Atwima Rural Bank Records High Profits
From Ernest Best Anane, Foase-Ashanti
The Atwima Rural Bank, with its headquarters at Foase in the Atwima Kwanwoma District of the Ashanti Region, has made great strides, despite challenges encountered by the bank between 2011 and 2012, as indicated by the operational results of the said period.
The bank made a net profit of GH¢127,945.75 and GH¢141,690.74 in 2011 and 2012 respectively.
Mr. Kwabena Awuah, in his report as the Chairman of the Board, stated during the 26 th Annual General Meeting (AGM) that both years have been very difficult for the Bank and the moderate achievements should be acknowledged by the shareholders.
He said the Ownership Equity of the Bank includes the Ordinary Share Capital of GH¢262,820.77, Retained Earnings GH¢432,248.75, though the bank exceeded the capital requirement of GH¢150.000.00 for rural banks.
The Chairman urged stakeholders of the bank to mobilise more shares in order not to be taken unawares by anticipated adjustments by the Bank of Ghana to GH¢300.000.00 capital requirement.
He revealed that deposits of the bank grew from GH¢5,599,259.08 in 2010 to GH¢9,796,947.75 in 2012, resulting in an increase of GH¢4,197,688.67, which represents a growth of 42.85%, and added that it had not been easy to mobilise funds in the catchment areas with the mushrooming of micro finance institutions and other rural banks.
In spite of these challenges, Chairman Awuah said the bank had stood the test of time, as could be seen from their savings and mobilisation efforts.
According to him, advances increased slightly from GH¢3,209,038.16 in December 2011 to GH¢3,240,826.75 in December 2012, recording a net increase of GH¢31,788.59.
He noted that customers who benefit from the bank advances continue to default in paying their loans, and advised stakeholders to repay their advances as scheduled, to enable the bank make more income and avoid the provision for Bad and Doubtful debts.
Mr. Awuah also announced that the total assets increased from GH¢8,22,719.01 in 2011 to GH¢10,631,737.75, thereby recording an increase of GH¢2,209,018.74, which represents an increase of 20.89%, contributing to an increase in the bank’s assets.
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