Barbados Teachers’ Cooperative Credit Union Limited (BTCCUL) is planning to merge with two other financial cooperatives.
The proposed amalgamation was outlined by Ronald Jones, BTCCUL’s president over the past year, as the organisation held its annual general meeting on Saturday,.
In the president’s message in the credit union’s annual report for the financial year ended March 31, Jones said BTCCUL was “in active discussion about amalgamation with two unnamed fellow credit unions, not because we must, but because doing so presents an extraordinary opportunity to strengthen what we have already built”.
Sources said discussions were ongoing with BET Co-operative Credit Union Ltd and Light & Power Employees Co-operative Credit Union Ltd regarding the merger with BTCCUL.
“A larger consolidated asset base would enhance our stability and improve our regulatory standing. It would significantly improve our collective ability to absorb economic shocks, maintain capital buffers, and continue lending with confidence during periods of volatility,” he said.
“With greater scale comes expanded capacity to serve. Members would gain access to more competitive loan offerings, a broader range of savings and investment instruments, improved dividend potential, and a wider suite of financial services – the kind of offering that positions this credit union as a comprehensive financial partner for life.”
The former minister of education also said that the planned amalgamation “creates the capital and operational bandwidth to invest meaningfully in modernised digital banking platforms, faster loan processing, improved member communication channels, and greater convenience across service touchpoints”.
Jones sought to assure BTCCUL’s more than 3 700 members, who he acknowledged may be anxious about the merger and had questions, that “amalgamation does not erase identity. It does not erase legacy. It does not erase cooperative principles. Our foundation remains what it has always been: one member, one vote; democratic governance; member ownership; [and] service before profit”.
“The rationale for amalgamation is precisely that it creates the resources to invest in better service. We are not looking to do less – we are looking to do more, and to do it better, for every member on our books,” he explained.
“I assure you and I assure you categorically: any decision taken will be grounded in due diligence, transparency, full regulatory oversight, and member approval.”
Jones informed members that over the coming weeks and months, they would receive detailed information on the proposed amalgamation; full financial analyses, including independent assessments; information on proposed governance structures; and that transition plans “will be developed and communicated at every stage”.
News of the merger comes as BTCCUL reported a “highly satisfactory” financial performance over the past year.
The board of directors reported total income of $4.2 million, up from the previous year’s $4.1 million. The credit union’s total assets were $117.8 million, an increase over last year’s $115.5 million.