Agricultural Development Bank (ADB), a leading indigenous bank, says it is poised to expand its products and services across the country to help the customers of the bank to meet their financial needs.
The Managing Director, Dr John K. Mensah, said the fresh capital injection from the Ghana Amalgamated Trust and right issue the bank recently embarked on had better financially positioned the bank to expand its product and service portfolios.
He said the bank’s initial public offer in 2016, which brought in an additional equity of GH¢200 million, and the right issue which raised GH¢277 million and the fresh injection from GAT, the bank was well positioned to expand its activities even further.
Dr Mensah said the bank had recorded phenomenal growth in recent years after it recorded losses in 2016, 2019 financial years, indicating that the growth had been the result of a combination of deposit mobilisation strategies targeted at the parastatal, corporate, SME and retail markets.
He said the bank’s shareholders equity had progressively increased over the period.
"From back-to-back operating losses recorded in 2015 and 2016, the bank has since 2017 set itself on a trajectory of profitability, recording GH¢47.3 million in 2017 and GH¢34.1 million in 2018. The bank is well on course to achieve profitability in 2019 as well," Dr Mensah said.
Touching on deposits, the Managing Director hinted that ADB had recorded significant strides in customer deposits in the past three years, saying customer deposits rose to GH¢3.0 billion in September, 2019 from GH¢2.1 billion in December 2016, representing a 42.8 per cent growth.
Dr Mensah explained that with units set up under its agribusiness portfolio for specific government initiatives such as 1D1F and GREL project, ADB had also targeted to grow its agriculture loan portfolio by 50 per cent of total loans by 2022.
The Managing Director disclosed that the bank had introduced new digital products to its already existing e-Business products, and pointed out that the bank was aiming to grow bigger by pursing its five-year strategic plan.
"This involves financial growth by which it will drive a strong and robust balance sheet with good quality loans with emphasis on agribusiness and agric value chain activities; increasing its market share through customer care and service quality as well as innovative products and services; and working on its human capital development to continue to enhance job satisfaction, increase motivation and professionalism in our staff," he said.
On market development, he said […]
