CAL Bank to expand branch network, boost retail banking

Accra, Nov. 6, GNA – CAL Bank says it will focus on product-driven retail mobilization in a move to boost deposits to reduce cost of funds.   In this direction, the bank said it would expand its branch network to 30 from the current 18 in the next three years in a bid to develop its retail banking and improve brand visibility.   Mr Frank Adu, Managing Director, said on Tuesday at the 'Facts Behind the Figures Programme' of the Ghana Stock Exchange (GSE) in Accra that the bank was working to boost retail deposit mobilization, which had been a problem of the bank over the years.   He said customer deposits are up 2.2 percent to GH¢583.5 million from GH¢570.8 million for the first nine months through September 2012.   The CAL Bank Manager Director said it had plans to target the growing middle class clientele with appetite for asset-backed consumption to boost retail banking while growing corporate loan portfolio and syndicated transaction capacity by leveraging increased balance sheet size.   Mr Adu said CAL Bank would continue to focus on promising growth sectors such as energy, telecommunications, mining, oil and gas and communications and to enhance expertise to provide appropriate services to the growing corporate clients.   The bank will also improve service delivery through investments in enhanced IT infrastructure and upgrading of communication systems.   In the first nine months to September, the bank’s net profit grew by 242.7 per cent to GH¢31.298 million compared with GH¢9.132 million, a year ago supported by the strong growth in earning assets.   Net interest income jumped by 94.7 per cent to GH¢55.150 million from GH¢28.321 million on the back of increase in loans and advances and investment in government securities.        Mr Phillip Owiredu, Chief Financial Officer said CAL Bank would also strengthen treasury activities to capitalize on economic growth sectors, improve capacity to participate actively in the bond markets and research and identify appropriate new money market products for introduction to market.   GNA... Read Full Story