Akuapem Rural Bank holds 41st AGM

  • shareholders reassured despite negative effects of DDEP

Akuapem Rural Bank PLC at Mamfe in the Akuapem North district of Eastern Region has held its forty-first Annual General Meeting of shareholders.

Shareholders and customers of the bank have been assured that despite current unstable macroeconomic indicators as well as the negative effects and fallout from the financial clean-up exercise – including the Domestic Debt Exchange Programme, DDEP – the bank is liquid and resilient, and its operations are being carried out smoothly.

The bank’s Net Interest Income increased by 28.30% from about GH¢14.3million in 2021 to approximately GH¢18.3million in 2022. The increase is due to the growth in both loans and investments coupled with a surge in interest rate. The bank’s earning assets (Loans/Advances and Investments) increased by 14.86%, from a little over GH¢90.5million in 2021 to approximately GH¢104million in 2022.

However, the bank’s post-tax profit before other comprehensive income decreased by 27.23% from GH¢1.5million in 2021 to GH¢1.1million in 2022. This was the result of loan write-off, impairment of the bank’s investment, and write-off of assets. The bank’s paid-up capital grew by 112.32%, from about GH¢2.3million in 2021 to about GH¢4.88million.

Chairman-Board of Directors, Kwame Gyeke-Amoako, gave this assurance and more at the bank’s 41st Annual General Meeting of shareholders, held in person last Saturday at the
assembly hall of the Methodist Girls Senior High School at Mamfe in the Eastern Region.

According to him, inflation remained elevated in 2022 – driven by both demand pressures and supply shocks. The two price readings since the last MPC meeting showed a significant jump in headline inflation, to 54.1% in December 2022 from 50.3% in November and 40.4% in October 2022.

The acceleration in inflation was driven mainly by lagged effects of the sharp currency depreciation recorded in October. Food and non-food inflation went up significantly. Food inflation surged to 59.7% in December from 55.3% in November 2022, while non-food inflation rose to 49.9% from 46.5% over the same comparative period.

Developments in the banking sector were broadly reflective of current macroeconomic conditions with regard to rising cost of credit due to inflationary pressures, and revaluation-driven balance sheet performance.

As a result, the sector’s performance moderated in December 2022 compared with December 2021, with some key Financial Soundness Indicators (FSIs) recording significant declines.

Profitability levels in the banking sector declined, driven by market-to-market losses on investments, higher impairments on loans and rising operating costs. Profit-after-tax was GH¢3.9billion at the end of December 2022, representing an 18.9% contraction year-on-year compared to the 12.3% annual growth recorded in 2021.

Despite the challenging macroeconomic environment – both globally and locally – that pertained during the reviewed year, the bank pulled a very satisfactory operational performance in all financial indicators during 2021 – as indicated in the table below.

A shareholder reacting to a point in the report during the meeting

Bank’s performance for the last four (4) years

Year  Deposits Gross Loans Short Term



Before Tax



Net Worth
  GH¢’ 000 GH¢’ 000 GH¢’ 000 GH¢’ 000 GH¢’ 000 GH¢’ 000
2019 61,782.67 16,341.16 44,978.68 551.87 74,033.86 9,969.76
2020 80,538.50 20,097.00        61,149.48 662.23 94,473.25 10,248.08
2021 91,271.65 22,912.35        67,042.84 2058.08 105, 487.93 11,570.27
2022 105,085.00 27,920.72        75, 643.63 1,497.60 123,546.83 14,563.06



For the year 2022, the bank could not recommend the payment of dividend due to the directive from Bank of Ghana as a result of the impact from government’s Domestic Debt Exchange Programme. The Registrar-General issued a directive on May 9th 2023 in the Daily Graphic – in line with Section 73 and 74 of Companies Act, 2019 (Act 992) – directing all companies to transfer unclaimed dividends to the Office of the Registrar-General three months after declaration of dividends.


The bank has operationalised Ghana Pay, so customers can sit anywhere without visiting the branches and move funds to and from their accounts. The bank is now on the verge of implementing Agency banking through ARB Apex Bank PLC, to further enhance customer experience and comfort.

Corporate Social Responsibilities

The bank continues to offer assistance to communities and institutions within its catchment areas in terms of community development projects and financial support. The major economic areas that have benefitted include Education, Health, Sports, Recreation, Chieftaincy and Security.

In fulfilment of a scholarship scheme instituted in memory of the late first Board Chairperson, the bank this year awarded the best female BECE students for the 2021/2022 academic year in the Akuapem enclave – i.e. Okere, Akuapem North and South and Nsawam Adoagyire districts and municipal assemblies.

Quarterly Ratings by ARB Apex Bank

The bank was rated strong and ranked in 3rd position by the Efficiency Monitoring Unit (EMU) of the ARB Apex Bank PLC at the end of December, 2022 among 146 RCBs operating in Ghana compared to 7th position in 2021. The bank was also adjudged ‘2nd Best Rural Bank’ by the Association of Rural Banks Biennial General Meeting and Awards held at Koforidua in November 2022.

Future Outlook

The bank’s Chief Executive Officer, Kingsley Kyere, in an interview said the bank will continue to play a significant role in government’s financial inclusion agenda; and is poised to even to do more as the bank has begun to leverage Ghana Pay and solutions from Fintech to serve their customers better, as well as improving efficiency and service delivery.

According to him, the bank will continue to strengthen its Credit with Education Programme by adding other products which benefit clients. In addition, the credit needs of SMEs will be seriously pursued to improve this sector of the economy.

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