Stephen Odoi Larbi
27 August 2008
In spite of the volatility on the global economy, as a result of price hikes of food and crude oil, the Rural Union Bank (URB) was able to record phenomenal growth last year, due to prudent and insightful measures embarked upon by the management.
As detailed out in its audited financial statements for the year ending December 31st 2007, the bank's profit after tax (PAT) gains stood at GH¢160,066, as against GH¢89,008 recorded the previous year (2006), representing an 80% growth in its operations.
Total deposits of the bank stood at GH¢2,203,735 compared with GH¢1,700,406 of the previous year, representing a 30% growth.
Loans and advances position of the bank also stood at GH¢1,679,608, far exceeding that of GH¢1,109,871, which was recorded in 2006, representing a growth rate of over 51%.
Total assets of the bank also increased from GH¢89,008, in 2006, to GH¢160,066, a 77% increase over the previous year, while investments increased from GH¢443,000 in 2006 to GH¢613,000, representing a growth of 38%.
The Chairman of the Board of Directors of the bank, Mr. Kwesi Essel-Koomson, announced this at the 6th Annual General Meeting of the bank, held at Senya Bereku in the Awutu-Senya District, over the weekend.
Mr. Essel Koomson noted that the opening of more branches in some strategic areas in the country was expected to further boost deposit levels in the coming years.
According him, his outfit on October 16th 2007 opened its branch outlet at Agona Swedru, while plans were far advanced to open a new one at the Kasoa New Market and Weija GICEL.
While appealing to existing shareholders to increase their shareholdings, he also urged all present to take an interest in the URB, and subscribe for its shares, in order to share in the future profitability of the bank.
The URB, he said, was the first rural bank to meet the new stated shared capital of GH¢150,000, required of all rural banks in the country.
Mr. Essel Koomson reported that his outfit, as part of its social responsibility, set up the Union Jubilee Scholarship Fund with an amount of GH¢5,000, to assist brilliant but needy students in the bank's catchments areas.
According to him, more than 50 individuals had benefited from the Fund.
The Chairman averred that his outfit would soon introduce Mobile Banking, to bring banking services closer to the doorsteps of its clientele, to increase the deposit base of the bank.
The Managing Director of the ARB Apex Bank Limited, Mr. Eric Osei-Bonsu, in his address, congratulated the shareholders, Board, Management and Staff of the URB, for its remarkable achievements over the years, in particular, for being the first rural bank to be fully computerised and networked.
He cautioned the board, management and staff of the bank, not to be complacent and rest on their oars, but rather to continue working harder to move the bank to greater heights.
He advised all rural banks to have an Internal Audit Unit, as part of management structure, to help oversee the implementation of the banks' systems and controls.
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