Mr Jeffery Konadu, Board Chairman of Afram Community Bank Limited, has advised loan defaulters to clear their loans immediately for the bank to continue providing quality services to clients.
The call comes on the heels of the bank being hit in recent times by overwhelming deficits due to the failure of customers to pay their loans obtained from the community bank.
Mr Konadua indicated that loans and advances granted to consumers declined by 2.96 percent from GH₵14,852,357 in 2020 to GH₵14,413,387 in 2021.
He attributed the shortfall to the negative impact of non-performing loans and overdrafts, decreased liquidity flow from customers’ deposits, additional provision for loan impairment by the Bank of Ghana (BoG), and the board’s decision to suspend approval of commercial facilities and pursue aggressive recovery.
According to him, the bank was undergoing a thorough clean-up exercise under the supervision of the BoG and ARB Apex Bank, but it still needed to make write-offs and certain provisions to consolidate its position and meet international standards.
However, he assured customers that the bank would continue to bolster its operations by deepening its relationships with stakeholders including ARB Apex Bank and the BoG.