The Ga Rural Bank recorded strong performance in the 2024 financial year, posting a profit after tax of GH¢7.1 million compared with GH¢1.9 million in 2023, representing a 275.59 per cent growth.
The Bank’s total income for the year under review surged to GH¢31.6 million from GH¢24.8 million in 2023, while total assets rose significantly to GH¢173.4 million in 2024 from GH¢122.8 million in the previous year.
Total equity also increased sharply to GH¢8.4 million in 2024 from GH¢1.1 million in 2023, while Current and Savings Accounts grew from GH¢113.7 million in 2023 to GH¢154.1 million in 2024.
The Board Chairman of the Bank, Mr Fred Tetteh, who disclosed this at the 33rd Annual General Meeting (AGM) of the Bank held at Amasaman on Saturday, attributed the strong growth to prudent financial management, strategic investments and sound decision-making.
“Our growth in profit was driven by resilience, discipline and strategic planning initiatives,” Mr Tetteh said.
“We strengthened our balance sheet and deepened our customer deposits, laying a solid foundation for long-term performance. This is a commendable achievement in a challenging operating environment.”
He explained that the Bank’s capital adequacy ratio improved significantly from 1.45 per cent in 2023 to 13.54 per cent in 2024, well above the industry benchmark, reflecting the Bank’s strong capital position.
Mr Tetteh said, as a mark of confidence in the performance of the Bank, the Board was recommending the payment of dividend of GH¢0.07 pesewas per share, translating into a total of GH¢464,360.
“This is a promise we made to shareholders, and today we are fulfilling it,” he stressed.
Touching on social interventions, Mr Tetteh said the Bank invested GH¢106,836 in corporate social responsibility (CSR) projects, including donations to support education, health, security and agriculture in its operational areas.
“These interventions are part of our commitment to responsible banking with impact,” he added.
In a speech on behalf of the Managing Director of ARB Apex Bank, Mr Alex Kusi Awuah, commended Ga Rural Bank for its resilience and excellent performance.
“Deposits increased by 35.65 per cent from GH¢116.62 million in 2023 to GH¢158.20 million in 2024, while total investments grew impressively by 50.06 per cent from GH¢83.74 million in 2023 to GH¢125.65 million in 2024,” Mr Awuah noted.
“Your profit before tax of GH¢8.49 million represents a remarkable 284.92 per cent increase over the GH¢2.20 million recorded in 2023.”
He, however, expressed concern about the decline in loans and advances to customers and urged the Bank to implement corrective measures to reverse the trend.
He also advised the Bank to prioritise digital transformation, strengthen its cyber-security systems and deepen community engagement to sustain its growth.
The Chief Executive Officer of Ga Rural Bank, Mr Peter Allotey Acquaye, said the Bank would intensify its focus on microfinance to support more Small and Medium-Scale Enterprises (SMEs) and petty traders, in line with its mandate of promoting financial inclusion.
“Given that yields on government securities are falling, there is the need to reduce our reliance on them. We intend to expand our reach in Accra by opening two new branches to serve underserved communities and traders who are unable to borrow from universal banks,” Mr Acquaye said.
He further disclosed that Ga Rural Bank continued to maintain one of the lowest lending rates among rural banks in the country, to ensure that more customers could access affordable credit.
FROM KINGSLEY ASARE, AMASAMAN
The post Ga Rural Bank records GH¢7.1m profit in 2024 appeared first on Ghanaian Times.
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