Amenfiman Rural Bank gives shareholders 35% return on investment

The Amenfiman Rural Bank PLC at Wasa Akropong in the Western North Region has posted a remarkable operational performance in the 2023 financial year, recording pre-tax profit of GH¢24 million.

This is up from the GH¢10.70 million posted in the previous year.

The of 127 per cent growth in pre-tax profit has been attributed to the board’s commitment to deliver value to shareholders.

At the 40th annual general meeting at its base at Akropong in the Wasa Amenfi East District, the board, Chaired by Dr Toni Aubynn, proposed a dividend of GH¢0.07 per share for 2023 financial year, representing a return of 35 per cent on the current share value. 

In his report, he stated that Amenfiman Rural Bank also posted 13.6 per cent Return on Equity for 2023, up from 13.3 per cent the previous year, underscoring its utilisation of shareholder equity to drive substantial profit growth. 

“The bank’s profit margin experienced a robust and encouraging increase, propelled by the board and management strategic emphasis on meticulous cost management and a 
deliberate shift towards high-margin products,” Dr Aubynn told the shareholders. 

He explained that while the average return on equity for the Ghanaian banking sector hovered around 15 per cent for the period under review, Amenfiman Rural Bank achieved a remarkable return on equity of 23.03 per cent, far surpassing its 2022 performance of 15.23 per cent. 

“This impressive figure reflects not only the growth in both shareholder funds and profit before tax but also highlights the bank’s exceptional ability to enhance these financial metrics”. 

Other Trending Stories

Over 90% of Eurobond investors back Ghana’s debt restructuring plan

Ghana's inflation rises in September after five-month decline

Brazil fines Musk's X for site's return after ban

Q2 GDP: Ghana’s economy grows at fastest pace in five years

Ghana loses 160,000 tonnes of cocoa to smuggling in 2023/24 season

“The board’s strategic focus and operational excellence have allowed it to significantly outperform industry averages, demonstrating the bank’s commitment to deliver outstanding value to its stakeholders,” Dr Aubynn added.

Deposit

The bank’s deposits grew by 37.97 per cent during the year under review to GH¢768 million, from GH¢557 million in 2022.

Total asset also grew by 38 per cent from GH¢637 million in 2022 to GH¢876 million in 2023 on the back of deposits performance.

The capital base also saw enlargement with stated capital rising from GH¢9.67 million to GH¢10.5 million in 2023, representing 8.60 per cent.

 
Corporate Social Responsibility 

Last year, Amenfiman Rural Bank spent GH¢342,683 spent on corporate social responsibilities, in line with its strategy and social development agenda.

The chunk of the spending went to education where GH¢183,450 was spent on bursaries, the Amenfi University project and renovation of basic schools within the bank’s operational territories.

Awards

The Chief Executive Officer (CEO) of bank, Dr Alex Asmah, received the Steller Performance CEO’s award in 2023 for his contribution to driving the financial inclusion agenda of the country. 

He also received an award from Corporate Ghana CEO Trade and Industry Award as the most outstanding CEO within the Rural Banking industry which highlights his role in driving innovation and transformation within the bank.