ARB Apex Bank Plc has announced a substantial growth in total assets, soaring by 83.87 percent from GH₵1.24 billion in 2023 to GH₵2.28 billion in 2024.
The impressive increase significantly outperforms the 20.4 percent growth recorded during the same period last year.
The bank’s stellar performance was primarily fueled by a staggering 73.66 percent rise in deposits, which jumped from GH₵1.22 billion in 2023 to GH₵2.11 billion in 2024. This influx of deposits has enabled the bank to capitalize on investment opportunities in short-term money markets and Government of Ghana Bills, as well as expand its loans and advances portfolio.
On the part of investments, the bank saw a notable increase of 24.38 percent, climbing from GH₵ 510.1 million in 2023 to GH₵634.5 million in 2024. Even more impressive was the growth in loans and advances, which surged by 104.87 percent, reaching GH₵ 121.9 million compared to GH₵59.5 million in the previous year.
This announcement was made by the chairman of the board of directors, Mr. D.O.K Owusu, during the 23rd Annual General Meeting (AGM) of shareholders of ARB Apex Bank PLC.
The Bank’s Capital Adequacy Ratio (CAR) improved to 6.95 percent from 2.75 percent, still below the regulatory minimum but demonstrating a positive trajectory. With ongoing capital mobilization and improved profitability, CAR is projected to exceed the 10 percent threshold in the coming years.
Following setbacks from the DDEP, the Bank’s shareholders’ funds recovered robustly, reversing a negative GH₵ 32.4 million in 2023 to a positive GH₵ 49.5 million in 2024. This turnaround was supported by a Profit After Tax of GH₵19.9 million, a significant recovery from the GH₵8.8 million loss recorded in the previous year. Additionally, a property revaluation gain of GH₵ 53.9 million further bolstered the balance sheet.
Speaking on the domestic front, the chairman of the board of directors indicated\xa0that Ghana’s economy rebounded strongly, with a real GDP growth rate averaging 6.3 percent across the first three quarters – up from 2.6 percent in the same period in 2023. This surge was driven by strong industrial sector performance, supported by gains in agriculture and services.
However, the economy faced risks from currency depreciation and exchange rate volatility, particularly given Ghana’s exposure to dollar-denominated debt. Despite these pressures, inflation ended the year at 23.8 percent, slightly up from 23.2 percent in 2023, while the monetary policy rate was eased to 27.0 percent by year-end.
Banking Sector Rebounds
According to the chairman’s report, banking industry demonstrated significant resilience in 2024, rebounding from the effects of the 2022 downturn and the Domestic Debt Exchange Programme (DDEP). Total assets in the industry grew by 33.8 percent to GHS 367.8 billion, while deposits surged by 28.8 percent to GHS 276.2 billion. The sector’s profitability improved moderately, with profit after tax rising by 26.2 percent to GHS 10.4 billion.
Though the pace of profit growth slowed compared to the post-DDEP rebound in 2023, the sector remained robust, with improved capital adequacy and liquidity. Challenges persisted, particularly with a rise in the Non-Performing Loan (NPL) ratio to 21.8 percent. However, banks increasingly embraced digital solutions, positioning themselves competitively through innovations in financial technology.
Strategic Projects
The bank’s impressive growth also hinged on some strategic projects like the expansion of its development financing portfolio. It secured participation in the $24 million Affordable Agricultural Financing for Resilient Rural Development (AAFORD) project, receiving disbursements from both IFAD and the Government of Ghana.
The Bank also made strides in its digital banking agenda, with the rollout of GhanaPay, USSD, Mobile and Agency Banking platforms, aligning with national trends in financial digitization and accessibility.
Outlook
Mr. Owusu noted that expectations would be founded on the prospective gains anticipated in future economic dynamics. He noted in the report that the years ahead, global economy is projected to grow by 3.3 percent in both 2025 and 2026.
With this, he anticipates that emerging markets are expected to expand at a faster rate than advanced economies as global inflation is forecasted to be 5.9 percent in 2025, a more gradual decline than earlier predictions.
The key to achieving these projections he said lies in consistent policy execution and successful debt management. As part of the growth agenda and ensuring sound financial system and quality credit, he said it is critical that banks make the effort to address the elevated NPL ratios through robust credit risk management.
This, coupled with improved efficiency and profitability, would lead to sustained contribution to Ghana’s economic growth.
Chairman of the Board of Directors, DOK Owusu, (middle) addressing shareholders at the meeting and flanked by the Managing Director of ARB Apex Bank Alex Kwasi Awuah and other board members as well as some Council members of the Association of Rural Banks
RCBs USSD banking platform transactions hit GH₵517.7m
By Elizabeth PUNSU, Kumasi
ARB Apex Bank is making major strides in expanding digital financial access under the Ghana Financial Sector Development Project (GFSDP), with transaction volumes on its USSD and POS platforms surpassing GH₵783 million by the end of 2024 year under review.
A total of 140,744 customers has been onboarded onto the USSD platform, which enables users of Rural and Community Banks (RCBs) to access a range of banking services—including balance inquiries, transfers between accounts and mobile money wallets, airtime top-ups, and bill payments—without the need for internet connectivity.
As of December 2024, the USSD system had processed 1,007,306 transactions, amounting to approximatelyGH₵517.7million in value.
In parallel, the Bank has deployed a shared agent network that empowers third-party businesses (agents) to deliver financial services in underserved communities. These agents operate small enterprises that maintain direct relationships with RCBs, creating alternative revenue streams.
This partnership establishes an alternative revenue stream for small businesses, which will ultimately contribute to wealth creation in the communities.
The ARB Apex Bank, has distributed 1,841 Point of Sale (POS) devices in addition to 773 POS terminals installed at RCB branches nationwide. This setup has so far enabled complete interoperability across the rural banking sector, allowing customers to perform transactions at any participating RCB, regardless of their home bank.
It also facilitates the opening of low-KYC accounts at agent points—particularly beneficial to underserved and marginalized groups.
Further advancing its digital agenda, ARB Apex Bank rolled out a deposit mobilization platform in the last quarter of 2024. Already adopted by 49 RCBs, the platform provides real-time crediting of deposits with SMS confirmations. During the pilot phase, it processed a little over 1million transactions valued at over GH₵266million.
Beyond speed and convenience, the platform is also helping to sanitize the traditional susu collection system by curbing issues such as cash suppression by field staff.
Managing Director, ARB Apex Bank, Alex Kwasi Awuah, who made these known at the Banks 23rd Annual General Meeting (AGM) of shareholders in Kumasi last Saturday also mentioned that even though much has been achieved so far, full rollout of the Mobile banking application and internet banking platform should be operational by third quarter 2025 as it is presently being tested with a limited number of RCBs.
According to Mr. Awuah, this move is to further accelerate digital access and service delivery across the rural banking network.
Provided by SyndiGate Media Inc. (Syndigate.info).