That moved the Bank from a net loss of GH¢679,268.00 incurred in 2020, representing an astronomical profit before tax growth of 189.10 per cent.
Mr Kofi Agyemang, Chairman Board of Directors, announced this at the 32nd annual general meeting of Shareholders of the Bank at Nsoatre and commended the Management and staff for “working to keep the Bank above waters”.
On deposits, he said, “the effects or the locked-up funds which were impaired by Bank of Ghana against Rural and Community Banks and the COVID-19 pandemic caused a stunted growth of our total deposits”.
Notwithstanding, Mr Agyemang said, the deposits grew from GH¢30.9 million in 2020 to GH¢33.3 million in 2021, indicating a 7.7 per cent growth.
He said the Bank’s total assets grew to 10.82 per cent as it increased from GH¢33.4 million in 2020 to GH¢37.1 million in 2021.
Mr Agyemang said although COVID-19 brought in its trail an astronomical increase in non-performing loans in 2020, “the Bank had no alternative than to increase total loans advances to make more profit, which yielded good results”.
This, he indicated, raised the Bank’s advances by 12.22 per cent from GH¢10.1 million in 2020 to GH¢11.4 million in 2021.
On share capital, Mr Agyemang said the bank’s investments rose to 11.97 per cent from GH¢15.7 million in 2020 to GH¢17.05 million in 2021.
He noted, “Rural Banks were lucky the Bank of Ghana’s (BoG’s) share capital requirement remained GH¢1million by the close of 2021 and the Nsoatreman Rural Bank made an increase in its shares from GhC1.4 million in 2020 to GhC1.5 million in 2021.
Mr Agyemang said, “there is every indication that the BoG is going to increase the share capital requirement above GH¢2 million and, therefore, encouraged the shareholders to increase their shares to avoid sanctions against the Bank in future.
Mr Isaac Owusu Gyamfi, the President, Association of Rural Banks, B/A Chapter, in an interview with the Ghana News Agency, expressed worry over the non-payment of loans facilitated by staff of Rural Banks to their family members, saying it was affecting the banks’ positive performance.