CAL Bank Outlines Strategic Plan

Frank Adu Jnr, Managing Director of Cal Bank

CAL Bank, as part of its two-year strategic plan, is to leverage on growing card schemes to offer diversified services for enhanced customer experience to impact on customer base and translate into increased deposits.

The bank plans to develop e-payment platforms with emphasis on digital channels and promote financial inclusion by deploying digital solutions to offer branchless banking services in the country.
Philip Owiredu, Executive Director of CAL Bank, said this when the bank took its turn at the ‘Facts Behind Figures’ forum organised by the Ghana Stock Exchange (GSE) in Accra.
The ‘Facts Behind Figures’ forum provides opportunity for the investing public, financial media, market operators and individual/institutional holders to get information on the performance of banks and institutions listed on the Ghana Stock Exchange.
Mr Owiredu said the bank would employ cutting-edge technology to deliver enhanced tailor-made solutions for their corporate customers, enhance forex generating capacity and implement a comprehensive performance management and reward system to meet customers’ needs.
The Executive Director said the bank intends to develop and implement a structured career progression and succession planning programme, enhanced organisational competence, as well as implement workplace health and safety system.
The bank’s net interest income grew by 23.5 percent from selective loan book growth of 31.8 percent mainly in commerce and finance, electricity, gas and water and construction sectors.
He said there was an improvement in the balance sheet of the bank in the third quarter of 2016 with 55.7 percent drop in net trading income due to diminished international trading activity and relative stability of cedi against the dollar.
Mr Owiredu said the bank saw 92.6 percent increase in credit loss expense as a result of recognised loan impairment of specific construction sector and commerce sector loan, adding that the overall increase impairment was due to challenging macro-economic fundamentals in 2016.
This led to the bank’s Non-Performing Loans (NPL) increasing to 8.4 percent compared to 6.8 percent for the nine months to September 2015.
“In pursuance to risk management and compliance, the bank would enhance loan monitoring and early-detection toolkits to improve quality of loan portfolio and ensure adherence to regulatory requirements and best practice compliance procedures,” he said.
He said the bank would continue with the investment in key sectors such as energy, construction, oil and gas, transport, communication, manufacturing, mining and the services industry.

Source: ghananewsagency.org

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