By J. K Nabary
Awutu Bawjiase (C/R), June 26, GNA-The Bank of Ghana’s minimum paid-up capital requirement of five million Ghana Cedis for all existing community banks across the sector, is to promote consolidation, improve balance sheet strength and ensure that only adequately capitalisation banks were permitted to operate within the industry.
Mr Victor Dontwi, Chairman of Board of Directors of Bawjiase Community Bank, made this explanation in a report he presented at the 35th annual engagement of stakeholders/shareholders of the bank at Awutu-Bawjiase.
He stated that the transition of all Rural Banks into Community Banks was also accompanied by enhanced governance and prudential standards.
The 35th engagement of Bank was to inform the stakeholders of the new minimum paid-up capital requirement, and changing of their name to Community Banks, and also review their performance for 2025, reflect on the challenges navigated successfully, and chart a sustainable path forward in a rapidly evolving regulatory and economic environment.
The occasion brought together several stakeholders from the five branches of the bank, chief executive officers of sister Community Banks, officials of the Association of Community Banks Central Region chapter, officials from ARB Apex Bank PLC. and traditional leaders.
Mr Dontwi said the Board recognised the opportunities and challenges the reforms presented, adding that as the new requirements may exert short-term pressure on institutions, they will ultimately provide a solid foundation for long-term stability, improved governance and increase public confidence in the financial sector.
He informed the house that, the measures by the Bank of Ghana were intended to safeguard depositors’ funds, reduce systemic risks and build a more resilient financial ecosystem capable at supporting sustainable economic growth.
“Even in the face of a very challenging operating environment, Bawjiase Community Bank Plc maintained its culture of outstanding performance and industry leadership.”
Mr Dontwi stated that during the year under review, the bank recorded impressive growth in all the performance indicators, with the paid-up capital of the bank growing from GHc5, 684,470.00 in 2024 to GHc6, 292,833.00 in 2025, representing 10.70 percent increase, thereby exceeding the new regulatory minimum capital.
He said, profit before tax increased by 24.1 percent from GHc7, 534,051.00 in 2024 to GHc9,348,071.00 in 2025, and the bank’s total assets rose to GHC 161,984,450.00 in 2025 against 129,639,073 in 2024, an increase of 24.95 percent, while the total deposit also increased from GHc94,308,622.00 in 2024 to GHc124,052,878 in 2025.
He stated that Loans and Advances also increased to GHc35, 016,289 in 2025 representing 3.94 percent against GHc33, 690,351.00 in 2024.
Cost to income ratio also increased very slightly from 73.74 percent in 2024 to 74.94 percent in 2025, which is above the benchmark of 70 percent, while the returns on equity also grew from GHc29, 275,462.00 in 2024 to GHc34, 433,227.00 in 2025 respectfully.
On corporate governance and social responsibility (CSR), Mr Dontwi, indicated that the bank remained firmly committed to upholding the highest standards of integrity and accountability in the management of the bank’s affairs, recognising that social governance was fundamental at sustaining stakeholder confidence and long-term institutional stability.
“Through our diverse and impactful CRS initiatives, we strive to make a positive difference in the lives of individuals, empower communities and contribute to the sustainable development of society at large.
“Hence, during the year under review we supported municipal/district assemblies, educated directorates, police commands, health directorates, festivities, traditional activities among others,” he stated.
“Our bank made significant strides in advancing its digital transformation agenda, reinforcing our commitment at delivering convenient, efficient and customer-centric finance services, recognising the evolving needs of our customers and the increasing role of technology in banking.”
“Our bank has strategically invested in a range of digital solutions to enhance serve delivery and broaden financial inclusions.
“It also continues monitoring developments in the local and global economy and to adopt our strategies as appropriate, Mr Dontwi added.
GNA
Edited by Alice Tettey /Kenneth Odeng Adade