Government pays Tema Oil Refinery debt to Ghana Commercial Bank

http://www.ghananewsagency.org/s_economics/r_27128/economics/government-pays-tema-oil-refinery-debt-to-ghana-commercial-bank

Accra, March 28, GNA - Mr Pryce Kojo Thompson, Board Chairman of the Ghana Commercial Bank, on Monday disclosed that Government has paid the remaining GH¢ 572 million owed to the bank by the Tema Oil Refinery (TOR).

Addressing shareholders at the annual general meeting of the Bank in Accra, Mr Thompson said the money had placed the bank in very good position to carry out its planned programmes and activities.

Government had earlier in March 2010 made partial payment of GH¢445 million to the bank.

On the financial performance of the bank, Mr Thompson said the bank saw a much improved financial result in 2010 compared to the previous year.

The Bank's net profit jumped nearly 198 per cent to GH¢56.1 million from GH¢18.8 million in 2009.

The financial institution also recorded a net income of GH¢259.9 million in 2010, up 57 per cent from GH¢165.8 million the year before.

"Significantly, the 2010 net income of GH¢259.9 million was achieved after impairment charge on loans and advances of GH¢70.9 million which was almost twice the 2009 loans impairment charge of GH¢36.7 million," he said.

As regards operations of the bank, Mr Simon Dornoo, Managing Director, Ghana Commercial Bank, said 2010 was a year of consolidation during which the focus was mainly on improving the overall risk profile of the bank and driving top-line revenue growth.

Mr Dornoo assured shareholders that 2011 was promising with the emerging oil and gas industry expected to spur growth in other sectors of the economy.

At the meeting, the appointment of Pannel Kerr Foster was terminated due to directives issued by Central Bank to terminate all appointment of Audit Firm, which had served for over five years.

KPMG will now carry out the auditing functions of the bank.

Mrs Adelaide Mary Benneh, Dr Augustine Fritz Gockel and Mr Elliot Gordor were also re-elected as directors of Ghana Commercial Bank.

Shareholders also approved a dividend of 7 pesewas per share at the meeting.
GNA