Republic Bank declares GHS 21.2m dividends payment for 2021 at 31st AGM
Republic Bank Ghana, has declared as dividends payment for shareholders, a total amount of GHS 21.2m for the 2021 financial year.
The declared dividend amounts to some 0.025 pesewas dividend per share and represents a 25 percent payout ratio to the GHS 89m profit-after-tax recorded for the year under review.
This would be the first time the bank since 2014 has declared dividends to its shareholders.
Non-payment of dividends to shareholders since 2014, Board Chairman of Republic Bank Ghana, Charles Zwennes, attributed to losses recorded by the Bank (then HFC Bank) and the need to return the bank to the path of profitability.
Adding that, the Bank of Ghana’s directive issued on March 2020 and 2021 on the non-payment of dividends for the 2020 and 2021 financial year given the uncertainties surrounding the pandemic and its potential impact on the banking sector, contributed to the non-payment of dividends to shareholders.
26.5% adjustment in Directors’ remuneration
Remuneration of directors of Republic Bank was reviewed upwards by 26.5% at the Annual General Meeting (AGM).
The upward adjustment in directors’ remuneration followed the adoption and passage of Resolution 8 by shareholders of the bank.
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Adjustment in the directors’ remuneration amounted to a total value of GHS 210,444 representing 3.1% of posted GHS 89m profit-after-tax for 2021.
It was however lower than the 4.17% dividend yield paid to shareholders of the bank.
Remuneration of directors has remained the same since 2016.
Resolutions voted for and carried
In all, a total of nine resolutions were voted for and carried by the shareholders and Board Chairman of Republic Bank at the AGM.
The resolutions voted for and carried included the adoption of the bank’s 2021 financial year, adjustment of directors’ remuneration, payments of dividends and re-election of directors to the company’s board.
Re-election of Directors
Four directors of the bank were re-elected to the board at the AGM.
The re-elected directors included Nigel Mark Baptiste of the Republic Financial Holdings Limited; Dr Arimeyaw Ibn Saeed, a presentative of the Social Security and National Insurance Trust (SSNIT); Ebenezer Tetteh Tagoe who is an independent director; and Paul King Aryene, also an independent director.
