Amanano Bank Makes Remarkable Progress

The Amanano Rural Bank Limited at Nyinahin in the Atwima Mponua District of Ashanti Region has posted a very remarkable performance in all financial indicators for the 2010 year under review. The Bank in the 2010 year under review made very significant strides in cocoa purchases. A total of GH�9,708,078 worth of cocoa was purchased in the year 2010 cocoa season as compared to GH�3,708,778 in the year 2009. This shows an impressive percentage growth of 162%. Among the licenced buying companies the Bank dealt with were Produce Buying Company and Adwumapa Buyers Limited. The Chairman of the Board of Directors, Mr Isaac Kwasi Asante announced this at the Bank�s 24th Annual General shareholders meeting held last Saturday. According to him, the Bank registered a very satisfactory performance in all the performance indicators in spite of the major economic challenges posed by heightened local competition as well as the many negative effects on the operations of the Bank. In spite of the very keen competition among lending institutions, Amanano Rural Bank survived in the market. The global economy experienced some recovery from the economic crisis during the year under review. However, the country enjoyed economic stability mainly as a result of prudent macroeconomic management. The stable local currency, reduced inflation, and high stock exchange performance contributed to increase economic activity. The Bank of Ghana (BOG) continued its reduction in prime rate, from 18% in January 2010 to 13.5% in December 2010. As a result, however, Banks had to follow suit by reducing their lending rates even though it was at a slow pace. However, the Bank made significant gains during the period under review as a result of visionary direction provided by the Board and Management. Microfinance activities of the Bank during the year under review was encouraging, attracting a total lending portfolio of GH�1.1million disbursed to various groups in Nyinahin and its environs, Bibiani, Mbrom and Afful Nkwanta. The Bank continued to offer assistance to communities and institutions within its operational territories in terms of community development projects. A total amount of GH�13,026 was spent in this direction. Areas that benefitted include education, health, security, sports, district Farmers� Day celebrations and scholarship awards to needy but brilliant students who hail from the Bank�s operational territories. During the year under review, Amanano Rural Bank was able to chalk up some success and won prestigious awards. These included ARB Apex Bank Efficiency Monitoring Unit (EMU) Rankings for December 2010: National Ranking � 3rd Bank among 133 RCBs; Regional Ranking � 2nd among 24 RCBs With the prestigious Ghana Club 100, the Bank put up a very impressive performance - moving from the 40th to 25th position among The Well-Performing Corporate Institutions in Ghana, and no. 1 in Ashanti. The Bank was adjudged most Innovative & Customer Friendly Rural Bank in Ghana for year 2010, which was awarded by the West African Intra-communications Group, publishers of The New Ghanaian Magazine; and Best Rural Bank in Advisory Services � Bronze Award by Ashanti Financial Services Excellence Awards, organised under the auspices of the Manhyia Palace. In line with the Bank�s policy of balancing its commitment to higher returns for Shareholders whilst at the same time maintaining sufficient earnings-retention for business growth, the Board of Directors have proposed a dividend payment of GH�59,389.00 - being 15% of Net Profit After Tax at GH�0.0159 per share for the year ending December 31, 2010. This, according to the Board Chairman, was in line with the promise to pay 15% of the Bank�s realised net profit after tax each financial year as dividend to the shareholders. In his concluding remarks, the Board Chairman stated that the year 2011 promises to be very lucrative amidst a reduction in rates. With the introduction of networked and computerised banking, they hope to polish their business strategies, grow the Bank, serve customers better and improve operating efficiency in order to deliver superior shareholder value. Risk Management, he said, will be management�s hallmark; and they hope to perform better with the improvement of macro-economic indices at the national level. �We are optimistic that our strong business fundamentals and innovative approach to banking will continue to ensure that we maintain our competitive strength in the industry,� he stressed. Finally, he took the opportunity to express the Board�s gratitude to the Bank�s cherished and treasured customers -- without whom, indeed, they would not be in business. He further extended his appreciation to Management and Staff of the Bank for their support. He also thanked all other Stakeholders for their immense contribution and, finally, his colleagues on the Board for their visionary direction.