Business News of Wednesday, 16 January 2013

Source: Daily Guide

ADB’s Listing Unclear

Though management of Agricultural Development Bank (ADB) remains resolute in its plans to list on the Ghana Stock Exchange (GSE) this year, it is not known what Government’s intentions are since it is the largest shareholder.

Information gathered by CITY & BUSINESS GUIDE indicates that the unanimous decision to list on the Accra Bourse by the board and management of the prestigious bank was taken during the previous Mills administration.

But now that there has been a change in leadership, it is unclear whether the new crop of political leaders would be willing to lend support to the listing process, which is billed to rake in more capital to the long serving bank in the country and expand its frontiers.

It is true that the National Democratic Congress (NDC)-led administration is still in control but positions are changing hands following the general elections for which reason it has become a bit unpredictable.

The uncertainty covering ADB’s situation can only delay the bank’s plans to end state ownership and become a private entity.

The bank wanted to go public before the general elections last year but the activity was delayed because management was a bit apprehensive of a power transfer after the elections, Yvonne Quansah, Acting Director of the Financial Services Division at the Finance Ministry, announced last year.

Whichever party takes power after December will continue to oversee the transition, she said.

The ADB is currently 52 percent owned by the government and 48 percent owned by the Financial Investment Trust on behalf of the Bank of Ghana.

Agricultural Development Bank (ADB) handed over the first prize award of a fully furnished 3-bedroom house to the government as the first prize award to the 2010 National Best Farmer.

ADB won the 2012 Agricultural Development Bank of the Year category after emerging tops in a competition, which included Agriculture Finance Corporation, Kenya; Land Bank, South Africa; Principal Bank for Development and Agricultural Credit (PBDAC), Egypt; Agribank of Zimbabwe, Development Bank of Mauritius, National Bank of Malawi and PTA Bank.