Amenfiman Rural Bank records marginal profit before tax

Amenfiman Rural Bank Limited recorded a profit before tax of GH¢445,535 in 2010, an increase of nine per cent over a profit before tax of GH¢408,488 in 2009.

Dr Anthony Aubynn, Chairman of the Bank, made this known at 27th Annual General Meeting (AGM) of the financial entity at Wassa Akropong in the Western Region on Saturday.

He said the total income for 2010 was GH¢2,828,885 as compared to GH¢1, 85,970 in 2009 representing 51.85 per cent in income.

Dr Aubynn said deposits increased significantly from GH¢8,202.700 in 2009 to GH¢15,288,449 in 2010 due to intensive deposit mobilisation campaign embarked upon during the year while the total assets increased from GH¢10,046,216 in 2009 to GH¢18,843,435.

He said the bank has not been able to build a strong capital base over the years, adding that currently the amount stands at GH¢225,982.

Dr Aubynn said although it satisfied the Bank of Ghana base requirement of GH¢150,000 it was still not adequate for the smooth running of the bank.

He appealed to customers, shareholders and other stakeholders of the bank to buy more shares.

Dr Aubynn asked the shareholders to use their 2011 dividends to buy more shares.

In an address read on his behalf, Mr Eric Osei-Bonsu, Managing Director of Association of Rural Banks (ARB) Apex Bank Limited expressed satisfaction about the improved performance of the bank, saying there was significant increase in all the financial indicators of the corporate entity in 2010 as compared to 2009.

He said the bank should be included in the prestigious Ghana Club 100 for 2010.

Mr Osei-Bonsu said the number of Rural and Community Banks (RCBs) in the club has increased from 19 to 21 including five from the Western Region.

He asked the RCBs in the region to revamp their operations to enable them exploit the advantages in the oil sector and to continue to strengthen their internal control to ensure that operations are carried out in an orderly manner consistent with best practices in the banking industry.

Mr Boyd Donkor, Assistant Director, Banking Supervision Department of the Bank of Ghana, said the Rural Banking Industry recorded significant growth between June 2010 and June 2011.

He said as at end of June 2011, the total assets of all rural banks in the country stood at GH¢980.05 million, an increase if 44.3 per cent over the position in June 2010.

Mr Donkor said loans and overdrafts stood at GH¢391.46 while deposits amounted to GH¢764. 44 million, recording 38.7 per cent and 50.8 per cent increases respectively over the previous year.

He said it is important that the board and management of rural banks focus on good governance practices because it creates the right environment for business to thrive.

Source: GNA

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