Anum Rural Bank records growth

The Anum Rural Bank made a net profit of GH¢1,005,289.00 in 2013 as against GH¢692,398.00 in 2012. Mr Theodore Kwame Gyau, Chairman of the Board of Directors of the Bank said this at the 31st Annual General Meeting (AGM) of the bank at Anum.

The bank's net interest income grew by 43 per cent from GH¢2,259,582.00 in 2012 to GH¢3, 245,527.00 in 2013 while commission and fees appreciated from GH¢798,929.00 in 2012 to GH¢936,517 in 2013.

Mr Gyau said, the bank's operating income grew by 38.7 per cent from GH¢3,009, 962.00 in 2012 to GH¢4, 298,871.00 in 2013. The bank declared a dividend of 0.60 Ghana pesewas per a share in 2013 and increased its total assets from GH¢14, 960,000.00 in 2012 to GH¢17,000,000.00 in 2013 representing an increase of 13.6 percent.

The board chairman mentioned that the bank's inability to mobilize enough deposits during the year, negatively affected the rate of growth in credit approval and disbursement.

In a speech delivered on his behalf, Mr Kwadwo Aye-Kusi, Managing Director of APEX Bank, commended shareholders of the bank for their sterling performance and enormous contribution which had seen the bank growing from strength to strength. He rated the bank's performance as "satisfactory," and urged the board and management to continue to put in more efforts.

Mr Aye-Kusi commended the bank for operating in parts of the Volta Region such as Peki, Dzemeni and Juapong areas, though located in the Eastern Region. He said banking business had become very competitive and risky and in order to reduce some of the risks, there was the need for effective risk management to be put in place.

The Eastern Regional President of the Association of Rural Banks, Reverend Divine Nartey, appealed to loan defaulters to pay back to enable other customers to benefit from the facility.

He alerted rural banks to the threat from the influx of the orthodox banks "who are establishing agencies and mobilization centres in the rural areas designated for the rural banks.” He, therefore, advised the rural banks to find ways and means of increasing their profit margin to be able to stay in business.