James Reynolds Baiden and Julian Opuni
Fidelity Bank showcased a year of remarkable recovery and record profits at its annual general meeting (AGM) held recently.
The meeting, streamed live from the bank’s head office in Accra, provided shareholders with an opportunity to review the bank’s performance for the year ended December 31, 2023, and received updates on strategic initiatives.
Financial Performance
Board Chairman of Fidelity Bank, James Reynolds Baiden, addressed shareholders, highlighting the bank’s resilience in a challenging economic climate. “Notwithstanding the macro-economic challenges, 2023 was a year of strong performance and significant recovery for Fidelity Bank, evident in our record revenues and profits,” Mr. Baiden stated.
He announced a significant turnaround, with operating income rising 40% year-on-year, from GH¢1.43 billion in 2022 to GH¢2.03 billion in 2023. Profitability also saw a dramatic shift, reversing a recorded loss of GH¢518 million in 2022 to a profit of GH¢1.17 billion in 2023. Mr. Baiden attributed this growth to the Bank’s strong performance across all business segments including Retail Banking, Corporate and Institutional Banking, and Financial and Capital Markets.
Balance Sheet
Mr. Baiden reported that the bank’s total assets grew by 25% to reach GH¢17.22 billion at the end of 2023, driven by a 28% increase in customer deposits, which closed the year at GH¢12.65 billion. The incremental funding enabled the bank to grow its loans and advance its portfolio by 17% to GH¢3.21 billion, and its investment securities book by 28% to GH¢7.70 billion in 2023.
The bank witnessed a notable 119% increase in Shareholder Funds, reaching GH¢1.44 billion at the end of the year.
Commitment to Innovation, Sustainability
Mr. Baiden emphasised Fidelity Bank’s focus on innovation. “We continue to invest in technology-driven solutions to improve efficiency and customer satisfaction in this digital era,” he said.
“The bank is also forging partnerships with FinTech (financial technology) firms and sustainable development organisations to align our strategies with emerging growth areas in financial services and Environmental, Social, and Governance (ESG) propositions for greater value creation,” Mr. Baiden added.
Supporting Local Businesses and Agriculture
Managing Director, Julian Opuni, stated, “Fidelity Bank is committed to empowering local businesses and fostering economic growth. In 2023, we provided over GH¢2 billion in credit to businesses across key sectors like agriculture, manufacturing, services, and commerce.”
Mr. Opuni further announced plans to expand support for early-stage agribusinesses, particularly those led by female entrepreneurs. He highlighted the Mastercard BRIDGE-in Agriculture program, which aims to support 200,100 smallholder farmers, impacting over 280,000 women and youth, and creating over 20,000 new jobs in the next five years.
Outcomes and Recognition
After adopting the reports of the Directors, Auditors, and the Financial Statements for the year ended December 31, 2023, the shareholders also passed a resolution to declare a final dividend per share of GH¢3.41 for the same period; ratified the appointment of a Non-Executive Director; re-elected three (3) directors retiring by rotation; and authorised the directors to fix the remuneration of the auditors.
By Samuel Boadi
The post Fidelity Bank Reports Strong Performance, Profitability appeared first on DailyGuide Network.
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