Apex Bank introduces branchless banking

ARB Apex Bank says it has begun work to introduce branchless banking to help Rural and Community Banks (RCBs) to improve service delivery to customers.

Senior Manager in-charge of Internal Controls, Newton Solomon Mati, said this at the 30th anniversary celebration and 26th Annual General Meeting (AGM) of Amanano Rural Bank at Nyinahin on Friday.

The branchless banking drive, he said, is expected to boost financial services to the rural people and grow shareholders’ value. In his view, modern banking has become competitive and risky, adding that owing to technological development, it would be prudent for management of Amanano Rural Bank to adopt ICT to deal with risks and new challenges.

Isaac Kwasi Asante, Chairman of the bank’s Board of Directors, said Amanano Rural Bank recorded a 15.4 percent growth in total assets during the year under review from GH¢14,123,068 in 2011 to GH¢16,297,784 in 2012. Total deposits of the bank increased by 16.07 percent from GH¢9,826,415 to GH¢11,405,103 during the year.

Also, stated capital of the bank grew by 43.51 percent in the year 2012 from GH¢596,219 in 2011 to GH¢855,649 in 2012. The bank’s investment in Government Treasury bills, premium interest account and fixed deposit however fell from GH¢4,833,919 to GH¢3,524,959, representing 27.08 percent decline during the year, while loans and advances portfolio saw a phenomenal growth.

Mr. Asante stated that the bank also increased microfinance lending within the last five years from GH¢659,375 in 2008 to GH¢1,670,050. “There was an increase of 64.2 percent in cocoa purchase during the review year,” he noted, and added that a total of GH¢10,410,409 worth of cocoa were purchased in 2012 season as compared to GH¢6,340,178 in 2011.

In all, the net profit of the bank grew to GH¢711,871 in 2012 as against GH¢569,972 realized in 2011, the board chairman stated, asserting that it recorded a growth of 24.9 percent over the previous year’s performance.