Kintampo Rural Bank declares profit

The Kintampo Rural Bank declared a net profit of GH¢1.01 million during the 2014 financial year but marks a 13.54 per cent shortfall of the 2013 figure of GH¢ 1.17 million.

The Bank’s operating profit also decreased by 13.54 per cent from GH¢ 1.28 million in 2013 to GH¢ 1.11 million in 2014.

Dr Samuel Donyina Ameyaw, Chairman of the Board of Directors said this in a report at its 30th annual general Meeting on Saturday at Kintampo in the Brong-Ahafo Region.

Dr Ameyaw said the net worth increased by 28.42 per cent to GH¢ 4,681,100 as at December, 2014 from GH¢ 3,645,134 in 2013.

He said the Bank declared a net dividend of GH¢ 202,430.00 for the year under review, representing 25.81 per cent decrease of GH¢ 234,137.83 for 2013.

He explained the Bank’s inability to record higher net profit and dividend was among factors such as the country’s unfavourable macro-economic environment in 2014 which brought about uncertainties and challenges for most businesses and households.

Dr Ameyaw said the Bank maintained its consistent excellent performance and was adjudged the best Rural Bank in Brong-Ahafo in the Region’s category of the maiden edition of Rural/Community bank’s excellence awards 2014, organised by the Association of Rural Banks-Ghana.

It was ranked among the top 10 performing rural/community banks in the country by the Apex Bank Monitoring and Evaluation Unit as at December 31, 2014.

In a speech read on his behalf, Mr Kwadwo Aye Kusi, Managing Director of ARB Apex Bank said on the basis of rational economic thinking, higher saving interests rates are expected to lead to higher deposit balances.

Mr Kusi said for rural banks to attain high deposit mobilisation, they must rethink their interest rate policies and “review upwards the interests rates on savings to enable them raise more deposits”.

He said ARB Apex Bank exists to support the rural and community banks to realise their full potentials to contribute significantly to the socio-economic development of their catchment areas.