Fomena (Ash), Aug 01, GNA- The Adansi Rural Bank at Fomena in the Adansi North District made a profit of 1.4 billion cedis before tax in 2004 as against 1.2 billion cedis raked in the previous year. Mr A.K. Boakye, the Chairman of the Board of Directors of the bank who said this at the 15th annual general meeting of shareholders at Fomena on Saturday, said the profit represented 11 per cent growth over that of the previous year.
He said in line with the bank's objective to promote rapid development in its operational area, a total of 6.1 billion cedis had been granted as loans and advances to customers. Mr Boakye expressed concern about the low rate of repayment of the loans and warned that the financial institution would "use all available means to recover overdue loans and advances". He said a total of 1.297 billion cedis were distributed to 222 groups with 832.660 million cedis going to women groups under the bank's micro financing scheme.
Mr Boakye said the government, during the year, channelled a total of 722.782 million cedis through the bank for 'on lending' to beneficiaries as part of its poverty reduction strategy. He said the bank's share capital was 204,011,788 cedis, representing an increase of 33 per cent over that of the previous. Mr Boakye said: "However, it falls below the new minimum limit of 500 million cedis for rural banks and therefore it is our goal to achieve the minimum limit by December 2006".
Mr Charles Pinkrah, the Managing Director of ARB Apex Bank, commended the Adansi Rural Bank for releasing 33.5 million cedis to support various activities in its catchments area. He said in a speech read for him: "I have noted with delight that you are involved in various micro-finance activities which is about the surest way of improving upon the living standards of the people in the rural areas ".
Mr Pinkrah also commended the bank for having been made a member of the prestigious Ghana Club 100 in 2004."This is by no means a great achievement, which you should be proud of".
He said the computerisation of four rural banks in the Ashanti Region had been completed and that the bank was being resourced to enable it to send software to all rural banks in the next few years. Mr Kwabena Ameyaw, the Adansi North District Chief Executive, said he would explore the possibility of getting the three assemblies in Adansi to purchase shares and also open accounts with the bank.