… announces 40 years anniversary next year
The Ahantaman Rural Bank PLC continues to post satisfactory performance and has achieved significant growth over the past years.
Financial indicators for the year 2022 under review show growth in areas such as Deposits, Investment, Paid-up capital, Total Assets, among others.
The bank’s Total Assets grew from GH¢166,019,417 in 2021 to GH¢207,458,353 in 2022, showing a growth of 24.96 percent.
Deposits for 2021 rose from GH¢143,303,446 to GH¢178,237,582 in 2022, representing 24.38 percent. Also, the banks Paid-up Capital recorded an increase of 23.52 percent – GH¢5,745,516 in 2021 and GH¢7,096,624 in 2022.
Again, the Total Operating Cost stood at GH¢¢34,460,654 in 2021 as against GH¢40,711,757, representing 18.15 percent while Total Income increased from GH¢40,824,982 in 2021 to GH¢45,956,887 in 2022, showing an increase of 12.57 percent.
These performances were made known by the Board Chairman of Ahantaman Rural Bank PLC, Eric Daning, at the 35th Annual General Meeting (AGM) at Agona Nkwanta in the Ahanta West Municipality of the Western Region.
Dividend to shareholders
He announced that in compliance with the Bank of Ghana (BoG) notice dated December 8, 2022 on Policy and Regulatory Reliefs for Specialized Deposit-Taking Institutions (SDIs) to address potential impacts from participation in the Government of Ghana Domestic Debt Exchange, the directors could not recommend payment of dividends for the year despite that fact that the bank could have recommended and paid some dividends.
“In our last general meeting, we recommended and indeed paid GH0.80 per share, the highest ever in dividends which came to 23.5 percent as the rate of return on your investment,” Mr. Daning added.
He mentioned that the bank is in partnership with STARLIFE to bring insurance services to the doorstep of customers and the general public is yielding result.
He explained that by this arrangement, the banking halls have become one-stop-shop for accessing all financial service and urged stakeholders to sign on to these products to secure their future against uncertainties of life.
The bank, in the year under review, received three prestigious awards and these are:
- Best Bank in Loan Financing at the 4th Rural Banks Excellence Awards
- Ranked 45th in the Edition of the Ghana Club 100
- Benjamin Afful-Eshun was awarded the Most Respected Chief Executive Officer (CEO) in the Rural Banking Category at the 5th Ghana Industry CEO Award.
The Board Chairman further explained that the high cost of fuel and rising inflation resulted in high operational costs in the year.
Additionally, he said interest cost was very high as the rates on treasury bills resulted in customers demanding high returns on their deposits.
In spite of these challenges, he said the bank continues to rank high as one of the best in the rural banking sector with strong performance indicators.
According to him, the Board and Management recognise that a lot remains to be done to achieve the desired goals and objectives.
“We will continue to apply the best strategies, good policies and prudent management of the bank’s resources to achieve sufficient and expected growth in the years ahead and commend the visionary leadership of the board and management, coupled with the loyalty of our stakeholders as well as customers, have enabled the bank to ride the storms over the past years and we resolve to do better in the years ahead,” Mr. Daning added.
Dr. Toni Aubynn, Board Chairman of ARB Apex Bank Limited, praised the bank for progressing steadily.
He assured the stakeholders that management of the bank would have a discussion with BoG on the non-payment of dividends and therefore encouraged customers of the bank to re-pay loans which have been long overdue for others to benefit as well as buy more shares.
Benjamin Chemel, Head, Finance and Administration of ARB Apex Bank Limited, urged management and staff of the bank to focus on good customer service. “Train your staff to be courteous to their customers so your business will thrive,”
“We are happy you are doing well but non-performing loans is what disturbs the bank, and advice the management of the bank to ensure that loan re-payment is always on time,” he added.
Benjamin Afful-Eshun, Chief Executive Officer of Ahantaman Rural Bank PLC, also explained to shareholders during question time on dividends that “dividends which are not paid will be part of the bank’s reserve”.