Drobo Community Bank grows deposit base

Page 22, Jan 1, 2008
Story: Emmanuel Adu-Gyamerah
THE Drobo Community Bank in the Jaman South District of the Brong Ahafo Region has stepped up its deposit mobilisation efforts, resulting in a growth from GH¢683,700 (¢6.837 billion) in 2005 to GH¢858,100 (¢8.581 billion) last year.
The Chairman of the Board of Directors of the bank, Mr T. K. Obeng ,said in an annual report at the annual general meeting of the bank, that the bank, however, recorded a net loss of GH¢58,480 (¢584.8 million) as compared to the net profit of GH¢9,730 (¢97.3 million) in 2005.
He attributed the loss to a large provision for bad and doubtful debts of GH¢70,000 (¢700 million), but gave the assurance that vigorous efforts would be made to recover all outstanding loans.
Mr Obeng said the short-term investment portfolio of the bank increased from GH¢110,000 (¢1.1 billion) in 2005 to GH¢240,000 (¢2.4 billion) in 2006, while total assets grew from GH¢990,000 (¢9.9 billion) to GH¢1.19 million (¢11.9 billion) in the year under review.
In an address read on his behalf, the Managing Director of ARB Apex Bank, Mr Emmanuel K. Kwapong, said that the government, through the central bank, would introduce a new payment system April 2008 to facilitate electronic payments.
He said the electronic biometric card system would mark the beginning of the increased use of money on electronic cards.
He stated that the ARB Apex Bank would organise traning courses for all rural banks officials to ensure their full participation in the new system.
“What is important, particularly to all rural banks is that civil servants salaries will now be paid through the new system whereby salaries would be electronically loaded,” he said.
Mr Kwapong cautioned rural banks against delaying since that would mean the taking over of their customers by the bigger banks.
Mr Kwapong stated that a new code of conduct had also been developed for the staff of the ARB Apex Bank and rural banks and directors to enable them to adhere to the ethics of banking.
He advised that since the banking sector was undergoing dynamic and massive transformation, it required all banks to brace themselves for the changes underway.
“We must understand that the world is now a global village on account of technology and, therefore, we need to keep pace with the emerging change or else we will not survive”, Mr Kwapong stated.