Rural banks urged to improve performance to sustain public trust

Kumasi (Ash) Rural and Community banks have been urged to take pragmatic measures to build solid financial base and improve on performance in order to sustain public trust in the rural banking sector.

Mr George Kwaku Annor, Ashanti Regional Manager of the ARB Apex Bank, who made the call said the continuous growth and sustainability of the rural banking sector would largely depend on public confidence and trust.

Speaking at the inauguration of the Kejetia branch of the Kumawuman Rural bank in Kumasi, he pointed out that rural banks needed to do more to sustain public confidence in view of the recent happenings in the banking sector.

Mr Annor appealed to boards and management of rural banks to institute stringent risk management systems to help prevent activities that could cause the fall of their banks.

Mr Charles Kwadwo Nimoh, Board Member of the Kumawuman Rural bank, said the new Kejetia branch, was strategically located to facilitate trading and businesses of its customers who were mostly in rural communities but travelled to Kumasi on daily basis to transact businesses.

He said the focus was to ensure convenient banking environment which would enable customers access timeous financial services to promote their business activities.

Mr. Nimoh pointed out that, the Kumawuman Rural Bank which was started in 1982, had a prime tradition of bringing banking services closer to the doorsteps of its customers.

He gave an assurance that the bank would continue to implement pragmatic measures and policies to secure and guarantee the growth and profitability of customers and investors’ funds.

Mr Nimoh said the bank currently had a total paid up capital of GH¢2.8 million, which was far above the Bank of Ghana’s minimum capital requirement of GH¢1million, for Rural Banks in the country.

He said the target was to increase the share capital to GH¢5million and therefore, urged the public to patronize the services of the bank by buying some of its shares to enjoy best dividend.

Source: Ghana News Agency