Kaaseman Rural Bank raises more deposits

Page 33, Jan 9, 2009
Story: Emmanuel Adu-Gyamerah
THE Kaaseman Rural Bank in the Bia District in the Western Region mobilised a total of GH¢4.46 million in deposits for 2007, as against the GH¢4.32 million mobilised the previous year.
The bank also recorded a net profit before tax of GH¢70,361 for .00000.
2007 as against GH¢55,034.00 the previous year.
The Chairman of the Board of Directors of the bank, Mr Kwame Twumasi Ankra, made this known at the 20th annual general meeting of the shareholders at Sefwi Kaase.
He said in line with the bank’s policy of assisting its customers, it increased its loan and overdrafts portfolio from GH¢4.32 million in 2006 to GH¢4.45 million in 2007.
The total assets of the bank also increased from GH¢5.14 million to GH¢5.55 million.
However, Mr Ankra stated that the bank’s purchase of Akuafo Cheque fell from GH¢17.6 million in 2006 to GH¢12.62 million in 2007 and said it was a major challenge since majority of the bank’s agencies were located in cocoa-growing areas.
He said as part of the bank’s commitment to social responsibilities, it put up police quarters at Kaase at the cost of GH¢6,549 in addition to the contribution of GH¢550 to a number of institutions in its operational areas.
For his port, the Chief Manager of the bank, Mr David King Gbeblewu, said one of the major operational challenges facing the bank was that inability of loan beneficiaries to pay back, leading to a large provision for doubtful debts.
He thanked the board, staff, shareholders and customers and the chiefs and people in the bank’s catchment area for supporting it over the years to grow.
The Managing Director of the ARB Apex Bank Limited, Mr Eric Osei-Bonsu, announced that the new minimum capital requirement for rural banks had now been pegged at GH¢150,000.
He explained that rural and community banks with capital below GH¢150,000 would not be allowed to pay dividends or open new branches or agencies until they attained the required capitalisation.
The Solicitor of the bank, Mr Otu Essel, noted that the bank was adopting measures to retrieve loans from the bank’s defaulters.
He said the situation had made it impossible for the bank to advance more loans and called on such beneficiaries to pay their debts to enable many clients to benefit from the facility.