Upper Amenfi Rural Bank’s 2024 pre-tax profit surges 153% to GH¢25.6m

By Kizito CUDJOE

Upper Amenfi Rural Bank has reported a profit before tax of GH¢25.65 million for the 2024 financial year, representing a 153.35 percent increase from the previous year.

The growth was driven by strong performance in assets and deposits, as well as effective cost control, the bank said in its 2024 annual financial statement.

Total assets rose by 78.38 percent to GH¢669.75 million, up from GH¢373.18 million in 2023. Customer deposits also grew by 78.39 percent, increasing from GH¢344.60 million to GH¢614.68 million. This positions Upper Amenfi Rural as the 4th largest rural bank in Ghana in terms of deposit mobilisation.

The bank also reported a capital adequacy ratio of 27.50 percent, significantly above the Bank of Ghana’s (BoG) regulatory minimum benchmark of 10 percent, indicating a high solvency position. This shows that the bank can absorb any shocks that might arise from both internal and environment.

At the bank’s 35th Annual General Meeting (AGM), Board Chairman, Anthony Mensah, said the results reflect disciplined financial oversight amid macroeconomic challenges. “Profitability was sustained despite economic pressures, reflecting cost efficiency and sound governance,” he said.

The bank’s performance came during a year that presented both opportunities and headwinds for Ghana’s economy. The country recorded GDP growth of 5.7 percent in 2024, supported by gains in agriculture, mining, and digital innovation.

However, persistent inflation, currency fluctuations, and ongoing fiscal consolidation measures continued to pressure businesses and households.

Mr. Mensah noted that policy reforms supported by the International Monetary Fund (IMF) provided some relief to the financial sector, but rural and community banks still had to navigate a tight operating environment.

“Digital banking continued to evolve, with fintech partnerships and mobile money transactions increasing rapidly,” he said. “Rural and community banks remained central to financial inclusion, reaching underserved populations.”

Despite rising competition in the sector, he added that the bank remained committed to delivering value to customers and shareholders.

Outlook

Headquartered in Ankwawso in the Amenfi Central District of the Western region, the bank plans to continue investing in digital infrastructure and inclusive financial services to sustain growth momentum.

Mr. Mensah said the board is committed to growing the bank to be among the top five Rural and Community Banks (RCBs) in the country.

“Agency banking has become a cornerstone of our strategy to extend financial services to underserved and unbanked populations. By leveraging a network of trusted agents in small communities, we have brought banking closer to the people, eliminating the barriers of distance, cost, and accessibility.”

In line with this, he said areas to cover include Wassa Dominase Nkwanta, Denkyira Nkotumso, Wassa Ankasie, Sefwi Debiso, Wassa Pewuako, and Wassa Gyedua Ketewa.

At Upper Amenfi Rural Bank, we recognise that the future of banking lies in seamless, secure, and accessible digital solutions that empower our customers any me, anywhere, at their convenience. We have activated our digital platforms such as USSD, GhanaPay, Ezwich, AIP, NRT, etc.

“These digital platforms offer convenience for customers to perform financial transactions reliably.”

Dividend

In recognition of the bank’s performance, the board proposed a dividend payout of GH¢0.10 per share. The recommendation, approved by BoG, was presented to shareholders for final approval.

“This reflects our commitment to rewarding shareholders while reinvesting in innovation and expansion,” Mr. Mensah said.

Recognition

During the financial year under review, the bank was named First Runner-up in Deposit Mobilisation among rural banks in Ghana by the Association of Rural Banks.

The board chair attributed the recognition to staff dedication and customer loyalty. “These accolades motivate us to aim higher,” he said.

Corporate Social Responsibility (CSR)

Mr. Mensah also reiterated the bank’s commitment to community development through its CSR initiatives, investing a total of GH¢665,445 during the 2024 financial year.

“We supported education through scholarships, funded health programmes, and invested in local infrastructure. These actions reflect our mission to promote sustainable growth in the communities we serve,” he said.

Key Financial Performance Indicators	2024	2023	Change %
Total Income	GH¢   96,844,654.00	GH¢    55,234,039.00	75.34%
Total Deposit	GH¢ 614,680,797.00	GH¢ 344,603,811.00	78.38%
Total Investment	GH¢ 535,000,000.00	GH¢ 233,547,954.00	129.08%
Loans and Advances	GH¢    76,935,715.00	GH¢   69,952,544.00	9.99%
Shareholders’ Funds	GH¢    31,095,424.00	GH¢    12,749,027.00	143.91%
Paid-up Capital	GH¢       3,868,451.00	GH¢       3,668,700.00	5.45%
Profit Before Tax	GH¢    25,649,892.00	GH¢    10,124,197.00	153.35%
Total Assets	GH¢ 669,748,083.00	GH¢ 373,178,710.00	79.48%
Capital Adequacy Ratio	27.50%	10.64%	158.46%

 

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