Akim Bosome Rural Bank increases its deposits

The Akim Bosome Rural Bank’s deposits increased from GH₵2.896 million in 2008 to GH₵3.753 million in 2009, representing an increase of 30 percent, Mr George Kumi-Brobbey, Chairman of the Board of Directors, has said.

Addressing the 21st Annual General Meeting of the bank at Akyem Swedru, he said the increase in deposits demonstrated the public’s confidence in the bank.

Mr Kumi-Brobbey said the bank continued to mobilize resources from existing and new customers and in 2009 the number of customers stood at 32,328 as against 27,321 in 2008.

Investments rose from GH₵552,584.65 in 2008 to GH₵1,997,951.54 last year, representing 262 percent.

Outstanding advances decreased from GH₵1,544,284.28 in 2008 to GH₵1,186,253.36 in 2009, resulting in a decline of 23 percent which he attributed to good loan portfolio management.

Mr Kumi-Brobbey said the bank made huge capital and recurrent expenditure on its computerization and also employed and trained 16 additional staff in the year under review.

The bank also renovated the Kwae staff bungalow, Asamankese and Akim Ofoase branches at a cost of GH₵103,248.43 from its income.

Total assets of the bank rose from GH₵3,789,618.41 in 2008 to GH₵4,856,223.26 in 2009 representing a growth of 28 percent. The bank Net worth increased from GH₵525,391.49 in 2008 to GH₵531,830.87 in 2009.

Mr Kumi-Brobbey said the bank continued to support communities, institutions and individuals in its catchment’s area.

The bank supported the Attafuah Senior High School (SHS) at Akyem Oda by providing 50 bags of cement, supported the Akyem Swedru Circuit Court by providing two sets of furniture, one table top fridge, two ceiling fans, floor carpet, wire mesh and a bundle of nylon net.

The Birim Municipal Assembly and the Birim South District Assembly and the Ghana Education Service were also given cutlasses and a set of sporting equipment during last year Farmers’ Day and inter-schools sporting festivities.

Mr Eric Osei-Bonsu, the Managing Director, ARB Apex Bank Limited, in a speech read on his behalf, said with reference to the Apex Bank Efficiency Monitoring Unit (EMU) Report for the half year 2010, the Bosome Rural Bank was ranked 43 out of 131 rural and community banks with audited profit before tax of GH₵56,012.89.

He congratulated management and staff of the bank and urged them to continue to provide quality service to their customers with the view to further expanding their deposit base.

Mr Osei-Bonsu said the bank’s stated capital of GH₵213,000.00 was inadequate and appealed to the shareholders to buy more shares.

He said due to the changing scenes on the banking terrain, coupled with competition from the commercial banks, Rural and Community Banks (RCBs) needed to have a very solid strategic alliance to enable them to stay in competitive business.

“We would therefore like to whip up the proposed merges of some rural banks as well as the criteria to be agreed upon by you so that weak ones would be strengthened through these merges”.

Source: GNA

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