Rural banks challenged to create new products
The Managing Director of the ARB Apex Bank, Mr Kwadwo Ayeh Kusi, has challenged rural and community banks in the country to create and offer innovative products to meet the needs of their clients in their operational areas.
Advertisement
This, he explained would not only help improve the lives of the people but also create jobs and increase income of their clients as well as the banks in the midst of the current heightened competition in the banking industry.
Mr Kusi announced this in an address read on his behalf by the Brong Ahafo Regional Manager of the ARB Apex Bank, Mr Mark Osei Adjei, at the annual general meeting (AGM) of the Bosomtwe Rural Bank at Kuntanase.
He explained that there is the need for the banks to create unique products based on the needs of their clients and desist from the normal practice of staying in their comfort zones warning that the coming into operations of many other financial institutions in the country may affect their operations it they stayed inactive.
Cooperate governance
The MD urged the banks to adopt good cooperate governance practices to promote discipline in their operations and observe strict regulations and laws to avoid conflict of interest and to instil confidence in investors and shareholders.
Investment
Mr Kusi urged shareholders to buy more shares to enable the bank to meet the minimum capital requirement of the Bank of Ghana and to propel the operations of the bank to a higher height.
He reminded board members of rural and community banks to formulate policies to ensure the orderly growth and development of their banks and also to ensure compliance with the laws governing the banking industry in the country.
AGM
The Board Chairman, Mr Philip Bondah, said the bank’s net profit for the year 2014 dipped from GhC1,024,542.68 to Gh₡784,348.36; representing 23 per cent decrease in profit and attributed it to the invasion of its operational area last year by many micro finance institutions.
He said the bank’s deposits however, grew from Gh₡23,596,607 in 2013 to Gh₡27,738,513 in 2014; representing an increase of 17 per cent and commended the staff for their deposit mobilisation drive.
Mr Bondah further urged them to maintain their dedication and commitment towards their job.
