- To source for funds through, Deposits from CBC Christians; Contribution from Churches, Departments, Institutions; Donations/Grants/legacies from CBC Partners; CBC staff contributions
- To manage the funds raised in the most accountable and sustainable manner in the overall interest of the CBC
- To receive, study, short list, approve and finance key project applications from the departments, churches and organs of the CBC for funding
- To ensure that loans taken by churches, organs or departments are properly managed and promptly repaid into the Fund
We seek to provide a viable fund for the sustenance of CBC churches, departments and organs for the purpose of promoting the Gospel of Jesus Christ through providing low interest loans for capital investment and the propagation of the gospel of Jesus Christ.
The main purpose of the Fund is to provide an opportunity for CBC Christians and its partners to freely donate funds towards the development and sustainability of the Convention.
Over the years, the CBC has depended on external funds, departmental surpluses and contributions from Churches which are often inadequate to meet the development needs of CBC.The various departments of CBC find it difficult to implement planned goals and forge forward. The banking sector does not offer favourable conditions to the church to take loans and invest in vital church projects. The external partners of CBC no longer commit sufficient funds for developmental projects. Some of the partners have even pulled out of the traditional partnership we used to enjoy leaving us to fend for ourselves. Venturing into new mission fields has become difficult because money is hard to come by. This trend is likely to continue into the foreseeable future and may even get worse. In spite of the many years of existence, the CBC has neither an endowment nor a development fund. In the face of all these the CBC must seek innovative and alternative ways of sustaining itself, hence the creation of this development fund.
The Cameroon Baptist Convention Development Fund (CBCDF), P.O.BOX 1 BAMENDA,
(hereafter known as CBCDF or "the Fund”) adopts this Statement of Investment Policy, Objectives, and Guidelines.
The Development Fund believes that grants and income distributions to be made in the future are as important as distributions made today. This is consistent with the philosophy that this Development Fund is to exist in perpetuity, and therefore, shall provide for grant making in perpetuity. To attain this goal, the overriding objective of this Development Fund is to maintain purchasing power of Fund accounts. That is, net of spending, the objective is to grow the aggregate portfolio value at the rate of inflation over the Fund’s investment time horizon. Specific investment objectives will be established later in this document.
Where need shall be to invest in other securities than in CBC structures and institutions, the CBC shall actively engage corporations in which the assets are invested on a variety of issues and discourage investments in operations," such as those affiliated with gambling, alcoholic drinks, high interest lending or human embryonic cloning, same-sex couples, support abortion, contraceptives, weapons of mass destruction, pornography and others. The CBC shall also seek to avoid firms that cause environmental damage from greenhouse gases and businesses that do not engage in fair trade.
The Fund operates as part of the structures of the CBC. The Fund mobilises funds and provides loans to not-for-profit institutions and Churches of the CBC which support the special needs of CBC Christians and the broader Church structures.
The CBCDF is built on the dream that funds for future building projects would come from people within the CBC Churches who have a heart to build up the local church.
The Development Board of Directors is charged with the responsibility for the management of the assets of the Development Fund. The Board of Directors shall discharge its duties solely in the interest of the Development Fund, with the care, skill, prudence and diligence under the then prevailing circumstances, that a prudent investor, acting in a like capacity and familiar with such matters would use in the conduct of an enterprise of a like character with like aims. The specific responsibilities of the Board of Directors relating to the investment management of Development Fund assets include:
- Determining the Development Fund’s risk tolerance and investment horizon.
- Establishing reasonable and consistent investment objectives, policies and guidelines which will direct the investment of the Development Fund’s assets.
Sources of Funds
Annual contributions from cbc Churches
All CBC Institutions and Churches shall make an annual contribution of 0.25% of its annual budget. This shall serve as their contribution to the development of the CBC as these contributions shall build the capital base of the fund. These amounts contributed shall be recorded per contributor and shall be considered during an eventual loan request.
Term Deposit Certificates
Term Deposit Certificates mature after a set period of time and bear interest at a fixed rate of interest.
3.1 Investment Instrument
- Payable at maturity
- Fixed interest rate, compounded daily
- Automatic renewal at maturity
- Early redemption penalty
- Offer Term Deposit Certificates with maturities of one, two, three, four or five years
- Minimum investment 100,000 CFA
- Higher rates for investments over 2,000,000 CFA
Recovery cost from loans to institutions and churches;
- Recovery charges of various rates shall apply on each loan.
- Loan service charges to cover application form, loan appraisal, and site visit shall be charged as appropriate.
Funding from grants/support to earmarked projects
The Development fund shall also receive money from grants offered by individuals or partners. These grants can be undesignated or designated to realise earmarked projects.
Money from Christians, partners, etc. to support the development of the Cameroon Baptist Convention infrastructural projects.
- Interest collected from loans
Interest charged on loans offered for capital projects shall increase its financial resources
- Deferred interest from investors
Money saved from interest of investors who shall prefer to defer the interest generated by its term investment as support to the CBCDF activities
- Designated Development Sunday Offering
Within the framework of massive sensitisation activities on the CBCDF and to solicit appropriation, Churches could carry out a one-time fund raising to build up the base capital of the fund.