Audio By Carbonatix
Shareholders of Atwima Kwanwoma Rural Bank will earn dividend of ten pesewas per share, one pesewa more than last year, despite a 14 per cent slump in profits.
The bank’s profit after tax went down from 6, 942, 000 in 2016 to 5, 946 000 in 2017 on the back of 11 profit before tax drop over the same period.
But despite the slump, the bank is dispensing a whooping 1 million Ghana cedis as dividends to its shareholders.
Officials blame the drop in profit on increase in Corporate Tax from 8 to 25 per cent and dwindling investment rates.
Board Chairman , Patrick Owusu tells Nhyira FM the bank has had to pay dearly for the increased taxes.
" It is as a result of the increase in Corporate Tax which hitherto we were paying 8 % but it has increased to 25 per cent so obviously from 8% to 25 %, it will hit your bottom line.
The other thing is, investment rate has gone down generally and Atwima Kwanwoma Rural Bank we have a lot of investments in other financial institutions and with a drop in investments, definitely, our profit before tax also saw a drop."
Atwima Kwanwoma Rural Bank, a member of Ghana's Club 100 has already exceeded the Bank of Ghana's minimum capital rate of 1 million Ghana cedis.
The bank's current capital of 3.2 million Ghana cedis means it exceeded minimum capital requirement by over 200 per cent.
Mr. Owusu says the bank is working tirelessly to strengthen liquidity to make it solvent against possible external shocks.
"Now we are not placing much emphasis on profit but on liquidity . We want to strengthen our liquidity base so that as a bank, we are very solvent so that we can meet the demands of our customers."
The period under review however saw the bank's deposits appreciate by 20 per cent from about 73 million Ghana cedis in 2015 to 87 million Ghana cedis in 2016.
Investment also grew by 25 per cent .
The bank spent a 74 thousand Ghana cedis on corporate social responsibility, most of it going into education, health and security, targeting the bank's catchment area.
Shareholders of Atwima Kwanwoma Rural Bank will earn dividend of ten pesewas per share, one pesewa more than last year, despite a 14 per cent slump in profits.
The bank’s profit after tax went down from 6, 942, 000 in 2016 to 5, 946 000 in 2017 on the back of 11 profit before tax drop over the same period.
But despite the slump, the bank is dispensing a whooping 1 million Ghana cedis as dividends to its shareholders.
Officials blame the drop in profit on increase in Corporate Tax from 8 to 25 per cent and dwindling investment rates.
Board Chairman , Patrick Owusu tells Nhyira FM the bank has had to pay dearly for the increased taxes.
" It is as a result of the increase in Corporate Tax which hitherto we were paying 8 % but it has increased to 25 per cent so obviously from 8% to 25 %, it will hit your bottom line.
The other thing is, investment rate has gone down generally and Atwima Kwanwoma Rural Bank we have a lot of investments in other financial institutions and with a drop in investments, definitely, our profit before tax also saw a drop."
Atwima Kwanwoma Rural Bank, a member of Ghana's Club 100 has already exceeded the Bank of Ghana's minimum capital rate of 1 million Ghana cedis.
The bank's current capital of 3.2 million Ghana cedis means it exceeded minimum capital requirement by over 200 per cent.
Mr. Owusu says the bank is working tirelessly to strengthen liquidity to make it solvent against possible external shocks.
"Now we are not placing much emphasis on profit but on liquidity . We want to strengthen our liquidity base so that as a bank, we are very solvent so that we can meet the demands of our customers."
The period under review however saw the bank's deposits appreciate by 20 per cent from about 73 million Ghana cedis in 2015 to 87 million Ghana cedis in 2016.
Investment also grew by 25 per cent .
The bank spent a 74 thousand Ghana cedis on corporate social responsibility, most of it going into education, health and security, targeting the bank's catchment area.
Latest Stories
-
Nigeria clinches $10,000 grand prize as 4th ECOWAS Regional Cybersecurity Hackathon 2026 ends in Accra
1 hour -
AGI partners Danish industries to advance value chain sustainabilityÂ
2 hours -
Missing UCC student found dead as police launch investigations
2 hours -
Aflao border plunged into darkness, exposing travellers to attacks – Union Secretary
2 hours -
ECOWAS unites on minerals, industrialisation to power AfCFTA
2 hours -
Oti House of Chiefs to unveil 7-member committee on Nkwanta South conflict
2 hours -
Be advocates of modern parenting – Adaklu DCE
2 hours -
Ketu North MCE advocates agricultural mechanisation to boost productivity
2 hours -
The Thomas Partey Case: Presumption of innocence, sovereignty and the World Cup
2 hours -
Parents urged not to give away children due to poverty
2 hours -
Konongo crash leaves multiple injured
3 hours -
Book Launch: Political Economy of Institutionalising Monitoring & Evaluation Practice in Africa
3 hours -
Residents protest destruction of sacred Dodowa Forest for interim market Â
3 hours -
New York Knicks win NBA championship for first time in over 50 years
3 hours -
Panic as body of 67-year-old woman is stolen from Adevukope cemetery
3 hours