UT Bank has ruled out a possible sale of the bank despite current challenges facing the financial institution.

The indigenous bank recorded a half-year loss of over 30 million Ghana cedis for 2015, prompting reports in sections of the media that the development could result in foreign investors coming in to help the bank recapitalize.

However, Chief Executive of the bank, Prince Amoabeng, says the reports are untrue.

“There is no intention to hand over UT Bank to anybody at all…I think what we have on the table now is getting aggressive…and [restoring] confidence in the shareholders”, he said.

He said firm plans have been put in place to forestall further loss revenue.

“We’re achieving for the first two months, better than projected. So that is something that gives a lot of confidence and we have the staff on board. We’ve gone to look for their views and we’ve implemented [their] suggestions. It is not just me or top management saying ‘this is going to work’. This [plan] is what all of UT says is going to work”, he underscored.

The SME bank reported a GHS 30.6million loss in the first half of this year largely on account of high interest expenses which negatively impacted its results and dampened the positive effects of interest income that recorded a strong growth of 30% during the period.

Total deposits increased by 29% from GHS 889million to GHS 1.2billion while total assets increased by 44% from GHS 1.4billion to GHS 2billion.

The asset growth was driven mainly by the sharp cedi depreciation during the first half of the year.

“The year 2015 has been very challenging for the bank as the tough macro-economic conditions and the protracted energy crisis continue to negatively affect the operations and performance of the business sector especially our core segment, the SMEs. The first three months were particularly challenging, with the bank recording a GHS 28million loss during that period. We have since witnessed a vast improvement, as the results of the implementation of our turnaround plan kick in. In the second quarter, from April to June, we recorded a GHS 2.4million loss, 91% better than recorded in the first quarter, and in the Month of June recorded a GHC 1.3 million profit after tax”, Mr Amoabeng said.