Nsoatreman Rural Bank declares pre-tax profit

Nsoatreman Rural Bank PLC, located in Nsoatre in the Bono Region, recorded consistent growth across all financial metrics for 2022.

Despite challenges posed by an unfavorable macroeconomic environment, such as high inflation, the bank’s total deposits reached approximately GH¢40.60 million as of December 31, 2022, marking a 21.80 percent rise from GH¢33.33 million in 2021.

The bank’s assets also saw a 25 percent increase, growing from GH¢37.11 million in 2021 to GH¢46.57 million in 2022, while loans and advances edged up slightly from GH¢11.42 million to GH¢11.55 million.

These developments were revealed by Board Chairman Kofi Agyeman during the bank’s 33rd annual general meeting in Nsoatre near Sunyani. He pointed out that the government’s Domestic Debt Exchange program had adversely affected the bank’s growth and profitability.

In 2022, the bank made short-term investments totaling GH¢22.49 million, a 31.90 percent increase from the previous year’s GH¢17.05 million. Agyeman expressed confidence in the bank’s future, anticipating strong returns for both the institution and its depositors.

The bank posted a pre-tax profit of GH¢615,405 for the year, slightly higher than the GH¢605,206 reported in 2021. According to Agyeman, this modest profit growth was due to asset impairments caused by difficult economic conditions.

Despite the profit, the bank was unable to declare a dividend for shareholders, in compliance with the Bank of Ghana’s directive on dividend payments. However, the bank’s share capital rose by 15.27 percent, from GH¢1,525,980 to GH¢1,759,000.

Agyeman expressed his gratitude to all stakeholders, including the Board, shareholders, management, and staff, for their contributions to the bank’s growth.

In an interview, CEO Agnes Grimmon-Intsiful announced that the bank plans to increase efforts to mobilize deposits from rural communities in its operational area, with the goal of supporting micro and small businesses to promote economic growth.