SCU staff and TACDO consultants during a capacity-building training session on cooperative accounting and loan management, 2025.

From grant reliance to record profit: SCU Bolikhamxay charts path to sustainability with TACDO’s Backing

In a remarkable turnaround that underscores the power of targeted technical assistance, the Savings and Credit Union for Community Development (SCU) have announced record financial results for 2025 and an aggressive self-reliance plan for 2026 – just two years after receiving critical support from the TACDO Consulting Center.

Chart showing SCU’s net profit growth from 2021 to 2025. The dramatic upward trend begins precisely when TACDO started project management in 2024.

According to official documents presented at the 2025 Annual General Meeting on May 27, 2026, the SCU has not only exceeded its financial targets but has fundamentally transformed its operational health, moving decisively away from dependence on international donor funding.
Record Profit and Member Dividends
The SCU’s 2025 annual management report revealed a net profit of 151,434,677 LAK – nearly double the 80 million LAK target set at the beginning of the year. This financial success directly benefited members, with the General Assembly approving a total dividend distribution of 90,860,000 LAK based on 99,527 outstanding shares.

Mr Khamphat Boulom (TACDO) facilitating a training workshop for SCU staff and village credit committee members.

Mr Thongbai Thongsai, addressing the SCU annual general meeting.

Total assets and member activity also surged. The cooperative’s loan portfolio grew to 2,642 million LAK, while member savings reached 1,695 million LAK by the end of 2025, setting a strong baseline for an even more ambitious 2026.
 The TACDO Effect: 5-Year Profit Growth Since Establishment

The impact of TACDO’s technical assistance becomes unmistakably clear when examining SCU’s net profit trajectory over the past five years. Since TACDO began providing hands-on management support and capacity building in 2024, the cooperative has experienced explosive growth – turning previous losses and stagnation into consistent, record-breaking profitability.
Key highlights:
●          From 2023 (the year before TACDO) to 2024, profit increased by over 2,400 percent.
●          From 2024 to 2025, profit grew another +27 percent, reaching over 151 million LAK.
●          The average annual profit before TACDO (2021-2023) was approximately 16.4 million LAK.
●          The average annual profit with TACDO (2024-2025) is approximately 135.4 million LAK – an 825 percent increase in average performance.
“The numbers don’t lie,” a TACDO representative noted. “Before 2024, SCU was struggling with inconsistent profits and operational challenges. Within just two years of targeted technical assistance – training, system strengthening, and governance reform – the cooperative has become a regional success story.”

Mr Bounkhong Padith, SCU Manager, reviewing loan documents with a member during a field visit.

Remark from District Leadership
“I am very proud of the progress of SCU. This cooperative not only helps villagers access capital, but has also built a culture of saving, responsible borrowing, and shared growth. Looking at this dramatic profit increase, I see that TACDO’s technical assistance has created a real and sustainable impact.” Bolikhan District Administration Committee, Mr Thongbai Thongsai said.
TACDO’s Pivotal Role Since 2024
Central to this success story has been the TACDO Consulting Center, which began providing technical support to the SCU in 2024. Working alongside the Lao Microfinance Association and international partners ADA and LUXDEV, TACDO helped the SCU establish a stronger governance and operational framework.
The 2025 audit report explicitly notes that TACDO’s assistance contributed to key structural strengths now in place, including:
●          A complete organizational structure with clear internal regulations and policies.
●          A functional business plan serving as a management tool.
●          Strengthened roles for the Board of Directors, Internal Audit Committee, and Credit Committee.
●          Training in cooperative management, accounting systems, conflict resolution, and the “Core24” digital system.
The profit data above provides the most compelling evidence: before TACDO’s intervention, SCU’s highest profit in three years was just 39 million LAK (2022). Within two years of TACDO’s project management, profit soared to over 151 million LAK – nearly quadruple that previous peak.
 Remark from TACDO Project Implementor
“When we started working with SCU in 2024, the main goal was not just for them to survive, but to grow and become self-reliant when foreign aid ends. The profit numbers speak clearly: in 2023, profit was only 4.7 million LAK. After our assistance began, 2024 profit rose to 119 million LAK, and 2025 rose to 151 million LAK. This is an achievement we are proud of, and it shows that quality technical assistance can truly transform a community,” Project Implement or, TACDO Consulting Center, Mr Khamphat Boulom said.

SCU’s new promotional materials advertising higher savings interest rates (up to 12%) – a key strategy for 2026.

Remark from SCU Management
“Two years ago, we faced many problems: complicated loan documents, staff lacking knowledge, and overdue debts. In 2023, our profit was very low at just 4.7 million LAK. After receiving technical assistance from TACDO, we improved our procedures, trained staff, and helped members understand the benefits of saving. The result was profit jumping to 119 million LAK in 2024 and 151 million LAK in 2025. This is not just management’s success – it is a shared success of the board, staff, members, and TACDO, our key development partner,) Manager of SCU, Mr Bounkhong Padith said.
2026: The Year of Self-Reliance
With donor funding from LUXDEV scheduled to end completely in 2027 (falling from 253.9 million LAK in 2024 to zero in 2027), the SCU has laid out an aggressive 2026 business plan to achieve full self-sufficiency.
Key 2026 targets include:
●          Membership: Grow from 225 to 293 members (+30%), with a focus on 40% female participation.
●          Loan Portfolio: Increase by 25% to 3,302 million LAK while keeping overdue debt below 2%.
●          Savings Mobilization: Reach 1,864 million LAK (+10%) by offering new interest rates of 8%, 10%, and 12%.
●          Profit: Achieve 196.4 million LAK in net profit – another 30% increase from 2025.
Remaining Challenges
While progress is undeniable, the 2025 audit report (compiled with the Bank of Laos) identified 12 areas requiring urgent improvement. These include irregular board meetings (only 3 of the required 4 meetings held), incomplete committee structures, and some documentation and accounting inconsistencies. The SCU has committed to resolving all findings by May 30, 2026, with monthly progress reports to the central bank.
A Model for Community-Driven Finance
Despite these challenges, the SCU’s trajectory is clear. From its establishment in July 2021 with just 26 village funds, the cooperative now serves 65 village funds across three districts in Bolikhamxay Province. Its vision – “to provide fair, transparent, growing, and sustainable financial services that improve the quality of life of members” – is increasingly becoming reality.

Group photo of SCU management, TACDO representatives, and Village Credit committee, Bord of Director, and donors at the 2025 Annual General Meeting.

The 5-year profit data tell an undeniable story: before TACDO, SCU struggled with volatility and low profits. With TACDO, SCU has achieved sustained, record-breaking growth.
As international support phases out, the partnership with TACDO Consulting Center has proven that the right technical advice, combined with committed local leadership, can build a cooperative that is truly member-owned, community-focused, and financially viable for the long term.
For more information:
Savings and Credit Union Soumson Phattana (SCU SP)
Bolikhamxay Province, Lao PDR.

By Advertorial Desk
 (Latest Update June 10, 2026)