our clients” stated Mr. Mothane Mpota who is the general manager of Boliba.
Adding on he stated that savings are a vital component of life. Most importantly you can also rely on savings for safeguarding your family’s needs and providing financial security in unfavourable times. But it is important to find an instrument that allows your savings to grow. This is when a financial tool like Boliba Savings Plan comes into the picture and proves to be a perfect fit. The new policy will not only benefit Boliba alone as an institution but the new members too. The idea to give a chance for new members to join Boliba came to mind. “I am proud to say Boliba savings and credit is now to open to everyone willing and able to join”, he concluded.
With this new dispensation comes new rules and regulations, terms and conditions through which the already existing and potential members shall apply, and they are as follows, registration fee and legal organization is paramount. One must deposit on a monthly M50 into their saving. Those M50 will purchase shares valued at M1 and bundled from M500 to M10000 Maloti, members are required to be active.
Benefits one gets to reap after registering with Boliba are as follows: if one has saved up to M500, an individual can borrow a maximum amount of M1500. If one registers they are given a period of 6 months to have purchased shares. A member is supposed to use and support Boliba produced products, so they grow as the organization, and the official launch is on the 18th August of which immediately after the launch, new members can began registering.
Boliba offers a range of savings products such as ordinary savings account, short and long term investment accounts, accounts ideal for business, credit products for personal and business needs of members. It was also stated that they are about to introduce Mobile Money which will offer members a more flexible, convenient and cheap way of transacting using mobile phone.