This was after shareholders of the Gomoa Ajumako Rural Bank limited at Gomoa Afransi, Gomoa Rural Bank Limited at Apam and Eastern Gomoa Assin Rural Bank at Gomoa Dominase, have voted favourably for the resolution.
Mrs Rose Newman, Board Chairman of Gomoa Ajumako Rural Bank made this known at the 22nd Annual General Meeting of the bank at Gomoa Afransi on Saturday.
She said the merger was in line with the directive by the Bank of Ghana (BOG) to community and rural banks whose stated capital does not reach GH¢150,000, to merge with others to avoid liquidation.
She said with the current status of a community bank, the three now had to raise additional capital of up to GH¢10 million to qualify in line with the capitalization requirement.
She said the board of directors after careful consideration of recommendations by a special consultant, resolved and accepted the proposal to enable the bank continue to carry its financial services to customers.
Mrs Newman said in term of profit sharing in future, the Gomoa Ajumako Rural bank held 30 per cent, Gomoa Rural bank, 45 per cent and Eastern Gomoa Assin rural bank, 25 per cent.
She said the new Community bank would commence business in mid November, 2012 with its headquarters sited at Apam Junction.
Mrs Newman said despite the merger all staff would be maintained and encouraged them to work hard to improve productivity.
The Gomoa Ajumako rural bank granted loans and advances to the tune of GH¢532,442 in 2010 and GH¢700,088 in 2011.
The bank’s total deposit also increased from GH¢1,400,631 in 2010 to GH¢2,041,066 in 2011, an increase of 46 per cent.
Mrs Eunice Osei-Bonsu, Manager, Research and Marketing of ARB Apex bank in speech read for the Managing Director of Apex Bank, Mr Duke Osam-Duodu said the bank had developed a new product to help rural banks clear cheques one day instead of the current three days.
Mr Kweku Acquaah, President of Central Regional Chapter of Association of Rural banks, urged shareholders to take advantage of the merger to purchase more shares.