Cal Bank says it will delay in payment of the minimum capital requirement to the Central Bank, due to the delay in capitalise Audit income Surplus.
This came to light when the Bank took its second turn at the Ghana Stock Exchange’s Facts Behind the Figures in Accra.
The Executive Director and Chief Finance Officer, Philip Owiredu noted that the directive issued by the Central Bank was unclear, stating that the Bank can only capitalise on their Audit Income Surplus at the end of the year hence their inability to meet the central bank directives.
Mr Owiredu explained that, “when the directive came out last year August 2017 by the Central Bank, the directive had a certain challenge which we discussed with the Central Bank.”
He added that although the bank is on its path to meet the minimum capital requirements, it may not come into fruition till the first quarter of next year.
“We are supposed to get to 400 million, we had approval from Shareholders and we have made this plan available to the Central Bank. The difference of 50 million we are going to do that after we complete the audit for 2018. The question is the deadline is 31st December 2018, the audit would be completed after 31st December 2018 so technically someone will say that we will not meet the 2018 Capital Requirement,” he added.
The Head of Investor Relation at Cal Bank, Dzifa Amegashie, noted that depreciation in the stock market is due to the strength of the US economy which is attracting firm managers to invest in the US market.
“This is not the weakness of Ghana but rather the strength of the US dollar. Cal Bank has a bonus issue which have been rated this year as an inevitable. After you have done the bonus issue as such, your price will fall simply because there are so may shares available for sale,” she added.
Madam Dzifa said Cal Bank has leveraged on growing card schemes to offer diverse card services to enhance customer experience.
Story By: Mabel Adorkor Annang/Maryam Hassan