GCB Bank records GH¢1.38b deposits in 2018

GCB Bank Limited in 2018 recorded an increase of GH¢1.38 billion in total deposits from GH¢6.92 billion in 2017 to GH¢8.30 billion, representing a 19.6 per cent growth in 2018.

The record makes GCB the leading bank in the country with regard to deposits and asset size.

A statement from the bank to the Ghana News Agency said the figures were announced at the 25th Annual General Meeting organised by the bank to consider and adopt the financial statement of the company for the year 2018, in Accra.

The Chairman of the Board of Directors of the GCB Bank, Mr. Jude Kofi Arthur, announced other significant gains the Bank made in the year under review, the statement said.

“Due to the strong financial performance backed by the disciplined execution of the Bank’s strategy, the profit before tax increased by 35.6 per cent to GH¢ 450.17 million in 2018 from GH¢331.98 million in 2017,” he said.

According to the statement, the impressive profit performance, which was driven by solid revenue growth, had resulted in an increased dividend.
The statement quoted Mr Arthur as saying: “Accordingly, we propose a dividend of 30 pesewas per share amounting to GH¢79.50 million for the 2018 fiscal year.

“The increase in the dividend was attributed to the growth in the Bank’s basic earnings per share, which grew from 0.89 pesewas in 2017 to GH¢1.23 in 2018, representing a growth of 38 per cent,”

The amount, which is payable by June 17 to all shareholders registered with the Bank,  represents a 200 per cent increase over the 2017 dividend, which was 10 pesewas per share.

It noted that as at December 2018, GCB Bank also recorded a total asset base of GH¢10.72 billion, which is a growth of 11.4 per cent compared to GH¢9.63 billion in 2017 and 9.30 billion for total liabilities.

Expressing optimism about the future performance of the Bank, Mr Arthur disclosed plans to introduce a mobile wallet as part of strategies on transformation through digitization to accelerate growth through the provision of first class banking solutions for its customers, the statement said.

On the challenges the bank faced last year, the chairman mentioned the high cost of operations as a major challenge to the Bank as it posted a cost-to-income ratio of 60.5 per cent, which was well above the industry average of 53.5 per cent.

“Adequate measures have been put in place to ensure that our cost-to-income ratio falls below the industry average,” he said.

Shareholders of the Bank, according to the statement, commended the Bank for demonstrating effective leadership in the banking sector and improving its performance in the year under review.

Mr. Joseph Allotey, a shareholder of the Bank, commended the board for spurring the Bank’s success in spite of the difficulties the Banking sector faced last year.

“I want us all to clap for the Board for leading the Bank to make such great profit last year. Times were hard because of the Banking crisis but GCB has come out strong. We are grateful to all the staff for working hard,” he said.

The appointments of some Directors of the Board namely, Alhaji Alhassan Adam Yakubu and Mr Prince Edward A. Young were ratified while other Directors – Mr Nik Amarteifio, Mr. Emmanuel Ray Ankrah and Nana Ama Ayensua Saara III, Queen Mother of Denkyira were re-elected, the statement said.

It noted that in 2018 alone, the bank supported the country in the areas of health, education, environment and sanitation with a focus on its operational communities through several Corporate Social Responsibility activities with about GH¢5.62 million.

Source: GNA

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