The National Investment Bank (NIB), says it is poised to sustain and improve its sterling 2014 performance through the offering of world class banking services and products to customers.
The bank’s operating income increased by 74 per cent to GH¢315.79 million in 2014 from GH¢61.23 million in 2013.
Speaking at the bank’s annual general meeting in Accra, Togbe Afede XIV, Board Chairman of the bank said the bank’s credit impairment losses for the year reduced to GH¢16.99 million from GH¢29.92 million in 2013 as the bank intensified efforts to recover bad loans and improve on credit delivery.
The bank recorded a profit after tax for the year 2014 of GH¢79.39 million, an increase of 106 per cent over the 2013 performance of GH¢38.52 million.
The balance sheet also continued to strengthen as shareholder’s funds grew by 70.58 per cent to GH¢486.82 million as at the end of 2014 compared to GH¢285.40 million as at the end of 2013.
Similarly, total assets grew significantly by 94.93 per cent from GH¢1,189.95 million at the end of 2013 to GH¢2,319.57 million at the end of 2014.
Torgbe Afede explained that the up-swing in the bank’s balance sheet was due to the 77 per growth in deposits over the year-end 2013 position from GH¢759.23 million to GH¢1,343.81 million at year-end 2014, as well as growth in profit after tax and revaluation of landed properties.
“The directors have considered the financial performance of the bank last year vis-à-vis the conflicting desires of strengthening NIB’s balance sheet and rewarding shareholders. We therefore, propose the payment of a dividend of GH 0.5 per share in order to have a positive balance on the income surplus account in accordance with statutory requirements and best practice,” he said.
OUTLOOK FOR 2015
Torgbe Afede on the outlook for the bank this year and beyond, said the bank was expected to maintain a stronger momentum buoyed by an aggressive strategic plan put in place and revised in line with prevailing economic trends.
The strategic plan, he said, gives a clear guide that would enable the bank to forge the needed strategic partnership which would reposition it for further competitiveness and to take advantage of emerging improved business environment.
He said about 22 branches would be opened between this year and 2017, in order to bring the bank’s products and services to the doorsteps of customers.
“Our services will be delivered in an environment of state-of-the-art equipment. We expect to provide rigorous training to our staff, ensure strategic recruitment of manpower and ensure continuous image-building and enhancement,” he said.
By David Adadevoh