Director of CAL Bank Frank Adu says one of the surest ways to mitigate impact of the fall of the cedi is for companies to restrict their transactions to the local currency.
“If your revenue is in cedis it is fair to carry out your transactions in cedis rather than dollars”
The cedi is said to have lost a little over 20 percent from the beginning of this year.
Mr. Adu spoke to JOYBUSINESS after the bank took its turn at the Ghana Stock Exchange Facts behind the Figures.
He said restricting transactions to the cedi could help lessen the impact of the cedi depreciation on businesses.
“You must match currencies. You must match assets in dollars to your liabilities in dollars and match assets in cedis to the liabilities in cedis and if your revenue is in cedis make sure your cost of operation is in cedis otherwise you have a big problem,” he said.
Latest figures from the first quarter show CAL Bank continues to post some strong financial results.
Profit after tax for instance went up by 39 percent to 41 million Ghana cedis. Net interest income has also hit 95 million Ghana cedis .
Meanwhile CAL Bank says it is expecting to sustain the good financial performance despite the challenging economic and business environment.
CAL BANK is looking forward to increase its branch network to 30 going forward, focus heavily on branchless banking.
According to the bank this is part of measures to ensure that it is among the top banks in Ghana.
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