Nkrankwanta Area Community Bank Plc at Nkrankwanta in the Bono Region recorded a strong financial performance in 2025, with profit more than doubling as deposits, loans and the bank’s overall balance sheet expanded significantly.
The bank’s profit before tax rose by 110 per cent to GH¢4.58 million, from GH¢2.18 million in 2024.
Profit after tax also increased by 133 per cent to GH¢3.46 million, from GH¢1.49 million, while earnings per share rose to GH¢1.05 from GH¢0.50.
The Board Chairman, Kwaku Agyemang-Manu announced this at the bank’s 16th Annual General Meeting of Shareholders at Nkrankwanta in the Dormaa West District.
He said the performance was achieved against a changing interest-rate environment, which saw the Bank of Ghana reduce its monetary policy rate while Treasury bill yields declined sharply.
The Chairman said, “The lower rates put pressure on traditional banking income and required the bank to diversify its income sources and increase its focus on commercial lending.”
Customer deposits grew by 41 per cent to GH¢82.30 million, from GH¢58.33 million in 2024, while total assets increased by 38 per cent to GH¢94.56 million.
The Chairman attributed the deposit growth to continued customer confidence and loyalty, describing the performance as significant given the declining interest-rate environment.
Loans and advances recorded the strongest growth among the major balance-sheet items, rising by 113 per cent to GH¢14.65 million from GH¢6.88 million.
The bank said the expanded lending portfolio supported agriculture, trading, salaried workers, cottage industries and micro-credit activities within its operating communities.
Investments also remained a major component of the bank’s financial position, increasing by 31 per cent to GH¢63.83 million from GH¢48.73 million.
The GH¢15.10 million increase, the Chairman explained, reflected prudent liquidity management and efforts to optimise returns from short-term instruments.
The stronger earnings also boosted shareholders’ funds, which rose by 70 per cent to GH¢8.07 million from GH¢4.74 million.
Mr Agyeman-Manu continued that stated capital increased by 12 per cent to GH¢1.55 million from GH¢1.38 million.
In line with the improved performance, the Board proposed a GH¢350,000 dividend for shareholders, equivalent to GH¢0.11 per share, compared with GH¢0.08 per share proposed for 2024, subject to approval from the Bank of Ghana.
The Chairman, who is also a former Minister of Health said the bank would continue to pursue sustainable growth, expand digital banking services, improve operational efficiency and strengthen its capital base, while deepening support for local businesses and households.
He said despite the improved financial results, the bank faces an urgent capitalisation challenge.
Mr Agyeman-Manu said under the new regulatory framework the bank was required to raise its paid-up capital from GH¢1.55 million to GH¢5 million by December 31, 2026.
The capital requirement comes as the institution completes its transition from a rural bank to a community bank, a change introduced under the Bank of Ghana’s reforms of the microfinance and specialised deposit-taking sector.
The reforms seek to strengthen capital, governance, supervision and financial-sector resilience.
From DANIEL DZIRASAH, NKRANKWANTA
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