The National Investment Bank (NIB) Limited is investing $22 million in out-grower rubber and oil palm plantations in the next six years. Under the project, which is being exe¬cuted in collaboration with the govern¬ment, the Agence France de Developpment and Kreditanstalt fur Wiederaufbau (KfW), a German bank, NIB would give 100 million cedis per annum to each farmer for six years to grow their farms. The project took off last year and it is to assist seven oil palm mills in the Western and Central regions. The Managing Director of the bank, Mr Daniel Charles Gyimah told the Daily Graphic in an interview after the company's 38th annual general meeting (AGM) in Accra that the move was part of the bank's policy plan to develop strategic sectors of the economy. He said the oil palm project was to make for the shortfall of fruits in the industry, which was on the verge of developing its full capacity comparable to what pertained in a country such as Malaysia, which has developed the oil palm sector. Mr Gyimah said some of the strategic areas that would benefit from a well developed oil palm industry was the energy sector, saying "we are encouraging the mills to use palm kernel to generate their own electricity and wean themselves off the national grid." The Managing Director mentioned the Juaben oil Mill in the Ashanti Region, which has been assisted to use kernel to generate its own electricity in quantities that have enabled it to withdraw its dependence on the national grid and rather supplied electricity to a nearby hospital free of charge. "We are targeting the re-activation of the Bonsa Processing Factory. Before we do so, we should get the raw material base before we can revive the factory," he said. At the AGM itself, the Chairman of the NIB Board of Directors, Dr Charles Jebuni, announced a 35.3 percent growth in the bank's deposits from 1.25 trillion cedis in 2005 to 1.69 trillion cedis at the end of last year. The bank's total income increased by 13.6 percent to 251.86 billion cedis last year, from the previous figure of 221.69 billion cedis of year end 2005, the chairman announced and added that as a result of systematic portfolio realignment and better risk management, the bank reduced its bad and doubtful debt provision by 84.7 percent from 74.19 billion cedis in 2005 to 11.37 billion cedis. Despite the creditable performance in most areas, the bank's profit after tax of 44.27 billion cedis was a dip compared to the 59.15 billion cedis recorded in 2005. However the meeting approved a dividend of 325 cedis per share, amounting to 17.307 billion cedis as against the previous figure of 13.313 billion in 2005. Dr. Jebuni said the bank would continue to deliver high value and modern financing and investment solutions to the benefit of clients, owners, investors and employees.