Chairman of the Board of Directors of The Agricultural Industrial and Development Bank (AID Bank), Martin Charles, has announced that the bank made a profit of E.C. $1.2- million dollars for the financial year ending June 30th 2016, despite the “mounting uncertainty to finance lending operations.”
Speaking at the annual general meeting of the AID Bank on Wednesday Jan 8, 2016, Charles said the bank plays an important developmental role which is not comparable to that of the commercial banks, and operates on a well rounded level.
“It is expected that we serve as vehicle to promote economic prosperity of the citizenry, and therefore our lending decisions are not solely based on profitability, but also embraces the social and economic developmental potential of projects,” Charles stated.
He said that the projects are at times, not viable but “regardless, there must be necessary risks that the bank must take in the fulfillment of its mandate.”
He said that in the past financial year, the bank has had to work extremely hard to achieve positive financial results.
He went on to say that bank has risen above the adversities with a significant profit as a result of funding from local institutions amounting to $15-million, together with the use of internally generated funds, which according to him, has “eased the liquidity pressure.”
“In an effort to achieve its financial target, the bank mounted a marketing campaign in the beginning of the financial year, resulting in growth of the loan portfolio by 4.02% from $162.49-million in June 2015 to $169.02- million by June 2016,” Charles stated.
He also said that delinquent borrowers have caused the bank to experience a few challenges throughout the year.
“I urge these delinquent borrowers to make good on their promise and pay the bank. We can no longer operate business as usual,” he said.
He informed shareholders that it is in the wish of the AID Bank to “soar like an eagle and reach ever greater heights.”
“For this reason, the bank is rebooting with a new business development and delivery model which will enhance its relationship with its clients. Raise performance, efficiency and income while maintaining development impact. This, we believe, is the trajectory of sustainable growth for the bank and by extension the country,” Charles remarked.
Why is there no credit given to the General manager. I would think that the banks performance would be a reflection of his leadership. i can guarantee that he would have been criticized had there been a loss
“He said that the projects are at times, not viable but “regardless, there must be necessary risks that the bank must take in the fulfillment of its mandate.”
He also said that delinquent borrowers have caused the bank to experience a few challenges throughout the year. ”
Does anyone see a connection between these two statements?
Frankly, I see no reason why we have two small indigenous banks in Dominica. They should be folded into one institution. That will reduce their cost and improve their profitability. There is no reason to have banks that limp from year to year.
$1.2 million in profit for a bank is peanuts. All it takes is a few bad loans to turn that profit into a loss.
If you are trying to understand what that Chairman say u are in for the long haul. Mister lacks basic understanding. Another one hiding behind the PM Skeritt. Has been chairman of the AID Bank for how long now with no progress and marginal profit (if u can call it that)
1.6 million only? After all that government funding? That figure is a loss, right?
That chairman is Proof that all you need is a birth certificate to be elevated in Dominica !
Ignorant and foolish is what your are comrade. Instead of bashing our own why not commend? Then people say the country is going nowhere. How will it progress if people like yourself bash others? SMH!