The Board Chairman of the Agricultural Development Bank (ADB), Mr Alex Bernasko, says that the bank is now poised to take its rightful place among the league of best performing banks in the country. This is after weathering the storm during the banking sector clean.
During the banking sector cleanup exercise, some five indigenous banks, including the ADB, who were struggling to meet the new capital requirements of the BoG, appealed to the Government to come to their assistance.
In response to the appeal, Government through the Finance Minister, set up the Ghana Amalgamated Trust (GAT) as a special purpose vehicle to invest in the banks to enable them meet the GH¢400 million recapitalisation requirement.
In September last year, the Governor of the BoG announced that the five indigenous banks have finally met the stated capital requirements.
The future looks bright
With the dust now settled and the indigenous banks out of the woods, Mr Bernasko said that the ADB was working hard under a new strategic direction to strengthen performance management to bring about efficiency in the running of the agric bank.
Mr Bernasko, further disclosed that the bank has adopted several new programmes and policy initiatives and also realigned it existing policies to ensure sustained profitability for the bank.
“In spite of the challenges that we have faced in the banking sector in recent years, the future is looking brighter for us”.
“We should be part of the top five banks by the end of 2020”, he assured the staff and clients of thr at 2019 edition of the bank’s annual thanksgiving service held in Accra, last Sunday.
The banking sector reform, according to Mr Benasko, had yielded positive results as it has endangered competition in the industry among the recapitalised banks.
“As evident by the figures and ratio of the industry, competition is being fueled by the banks which have now met the capitalisation requirements as they struggle to capture a sizable chunk of the market share”, he said.