BESSFA Rural Bank has been a cornerstone of financial services within the communities it operates for the past 40 years. Established in November 1983, the bank dedicated itself to improving the financial well-being of its clientele through accessible banking solutions and exceptional customer service.
Board and management
The bank operates under the stewardship of a six-member Board of Directors chaired by Cletus Azaabi, with Edward Ndezuri Ndebugri as his Vice Chairman. The remaining members of the Board are Hajia Ophelia Laadi Amadu, Joseph Ayaabilla, Samuel Bigol and Wilson Anabah.
Alhaji Hayatudeen Awudu Ibrahim leads the Management Team as the Chief Executive Officer (CEO), supported by the following colleagues:
- Edwin Adiigi Finance & Strategic Planning Manager
- Janet Akpenka Azumag Operations Manager
- Candida Zephor Yanam Admin & Human Resource Manager
- Ibrahim Adams Credit Manager
- Jacob Ayaab Asaman Internal Auditor
- Simon Anane Ayumah Risk & Compliance Manager
- Michael Anab-Larley W. IT Manager
40th anniversary celebration
It has been 40 successful years since the founding members took the bold decision to establish the bank. From a humble beginning, the bank has been able to weather the storm to remain resilient and strong despite the challenges that the banking sector endured over the years.
The journey for the past 40 years has been one of growth, innovation and transformation. The bank evolved and adapted to changing times, embraced new technologies and expanded its services to meet the ever-growing needs of clients and the communities we serve.
The bank celebrated its 40 years under the theme ‘Four Decades of Trusted Partnership, Growing Communities and Building Brighter Future through Financial Inclusion’. Several activities were carried out, including quiz competition among schools, health screening, games, donations, among other exciting activities.
Support to farmers and women
The bank continues to remain focused on its mandate of providing support to farmers, agribusinesses and microfinance groups, especially the women-led businesses in the catchment area.
As at the end of October 2024, the bank’s financing reached a total of 23,372 made up of 9,675 males (41.40 percent) and 13,697 females (58.6 percent). A total amount of GH₵13.5million representing 31.5 percent of the bank’s loan book was channelled into the agribusiness sector, with 85 percent of the funds going to the smallholder farmers.
The significant contribution of the bank to women empowerment in this area was recognised by various external parties; and as a result, in 2023, the bank was adjudged the Best Bank nationwide for supporting the highest number of women-led agribusinesses by the USAID-Ghana Mobilising Finance in Agriculture (USAID-MFA).
BESSFA, in 2024, reduced its interest rates charged on loans to women farmers from 30 percent to 25 percent per annum i.e. 300 basis points lower than the rate of 28 percent paid by their male counterparts this year.
The bank has also secured a concessionary loan facility from the Ministry of Finance and Social Investment Fund (SIF) through the ARB Apex Bank under the Post COVID-19 Development and Productivity Project (PSDPEP) for the bank’s farmers. ‘
So far, a total of 636 farmers made up of 204 males and 432 females have benefitted from the first tranche of GH₵1.5million for a period of 24 months at an interest rate of 12 percent per annum. The second tranche of GH₵3.5million is expected to be released for onward disbursement to the farmers before the end of this year.
Through the bank’s support, the youth and women within its catchment area have taken agriculture as a business and have since moved from subsistence to commercial agriculture.
The bank is close to the farmers; we understand their needs and we support them to access improved seeds and other agro-inputs, build their capacity on good agronomic practices and also support them to access market for their produce after harvest. By this approach, the bank is active in the sector all-year round, thereby contributing significantly to the food basket of the country.
Financial results as at October 2024
The performance of the bank based on the key balance sheet indicators are as summarised as follows:
| S/No | Performance Indicator | 2022
(GH₵) |
2023
(GH₵)
|
Oct., 2024
(GH₵) |
% Change Oct.,2024/
2023
|
| 1. | Total Asset | 60,657,023
|
82,347,338
|
139,849,307
|
69.82 |
| 2. | Total Advances (Net) | 27,169,017 | 35,425,104 | 41,219,647 | 16.35
|
| 3. | Investments | 23,315,386 | 33,195,386 | 58,315,386 | 75.67 |
| 4. | Cash & Cash Equivalents | 7,661,710 | 9,335,925 | 30,877,425 | 230.73 |
| 5. | Total Deposits | 63,041,537
|
79,696,788
|
132,467,673
|
66.21 |
| 6. | Profit before Tax (PBT) | 911,807 | 2,392,473 | 4,221,282 | 76.44
|
| 7. | Paid Up Capital | 2,005,815
|
2,367,765
|
2,740,295
|
15.73 |
| 8. | Net Worth | (8,909,821) | (6,155,398) | (2,437,546) | 60.39
|
The bank grew its balance sheet size from GH₵82.34million in 2023 to GH₵139.85million at the end of October 2024. This translates to a GH₵57.5million (69.82 percent) increase which was driven by a significant growth; i.e. 230.73 percent in cash and cash equivalents.
The bank’s investments also rose by 75.67 percent to GH₵58.32million while loans and advances to customers went up by 16.35 percent to GH₵41.22million. On profitability, the bank recorded a profit before tax of GH₵4.22million, an appreciable 76.44 percent rise over the GH₵2.39million reported the previous year.
Corporate social responsibilities
In commemoration of the bank’s 40th Anniversary, the following major CSR activities have been completed at a total cost of over GH₵600,000.
- Refurbishment and donation of a complete set of theatre equipment to the Garu Presbyterian Health Centre
- Construction of a six-seater KVIP toilet facility with two urinals for the Garu Community Day Senior High School in Garu
- Donation of 100 bags of cement and roofing sheets to the Gbewaa College of Education to fix some of the school’s buildings that were ripped off by windstorm
- Construction of a mechanszed borehole facility for the Ghana National Fire Service – Pusiga District
- Construction of a fully fitted hand pump borehole facility for the Kpemale Community in Nakpanduri
- Completion of a three-unit classroom block at Tankpasi in the Kugri Electoral Area of the Garu District
- Refurbishment of the Science Laboratory Block and donation of complete set of Laboratory Equipment to the Tempane Senior High School
- Renovation of facility for the Ghana National Fire Service in Nakpanduri
These CSR activities reinforce the bank’s unwavering commitment to serving its community and making positive impact in the society.
Awards
The bank received many awards over the years in recognition of its outstanding performance and excellent service delivery. This year, the bank took the ‘Outstanding Customer Service Award’ at the Ghana Accounting and Finance Awards Night. The CEO, Alhaji Hayatudeen Awudu Ibrahim, beat other contestants and got crowned as the Rural Bank CEO of the Year at the same event.
Future outlook
The future outlook of the BESSFA is bright, owing to the growing customer confidence and loyalty arising out of quality services.
The Board and Management have strengthened its corporate governance structures by building capacities, employing high ethical standards and behaviours and being agile in responding to the threats and opportunities within the bank’s operational areas.
Significant investments have been made in technology to provide improved services and the much-needed solutions to meet the needs and aspirations of the esteemed customers of the bank.
The bank is in its third of year implementing its five-year Strategic Plan (2022 – 2026) and a review of the plan revealed that significant strides have been made across all the planned areas; hence, the bank is fast moving toward meeting its ambitious target of being among the top five RCBs by the end of 2026.
