Housing Investment and Development Cooperative (HIDCO) has entered into a strategic partnership with Malawi Union of Savings and Credit Cooperative (MUSCCO) – the two parties signed a memorandum of understanding on Wednesday at Muscco House in Lilongwe.
Speaking during the signing ceremony, Managing Director of HIDCO, Robert Mbedza, said the agreement gives his company a platform to serve a section of Malawians who are members of Saccos around the country with wide range of housing solutions.
“Muscco comes with membership of Saccos which is a big platform for us. When we registered in 2018 we developed a strategic plan which states that we cannot do it alone, we need strategic partnerships like this. We will offer a wide range of services that include financing, plots, construction services among others,” said Mbedza.
He added “Saccos will have a choice to have an account with HIDCO and enjoy the services as members. The other way is that Saccos will not necessarily have an account with HIDCO but by virtue of being affiliated to Muscco which is also a member of HIDCO they (Saccos) will access our services through Muscco.”
On his part, Muscco Chief Executive Officer, Fumbani Nyangulu said this partnership comes at an opportune time when the organization is trying to expand and bring new opportunities to Saccos which are currently 40 in the country.
“As you know, members of these Saccos are able to borrow for things like school fees, farming, businesses, and very few do borrow for housing as most Saccos have not developed housing products. This partnership will see HIDCO help these Saccos to develop and offer housing products to their members as you know everybody needs a house and if we have such products we will see Sacco members developing,” said Nyangulu.
One of the cooperatives under Muscco, Fincoop’s Chief Executive Officer McMillian Nankhonya, who witnessed the signing ceremony, said they were ready to access the services that come with the partnership as there is already an existing demand of housing construction services among the Fincoop members.
The HIDCO’s Managing Director explained that they would start with a few Saccos, including Mudi Sacco which has already opened an account, and eventually all the 40 plus Saccos will be served.
Moving forward, Mbedza said they were looking forward to more partnerships that would enhance faster penetration into the country with housing solutions to help address the country’s housing and real estate property challenges.