Jul 27, 2009, 9:20 AM
“All relevant profitability ratios improved when compared to the 2013 figures,” said Muhammed Jah, the new chairman of the bank.
He became the chairman, in May 2014, after buying 76.45 share of the bank from the former Nigerian owners, hence giving it a local face – a Gambian bank.Subsequently, the entire board and management of the bank have been changed to reflect the current realities.
During the first annual general meeting of AGIB, under the new ownership, on Friday at a hotel in Kololi, Mr Jah said the bank’s profit increased by D11.3 million, from D1.4 million in 2013 to D12.7 million in 2014.
Non-performing loans, credit extended to customers which are likely not to be paid back, decreased from 9.5 per cent to 7.96 per cent.
The chairman said the decrease in non-performing loan ratio is a result of the vigorous recovery efforts by the management of the bank.
Return on equity, profit for shareholders, increased from 0.6 per cent in 2013 to 5.23 per cent in 2014, and earnings per share also increased from D0.05 in 2013 to D0.50, all in 2014.
Customer deposit also grew by D76 million, from D552 million in 2013 to D628 million in 2014.
Operating expenses decreased from D72 million to D58 million in 2014, an increment of 24 per cent.
The new managing director of AGIB, Nuha Marenah, said the result of the bank was achieved through rigorous debt collection, lower provision and commitment from management and staff.
“This increase is unprecedented and we will build on this achievement to take the bank to the next level,” said Mr Marenah who has more than 30 years of banking experience having worked in The Gambia, Afghanistan, Jordan, Ghana and Angola.
He said the treasury department of AGIB was able to make significant strides from foreign exchange trading, despite the difficult operating environment in the foreign exchange market.
The MD gave the staff of the bank a pat on the back for their commitment to the values of Islamic banking: honesty, tolerance, brotherhood and team work.
“It is, therefore, not surprising that there were no frauds and operational losses during the year under review,” Mr Marenah said.
He also pointed out, with delight, that no regulatory penalties were imposed on AGIB in 2014.
“That means there were no operational failures, no breach of regulatory guidelines or non-compliance with the laws of the land,” he said.
The auditors and the Shariah Advisory Council have confirmed that AGIB continued to deliver its products and services as dictated by the Shariah.
Earlier on, the chairman, Mr Jah, said the board and the management of the bank is determined to continue to confine the bank’s operations within the tenets of Islam.
“We are sure the foundation laid in the year under review would provide a platform for improved and sustainable performance in 2015 and beyond,” he said.
The 2014 result of This bank was almost dead has earned the management hearty congratulations from the other Gambian shareholders of the bank who hitherto hardly received any dividend.
“I have to thank and congratulate the management for a wonderful performance;now will have something for our shares,” said Hatib Semega Janneh, shareholder at AGIB.“This bank was almost dead.”