Skip to main content

Community banks urged to leverage reforms to drive growth and financial inclusion

 ARB Apex Bank, Kintampo Community Bank

Community banks have been encouraged to strategically align their operations with ongoing regulatory reforms in the microfinance sector to enhance customer service, deepen financial inclusion and support local economic development.

The Sunyani Regional Manager of ARB Apex Bank, Susan Boateng, made the call at the 40th Annual General Meeting (AGM) of Kintampo Community Bank PLC held at Kintampo in the Bono East Region.

She noted that the Bank of Ghana's ongoing reforms are aimed at strengthening the rural and community banking sector through improved corporate governance, enhanced resilience and long-term sustainability.

A key component of the reforms, she explained, is the transition from the traditional “Rural Bank” designation to “Community Bank” under the revised Microfinance Sector Framework. According to her, the transition goes beyond a change in nomenclature and reflects a broader commitment to growth, accountability and deeper community engagement.

Boateng commended Kintampo Community Bank PLC for embracing the transition, describing it as a strategic move that would enable the institution to broaden its service delivery and strengthen its contribution to financial inclusion and economic empowerment within its catchment area.

On capital adequacy, she said the regulator had revised the minimum stated capital requirement for Rural and Community Banks from GH¢1 million to GH¢5 million to strengthen the sector's capacity to absorb shocks, support business growth and enhance depositor confidence.

She observed that institutions that proactively strengthen their capital base would be better positioned to finance agriculture, small and medium-sized enterprises (SMEs), women-owned businesses and youth-led ventures, all of which are critical to local economic development.

Boateng therefore welcomed Kintampo Community Bank's efforts to improve its capital position through the proposed capitalization of income surplus and the issuance of bonus shares, describing the move as evidence of prudent planning and commitment to regulatory compliance.

She further stressed that the long-term competitiveness of community banks would depend on their ability to embrace digital transformation, invest in cybersecurity, strengthen risk management frameworks and improve customer experience.

Banks that leverage technology, build customer trust and maintain strong governance structures will remain relevant and competitive in the evolving financial services landscape,” she stated, urging management teams to prioritise staff capacity development, quality service delivery and financial inclusion initiatives.

Providing an overview of the bank's performance, Board Chairman of Kintampo Community Bank PLC, Nana Owusu Gyare II, reported strong growth across key financial indicators during the 2025 financial year. Profit after tax increased to GH¢10.29 million in 2025 from GH¢9.68 million in 2024, representing a 35.13 percent growth.

He further disclosed that total assets rose by 41.71 percent to GH¢185.73 million, while total deposits reached GH¢141.35 million during the period under review, reflecting sustained customer confidence in the bank's operations and service delivery.

Nana Owusu Gyare II expressed confidence in the bank's growth prospects, indicating that the board and management remain committed to strengthening the institution's capital base, expanding service offerings and delivering sustainable value to shareholders, customers and the communities it serves.

Comments

Popular posts from this blog

Fitch Solutions retains 2025 growth rate projection at 4.2%

 Fitch Solutions has reaffirmed its projection that Ghana’s economy will expand by 4.2% in 2025. This estimate slightly exceeds the International Monetary Fund’s forecast of 4% and the World Bank’s projection of 3.9%. The UK-based research firm attributes its outlook to historically high gold prices, which are expected to cushion the Ghanaian economy against a global slowdown triggered by rising tariffs. Higher gold prices are anticipated to strengthen government revenue, enhance foreign exchange earnings, and help sustain currency stability. The report also highlights that Ghana is relatively less vulnerable to increasing trade restrictions from the United States, given that its primary exports—gold and crude oil—are not directly affected by the tariffs introduced by President Trump’s administration. Moreover, the US constitutes only about 4% to 5% of Ghana’s total exports. In contrast, Ghana’s trade relations are more heavily oriented toward China and European countries, particul...

BoG injects $20m into FX market to support 11 BDCs

  The Bank of Ghana (BoG) has injected $20 million into the foreign exchange market in the latest round of its forward FX auction targeted at Bulk Oil Distribution Companies (BDCs). The intervention, which benefited eleven BDCs, is part of the central bank’s broader strategy to stabilise the cedi and ensure price stability in the petroleum downstream sector. Held on Tuesday, April 29, the auction was priced at a locked exchange rate of GHS 14.28 to the US dollar, with bid offers ranging from GHS 13.85 to GHS 15.55. This move reflects the BoG’s continued effort to deepen forex liquidity and safeguard the domestic fuel supply chain against volatility in global energy markets. By directly supplying FX to BDCs, the central bank seeks to ease pressure on the interbank market, guarantee the uninterrupted flow of petroleum products, and mitigate the pass-through effects of exchange rate fluctuations on fuel prices. The $20 million disbursement forms part of a $120 million programme for th...

Kenpong Travel & Tours Champions Breast Cancer Awareness During Customer Week

  As part of activities to mark Customer Week, Kenpong Travel & Tours, a leading travel agency in Ghana, is joining the global fight against breast cancer. October is Breast Cancer Awareness Month, and the company is passionate about spreading hope and support to those affected. At Kenpong Travel & Tours, we believe that travel and exploration can be therapeutic and empowering. That's why we're committed to supporting our customers and the broader community in the fight against breast cancer. We're proud to stand in solidarity with breast cancer warriors and survivors. At Kenpong Travel & Tours, we believe that everyone deserves a chance to explore the world and create unforgettable memories. Let's prioritize health, support one another, and fight against breast cancer," said Kennedy Agyapong, CEO of Kenpong Travel & Tours. Our efforts are focused on raising awareness, promoting early detection, and supporting those affected by breast cancer. We urg...