Over due loans affects profit of Baduman Rural Bank

Baduman(Brong Ahafo) 2 August ’99

Mr I. F. Baffoe, manager of the Baduman Rural Bank in the Brong Ahafo Region, has expressed concern over overdue loans, which have adversely affected the bank's profit margin.

Mr Baffoe therefore appealed to defaulting customers to repay the loans to enable the bank to make substantial profits in order to pay dividends.

He was addressing the 11th Annual General Meeting of the Bank at Baduman on Saturday.

Nana Asare Broni, chairman of the board of directors, said the bank recorded a modest profit of 4.1 million cedis.

Its investment in treasury bills rose from 190 million cedis in 1997 to 355 million cedis.

Nana Broni said its current and deposit accounts stood at 472 million cedis while loans and over-drafts granted to customers stood at 885 million cedis.

Mr Kwabena Adjei Acheampong, secretary of the Brong Ahafo Chapter of Rural Banks Association, urged shareholders of rural banks to desist from anonymous letter writing.

He called for unity and understanding among shareholders and management to ensure efficient administration of the bank.

The shareholders charged management to recruit volunteers to act as night watchmen in view of reported cases of armed robbery of some rural banks in recent times.

GRi../