The Atwima Mponua Rural Bank Limited at Toase in the Atwima Nwabiagya District of Ashanti Region in the midst of all the challenges especially coming from the external business environment has posted a remarkable operational performance in the 2019 year under the review.
The Board in its quest to improve shareholder value, has resolved to improve upon the liquidity of the bank and maintain higher profitability for growth and development
In furtherance of this, shareholders as well as other relevant stakeholders of the bank have been urged to continue to lend their support to the Board, to enable the bank to continue to chart the path of growth and shareholders’ value enhancement.
The Board of directors looks forward to a new era which would see the bank take giant step in its ongoing quest for growth and profitability. Directors’ major concern is to improve shareholder value and make their investment worthwhile and the Directors are sparing no effort in that regard.
The Chairperson of the Board of Directors, Mrs Constance Phillis Puttick said these and more at the Bank’s 36th Annual General Shareholders’ meeting held last Friday at the Church of Pentecost at Toase in Ashanti.
According to her, the Ghanaian Economy continued to expand in the year under review. Inflation was 7.21% at the end of December 2019 compared to 9.84% in December 2018. The macroeconomic environment exhibited improvement and the banking sector clean-up created a more sustainable industry.
However, in 2019 the public confidence in the industry dwindled. Despite a challenging economic and regulatory backdrop, Ghana’s banks have exhibited steady growth in operating assets in recent years.
In 2019, Ghana maintained its moderate fiscal and current account deficits, single-digit inflation, and a relatively stable exchange rate.
Mrs Puttick mentioned that apart from Profit After Tax which dwindled by 57.02%, all other key financial indicators recorded an impressive performance despite the Challenges of high Nonperforming Loans, high cost of utilities, short-term investment and financial sector clean-up.
In spite of the many challenges faced by the Board of Directors and Management, they worked hard during the year under review, to raise Total Assets, Deposits, Loans and Advances, Portfolio but recorded a drop in the Profits before Tax as shown in the table.
In view of the BoG’s directive to all SDIs to desist from declaring dividends or distributing reserves to shareholders for the 2019 and 2020 financial years the Board of Directors did not recommend to members to approve the distribution of dividend for the 2019 financial year. The board has however assured shareholders that at the appropriate time, their investment will be rewarded.
Corporate Social Responsibility
The Bank continues to offer assistance to communities and institutions within its catchment areas in terms of community development projects and financial support which amounted to GH¢ 133,808. The major economic areas that beneﬁted include Education, Health, Sports, Recreation and Security.
The Head of Legal and Compliance of ARB Apex Bank, Curtis Brentuo on behalf of the Managing Director, Mr Kojo Mattah congratulated the Bank for the remarkable operational performance over the years.
He therefore advised the Board and Management to institute risk management policy to identify, assess, monitor and control risks, since the banking business has become very competitive and risky.
The President of the Ashanti Chapter of Association of Rural Banks Mr Patrick Owusu addressing the shareholders of Atwima Mponua Rural Bank urged them to have confidence in the board and resort to dialogue in their dealings with the Board.
He further advised shareholders to increase their shareholdings with the bank and anticipate a long-term benefit with their investments.