Republic Bank, subsidiaries overcome economic headwinds, records impressive financial results in 2022
Republic Bank (Ghana) PLC and its subsidiaries have weathered the storm of the global economic challenges and local economic headwinds that have affected businesses across the world. Despite the significant impact of the Domestic Debt Exchange Program (DDEP), the Group has managed to achieve impressive financial results for the year 2022.
According to the Group’s financial report, all revenue lines have experienced growth, with net interest income and operating income recording a 23.53% and 29.22% increase, respectively. The Group’s profit after tax but before impairment on its investment securities rose to GHS 106.31 million, representing an 18.28% growth over the previous year’s GHS 89.88 million.
However, the Government of Ghana’s successful completion of the DDEP earlier this year forced the Group to recognize a credit loss/impairment of GHS 169.98 million due to its holdings in domestic bonds. This impairment led to the Group’s profit after tax of GHS 106.31 million turning into a net loss of GHS 61.13 million recorded for the year.
Despite the challenges faced, the Group’s balance sheet has shown strength, with total deposits growing by 27.47%, which propelled over a 20% growth in the assets base despite the significant provision made on the debt instruments.
The Bank’s Capital Adequacy Ratio, which is over a hundred percent above the minimum required ratio of 10%, stood at 21.35% at the end of the year. This confirms that Republic Bank remains well-capitalized, strong, and resilient.
In addition, the Group’s liquidity position is impressive, closing the year with a liquid ratio of 146.70%. This further cements the Group’s position as a safe and secure bank that can withstand the economic uncertainties that lie ahead.
The Board and Management of Republic Bank (Ghana) PLC remain confident in the Group’s underlying strength, strong capital base, liquidity prowess, robust risk management framework, and strategic business planning, which have enabled it to navigate the current economic environment.
The Bank’s Board and Management would also like to reassure its hardworking staff that the Bank remains safe and secure, and it will continue to work tirelessly to maintain the trust and confidence of its cherished customers. The Bank counts on its staff to deliver on its commitments to ensure the continued success of the Bank.
Let us remain resolute and resilient in the discharge of our duties as we continue to serve our clients and communities with excellence in the face of adversity, for this is the Republic Bank hallmark.
