You also want an ePaper? Increase the reach of your titles
YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.
Treasurer’s <strong>Report</strong><br />
The local economy continued to be impacted by the economic<br />
reforms under the International Monetary Fund (IMF) Extended Fund<br />
Facility. These included public sector wage restrictions and a low<br />
interest rate regime.<br />
Unemployment trended only slightly downward during the year, moving<br />
from 13.8% in 2014 to 13.5% in <strong>2015</strong>, and thus continued to be a<br />
significant challenge, manifested in reduced savings and in the inability to<br />
service loans.<br />
Delroy Redway<br />
Treasurer<br />
ECONOMIC OVERVIEW<br />
It is with pleasure that I present the<br />
Treasurer’s <strong>Report</strong> for the year <strong>2015</strong><br />
to this our 61 st <strong>Annual</strong> General<br />
Meeting. As we celebrate our 60 th<br />
anniversary in 2016, we reflect on the<br />
past year, which presented a number<br />
challenges for the economy, globally<br />
and locally.<br />
The depreciation in the value of the<br />
Jamaican dollar against its major<br />
trading currencies continued. The<br />
rate of exchange declined throughout<br />
the year from J$114.66:US$1.00<br />
to J$120.42:US$1.00, resulting in<br />
investors continuing to channel funds<br />
into alternative investments such as<br />
US dollars and unit trusts.<br />
Inflation rate for the calendar year<br />
<strong>2015</strong> was 3.7%, a significant downward<br />
movement from the 6.4% in<br />
2014, largely as a result of continued<br />
low international crude oil and<br />
commodities prices.<br />
Vigorous competition continued in the financial sector. Commercial banks and<br />
other deposit-taking institutions continued to revise their credit requirements<br />
and products, and widen their savings and investment options in order to<br />
capture a larger portion of the market. The expansion of the micro-financing<br />
sector and in-house financing for motor vehicles and consumer durables, have<br />
underscored the need to ensure that we continually enhance and improve our<br />
products and service delivery.<br />
Despite this challenging environment, your Credit Union had a profitable year,<br />
achieving a Net Surplus of $41.36 million, almost equal to that of the previous year.<br />
FINANCIAL PERFORMANCE<br />
For the financial year ended December 31, <strong>2015</strong>, the Credit Union recorded a<br />
surplus of $41.36M, a 1% decrease from the previous year’s $41.82M.<br />
SURPLUS<br />
INCOME<br />
Interest income of $396.65M reflected an increase of $5.9M or 2%, over 2014.<br />
This marginal increase reflects:<br />
<strong>Annual</strong> <strong>Report</strong> <strong>2015</strong><br />
30 Celebrating 60 years
Change language