Eximguaranty posts impressive results …as it launches 20th anniversary

Eximguaranty Company Limited has posted great results during the 2013 financial year despite the situations challenging the economy currently.

Total assets grew by about 6 percent to GH¢20.05million from GH¢18.9million. Total income was GH¢7.4million up by 48 percent from GH¢4.99million, mainly due to growth in investment income.

Profit before tax was GH¢1.61million up from GH¢109,858 in 2012. The net profit achieved was GH¢1.06million as against GH¢99,620 in 2012.

Due to the challenging economic situation, the company issued a total of 387 guarantees valued at GH¢34.6million, compared to 972 guarantees valued at GH¢64.3million in 2012.

Total guarantee fees were GH¢2.03million -- down from the GH¢2.47million registered in 2012, a drop of 18 percent. “Our star products continue to be Advance Mobilisation and Advance Payment Guarantees in the Construction Industry,” Managing Director Zac Bentum said.

Mr. Bentum added that the company is ready to deepen its role as an intermediary institution in accessing SME credit as a growth strategy, and also build the capacity of its staff by developing specialist knowledge about the industry.

“We will support more SMEs in the export and agricultural sectors, and will strengthen our enterprise risk framework to limit our exposure.”

He added that as a responsible company, Exim is committed to creating value through responsible performance and engaging the community. The company donated GH¢1,500 to the Progressive Road Contractor Association.

Board Chairman Felix Ntrakwah added that the company reviewed its five-year strategic plan (2011-2015) to make outstanding deliverables more relevant.

The company also amended the credit appraisal reports to include caption for “Anti-Money Laundering and Terrorist” reviews. Exim was adjudged sixth-best performing institution among 38 participating members of the Association of African Development Finance Institutions (AADFI) at a CEO’s forum in Mombasa, Kenya.

Launch of 20th anniversary

The company also launched its 20th anniversary with some activities planned to mark the milestone. The theme for the celebration is “20 Years of Guaranteeing Credit for SME Ghana: Repositioning Exim as a Critical Partner in Financial Intermediation for National Development”.

On July 19th a health-walk will take place, from Roman Ridge to El Wak stadium, which will be followed in August with a workshop for clients and some banks.

In September the company will make a donation to the Dzorwulu Special School, whereby the school will benefit from some food items and a number of beds as well a clean-up exercise. In October, to crown it all, a thanksgiving service will be held at the Police Church followed by a corporate lunch with shareholders, clients and staff.

“It is not a mean achievement; some companies begin and they don’t rise. We began and we keep on rising. It is has not been easy. First of all, the business is not very well understood in this country so it has taken us quite a long time to get our individuals and institutions to understand the work we do.

“So far so good a number of banks have come on board and they are doing good business with us. The prospects are good and we are hoping that more financial institutions will come on board to help us develop the SMEs sector,” the Board Chairman added.

By Bernard Yaw Ashiadey | B&FT Online | Ghana