The Lower Pra Rural Bank in the Western Region has inspite of the impact of the coronavirus pandemic on the economy has been able to mobilise more deposits last year.
The Chairman of the Board of Directors of the Bank, Mr Isaac Kwamina Van-Ess, who announced this at the bank’s annual general meeting held here on Tuesday said during the period under review the bank’s total deposits increased from GH¢ 96.8 million in 2019 to GH¢ 129.6 million in 2020 representing an increase of 34 per cent.
He said the advances outstanding under the lending programme in 2019 totalled GH¢56.1 million as against GH¢ 59.4 million in 2020 representing an increase of six per cent.
Mr Van-Ess expressed concern about the failure of some loan customers to service their loans fully or on time.
He said the loan ratio rose from 2.11 per cent in 2019 to 4.55 per cent last year, adding “although it is lower than the industry benchmark of 20 per cent, the bank considered it still high and therefore unacceptable and as a result a provision for bad and doubtful debts amounting to GH¢ 2,583,522.26 was made as at December 31, 2020.
He said Lower Pra Rural Bank had spent GH¢ 400,917.55 to promote community to support developmental activities in its catchment area covering education, health, community initiated projects among others as part of its corporate social responsibility.
The Board Chairman said, the bank’s scholarship scheme was being patronised adding that since its inception had served 1,005 amounting to GH¢ 2,190,500.00.
Mr Jonathan N Eshun of ARB Apex Bank observed that the bank was able to grow its total assets from GH¢109.8 million at the end of 2019 to GH¢ 143.8 in 2020.
He said his outfit encouraged the board, customers and staff of the bank to do more to help work hard to achieve the bank’s objectives.
He said in view of the difficult times being witnessed by economies globally, it was important to put in the right structures to ensure the sustainability of the operations of the bank.
Mr Eshun urged the bank to up its game as advent of mobile money provided by major telecommunications companies and financial technology firms posed a major competition for banks because of its advantages that it offered customers.
He mentioned that MoMo services were relatively cheaper; know your customer requirements were less cumbersome among others giving the customer real convenience and comfort.
FROM PETER GBAMBILA, SHAMA.
