ARB APEX Bank to establish a banking college

Drobo(B/A), Dec. 29, GNA - The management of ARB Apex Bank is to establish a banking training college at Nsoatre in the Brong Ahafo Region to train students to acquire the requisite expertise in modern banking. Mr R.M. Addo, Head of Banking Training Programmes of the bank disclosed this at the Annual General Meeting of Drobo Community Bank at Drobo in the Jaman South District. He noted that establishment of the college would help create more employment avenues in the region to boost socio-economic development.

Mr Addo said the project was sited in the Brong Ahafo Region because of its poise and commitment to uplift the image of banking. He said the bank had established four well-equipped branches in Bolgatanga, Takoradi, Wa and Sunyani. Mr Kofi Bonsu Boakye, Vice President of Brong Ahafo Regional Chapter of Association of Rural Banks said the Government was poised to channel major financial interventions through rural banks and urged bank managers to delegate some authority to their subordinates to ensure smooth operations. Beyeeman Bosea Gyinantwi IV, Paramount Chief of Drobo Traditional Area appealed to management of the rural bank to assist cocoa farmers with loans and urged the farmers to repay loans for others to benefit. Mr Apraku Tanor, Jaman South District Chief Executive, asked banking institutions to support the impending re-denomination of the cedi.

Mr Timothy Obeng, Chairman of the Board of Directors, in his report said the bank recorded 17 per cent increase in total deposits in 2005, which amounted to 6.8 billion cedis as against 5.8 billion cedis in 2004. He said there was an increase in total assets and shareholders' fund that amounted to 9.8 billion cedis in 2005, showing a 10 per cent increase as against 1.8 billion cedis in 2004. Mr Obeng said there was a sharp decrease of 66 per cent in profit before tax, which amounted to 97.326 million cedis and attributed the decline to "unfavourable economic environment".

The Chairman of the Board of Directors said Government had earmarked 18 million dollars from the Millennium Challenge Account for the completion of the rural and community banks computerization. Mr David Asamoah, General Manager of the Bank, expressed concern about the apathetic attitude of its customers to repay loans granted to them. He said in 2005 a total of 2,629,536,000 cedis in loans was granted but as at the close of the year overdue loans and advances totalled 1,400,000,000 cedis while cocoa farmers owed 1,020,000,000 cedis. Mr Asamoah cautioned defaulters to repay the loans to avoid any embarrassing situation during the implementation of the loan recovery system programme.