AID Bank Records $1.01 Million Profit for 2012
The Dominica Agricultural Industrial and Development Bank (AID Bank) has recorded a profit of $1.01 million for the financial year ended June 30, 2012.
This information was made public at the bank’s 20th Annual General Meeting which was held at the Fort Young Hotel on Wednesday December 19th.
However, this profit is 55.18 percent lower than the $2.38 million net profit which was recorded in 2011.
Chairman of the AID bank’s board of Directors, Mr. Martin Charles, pointed out that a total of 382 loans were approved by the bank with a total value of $34.56 million, which compares with the $36.33 million approved in the preceding financial year.
Mr. Charles reported total disbursements for the year in question amounted to $33.37 million, and this amount represents a 6.6 percent increase over total disbursements for the period ended June 30, 2011 when $31.29 million was disbursed.
In addition, at the end of June 2012, the principal outstanding in the Bank’s loan portfolio grew by 12.71 percent to $153.36 million compared to $136.06 million outstanding as at June 30, 2011.
Other financial data made public was a 22.88 percent decline in non-performing loans, in which at June 30, 2012 non-performing loans totaled $23.68-million or 15.44 percent of total loans outstanding at $153.36-million, a decline from the ratio of 20.02 percent as at June 30, 2008.
He pointed out that the Government of Dominica’s support over the last 40 years who is the majority shareholder, in addition to providing guarantees for loans obtained from regional and international funding agencies, strengthened the capital base of the institution.
The bank has shown considerable resilience despite challenges over the years, such as the recent global financial crisis which continues to impact the region.
Within the next few weeks, Mr. Charles said that the bank will roll out some bold initiatives which are all geared at stimulating economic activity within the local economy.
With such changes he said it will enable them to effectively and efficiently manage the assets of the bank.
The Board of Directors will for the first time in the 40 year existence of the bank appoint a subcommittee called the ‘Risk and Asset Liability Committee ‘and a Risk Manager/Risk Officer.