Accra: The Upper East Farmers Cooperative Credit Union has made significant strides in its first year of operation by providing accessible financing, financial literacy, and business development support to smallholder farmers, traders, and entrepreneurs. This initiative is helping expand businesses and improve livelihoods across the region.
According to Ghana News Agency, the union was established in August 2025 to address the persistent challenge of access to affordable credit faced by farmers, market women, artisans, and other informal sector workers who often struggle to secure loans from conventional financial institutions. Speaking at the union's first Annual General Meeting (AGM) in Bolgatanga, Dr. Charles Nyaaba, the Chief Executive Officer, highlighted that the initiative is enabling members to mobilize their savings and access affordable loans without the stringent collateral requirements associated with commercial banks.
Dr. Nyaaba explained that access to finance remains one of the biggest barriers to business growth in the informal sector, forcing many people to keep their savings at home or fall victim to fraudulent investment schemes. The cooperative was established to offer members a safe, member-owned financial institution capable of supporting productive investments while promoting a culture of savings and responsible borrowing.
'The objective is to provide financial literacy and financial support to our members by mobilizing their own savings and making those funds available as credit to support farming and other businesses,' he said. The union has enrolled more than 500 members, with loan facilities ranging from GH2,000 to GH100,000. Recently, six members were approved for loans of GH50,000 each to establish or expand their businesses. The union currently enjoys a 100 percent loan recovery rate due to its robust lending and monitoring systems.
Beyond providing loans, the union equips beneficiaries with entrepreneurship training, financial literacy, business incubation, and mentorship to ensure they invest in viable enterprises. 'We don't only give people money. We help them identify viable businesses, train them to manage their finances, and mentor them before releasing the credit,' Dr. Nyaaba said.
The cooperative also links farmers to guaranteed markets by working with subsidiary companies that purchase produce from members, reducing marketing risks, and improving loan repayment. 'We don't encourage members to venture into businesses where there is no market. Once our farmers produce, we have arrangements to buy their maize and paddy rice, which gives them confidence to invest,' he explained.
Currently, the cooperative operates in the Bolgatanga Municipality, Pusiga, Tempane, and the Kassena-Nankana area, with plans to expand its services to all districts in the region. The union also intends to increase its loan portfolio and intensify public education to attract more young people and women into entrepreneurship and agribusiness.
Madam Stella Chibelitu, a member of the cooperative, shared her experience, stating she had benefited immensely from the initiative through credit facilities that enabled her to expand her business. After joining the union at its inception, she acquired a tricycle on credit, significantly improving the transportation of goods for her business and generating additional income by providing transport services to her community. She later secured a GH60,000 loan for her sorghum trading business, leading to increased profits and business growth.
Madam Chibelitu praised the union's input credit scheme, which allows farmers to obtain fertilizer and repay after harvest, with some members settling their obligations using farm produce. She urged farmers, traders, teachers, and other business owners to join the cooperative to benefit from affordable financing and business support services. 'The interest is moderate, and repayment is flexible. It has made farming and doing business much easier for many of us,' she said.
Alhaji Abdul-Rahman, elected Chairman of the Union, expressed optimism that the cooperative would become a game-changer for economic empowerment in the region by helping more people establish sustainable businesses, create employment, and improve household incomes, urging many people to join the union.