Jump to content

National Investment Bank: Difference between revisions

From Wikipedia, the free encyclopedia
Browse history interactively
← Previous edit
Content deleted Content added
VisualWikitext
clean up, replaced: licenced → licensed using AWB
Citation bot (talk | contribs)
Bots
5,358,565 edits
Add: date, title. Changed bare reference to CS1/2. | Use this bot. Report bugs. | Suggested by Grimes2 | #UCB_webform 159/848
 
(42 intermediate revisions by 24 users not shown)
Line 1: Line 1:
{{about|the bank of Ghana|the bank of Ethiopia|Nib International Bank|Pakistan|NIB Bank}}
{{Infobox company
{{Infobox company
|name = National Investment Bank
| name = National Investment Bank Ghana Limited
|logo = National Investment Bank logo.jpg
| logo = National Investment Bank logo.jpg
|logo_size = 300px
| logo_size = 300px
| image = National Investment Bank au Ghana 02 (cropped).jpg
|type = Private<br />[[Parastatal]]
| type = [[Private company]], [[Parastatal]]
|slogan =your business is our business
|foundation = 1963
| foundation = {{start date and age|1963}}
|location = [[Accra]], [[Ghana]]
| location_city = [[Accra]]
| location_country = [[Ghana]]
|key_people = '''Elizabeth Solomon'''<br/>[[Chairman|Acting Chairperson]] <br/> '''Mr. Ernest Agbesi'''<br/>[[Managing Director]]
| locations = 52 [[bank branch|branches]]
⚫
|num_employees =
| key_people = Michael Ayesu <br />Ag. Board Chairman
⚫
|revenue = {{profit}}:Aftertax:US$4 million (GHS:7.5 million) (2011)<ref>[http://allafrica.com/stories/201205150607.html December 2011 Aftertax Profit]</ref>
<br />Samuel Sarpong<br />[[Managing Director]]<ref>{{Cite news|url=http://allafrica.com/stories/201205150607.html|title=Ghana: NIB Declares Profit Again|date=2012-05-15|work=Public Agenda (Accra)|access-date=2017-08-17}}</ref><ref>{{Cite web |url=http://www.nib-ghana.com/en/about-us/board-of-directors.php |title=The Board of Directors At National Investment Bank |access-date=2012-05-15 |archive-date=2012-03-17 |archive-url=https://web.archive.org/web/20120317164956/http://www.nib-ghana.com/en/about-us/board-of-directors.php |url-status=dead }}</ref>
⚫
|assets = US$468.5+ million (GHS:878.9 million) (2011)
⚫
| num_employees =
⚫
|industry = [[Financial Services]]
⚫
| revenue = {{profit}}:Aftertax:US$4 million (GHS:7.5 million) (2011)<ref>[http://allafrica.com/stories/201205150607.html December 2011 Aftertax Profit]</ref>
⚫
|products = [[Loans]], [[Savings]], [[cheque|Checking]], [[Investments]], [[Debit Cards]], [[Credit Cards]], [[Mortgages]]
⚫
| assets = US$468.5+ million (GHS:878.9 million) (2011)
⚫
|homepage = [http://www.nib-ghana.com/ Homepage]
⚫
| industry = [[Financial services]]
⚫
| products = [[Loans]], [[Savings]], [[cheque|Checking]], [[Investments]], [[Debit Cards]], [[Credit Cards]], [[Mortgages]]
⚫
| homepage = {{url |http://www.nib-ghana.com/ }}
}}
}}


'''National Investment Bank Ghana Limited''', commonly referred to as '''National Investment Bank''', normally abbreviated to '''NIB''', is a [[parastatal]] [[private bank]] in [[Ghana]]. It is one of the commercial banks licensed by the [[Bank of Ghana]], the national banking regulator.<ref>[http://www.bog.gov.gh/index.php?option=com_content&view=article&id=82&Itemid=124 List of Licensed Commercial Banks In Ghana]</ref>
'''National Investment Bank''', normally abbreviated to '''NIB''', is a [[state owned]] [[commercial bank]] in [[Ghana]]. It is one of the commercial banks licensed by the [[Bank of Ghana]], the national banking regulator.<ref>[http://www.bog.gov.gh/index.php?option=com_content&view=article&id=82&Itemid=124 List of Licensed Commercial Banks In Ghana]</ref>
NIB was form to promote industrialization of all sectors in the country. It has undergone management and financial restructure to help it attain higher financial levels across the world.<ref>{{cite web | url=https://siga.gov.gh/sector/national-investment-bank/ | title=National Investment Bank }}</ref>


⚫
NIB is a medium-sized financial services provider in Ghana. {{asof |December 2011}}, the total valuation of the bank's assets was approximately US$468.5 million (GHS:878.9 million), with shareholders' equity of approximately US$47 million (GHS:88.1 million).<ref>{{Cite news|url=http://allafrica.com/stories/201205150607.html|title=Ghana: NIB Declares Profit Again|date=2012-05-15|work=Public Agenda (Accra)|access-date=2017-08-17}}</ref>
==Overview==

⚫
NIB is a medium-sized financial services provider in Ghana. {{asof |December 2011}}, the total valuation of the bank's assets was approximately US$468.5 million (GHS:878.9 million), with shareholders' equity of approximately US$47 million (GHS:88.1 million).<ref>[http://allafrica.com/stories/201205150607.html December 2011 Financial Data]</ref>
==Mission==
The bank mission is to be the best in customer relationship and satisfaction, and also to create the best value for their share holders.<ref>https://www.nib-ghana.com/ {{Bare URL inline|date=August 2024}}</ref>


==History==
==History==
The origins of the bank's history can be traced back to the aftermath of the Second World War (WWII). During this period, there were agitations among the indigenous population due to the influx of foreign imports. In response to these concerns, a widespread boycott was organized by the local community, led by the Association of West African Merchants (AWAM).<ref name=":0" /> Recognizing the need to address these issues and promote the involvement of private indigenous individuals in the business sector, the colonial administration took significant steps.<ref>{{Cite web |title=National Investment Bank |url=https://siga.gov.gh/sector/national-investment-bank/ |access-date=2023-10-14 |website=SIGA: State Interests and Governance Authority |language=en-US}}</ref>
The bank was established by the [[Government of Ghana]] in 1963, as a national [[International financial institutions|development bank]]. Later, the bank was granted a commercial banking license by the [[Bank of Ghana]], the national banking regulator.

As a result, the Gold Coast Industrial Development Corporation (GCIDC) was established in 1952, with allocated budgetary resources to provide financial support to indigenous entrepreneurs for the establishment of their businesses.<ref name=":0" />

The GCIDC played a pivotal role in fostering entrepreneurship among the indigenous population, particularly in sectors such as furniture making and baking. This intervention not only supported local businesses but also enhanced the skills of carpenters and bakers by introducing mechanized sawmills and electric bakeries.<ref>{{Cite web |title=National Investment Bank Ltd |url=https://www.businessghana.com/ |access-date=2023-10-14 |website=BusinessGhana}}</ref> The GCIDC also modernized laundry activities, which had traditionally been manual. This was particularly significant as it addressed the practice of the Gold Coast intelligentsia, who were sending their suits to the [[United Kingdom]] for laundering.

The enactment of the Act provided the framework for the National Investment Bank (NIB) to embark on joint ventures. This was in response to the financial constraints faced by Ghanaian manufacturers and the private sector in initiating startup ventures. NIB, with its capacity to provide loans and equity, initiated over 100 joint enterprises, including some regional development corporations that are no longer operational. Notably, major industries such as [[Nestlé|Nestle Ghana Limited]], Novotel (now known as the Accra City Hotel), Kabel Metal (now Nexans Kabelmetal), and Aluworks significantly benefited from equity participation and financial support.<ref name=":0">{{Cite web |title=About Us |date=4 October 2022 |url=https://www.nib-ghana.com/about-us/ |access-date=2023-10-14}}</ref>

In 2021, the government entrusted NIB Bank with a vital mission: to establish Ghana as the industrial hub of Africa. Hon Ken Ofori-Atta, in a statement to the NIB, encouraged the bank's Board of Directors to put in the effort needed to transform the bank into a profitable national asset. It's worth noting that in 2020, the bank received a significant infusion of GHC 800 million to bolster its capital position.<ref>{{Cite web |title=National Investment Bank Board Inaugurated {{!}} Ministry of Finance {{!}} Ghana |url=https://mofep.gov.gh/news-and-events/2021-11-10/national-investment-bank-board-inaugurated |access-date=2023-09-28 |website=mofep.gov.gh}}</ref> However, NIB could not meet its objective.<ref>{{Cite web |date=2023-07-25 |title=BoG, government in talks to assess viability of state-owned National Investment Bank - Governor |url=https://www.ghanaweb.com/GhanaHomePage/business/BoG-government-in-talks-to-assess-viability-of-state-owned-National-Investment-Bank-Governor-1811417 |access-date=2023-09-28 |website=GhanaWeb |language=en}}</ref>

In July 2023, the bank underwent a comprehensive review to evaluate its sustainability as a state-owned financial institution. Dr. Ernest Addison highlighted that the bank, along with several other financial institutions, grappled with the challenge of being under-capitalized. This issue was part of the broader financial sector cleanup carried out in 2022.<ref>{{Cite web |date=2022-04-12 |title=Banking sector clean-up: The different costs revealed by government |url=https://www.ghanaweb.com/GhanaHomePage/business/Banking-sector-clean-up-The-different-costs-revealed-by-government-1514129 |access-date=2023-09-28 |website=GhanaWeb |language=en}}</ref><ref>{{Cite web |date=2020-02-20 |title=Ghana's banking sector clean-up has created a more sustainable industry - Africa 2020 - Oxford Business Group |url=https://oxfordbusinessgroup.com/reports/ghana/2020-report/economy/restoring-confidence-a-sector-clean-up-led-by-regulators-has-resulted-in-a-smaller-but-more-sustainable-industry |access-date=2023-09-28 |language=en-US}}</ref><ref>{{Cite web |title=Request For Expressions of Interest - (GH-MOF-FSD-315018-CS-INDV) {{!}} Ministry of Finance {{!}} Ghana |url=https://mofep.gov.gh/adverts/2022-09-27/request-for-expressions-of-interest-gh-mof-fsd-315018-cs-indv#:~:text=In%20line%20with%20the%20above,dubbed%20the%20Banking%20Sector%20Cleanup. |access-date=2023-09-28 |website=mofep.gov.gh}}</ref>



The Government of Ghana contemplated a strategic move, suggesting that ADB might assume control of NIB to initiate a restructuring process. This decision arose from NIB's ongoing struggle to achieve profitability, leading to the realization that the government couldn't sustainably fund the bank any longer.<ref>{{Cite web |date=2023-09-05 |title=Government considers takeover of NIB by ADB - MyJoyOnline.com |url=https://www.myjoyonline.com/government-considers-takeover-of-nib-by-adb/ |access-date=2023-09-28 |website=www.myjoyonline.com |language=en-US}}</ref>
==Ownership==
The shares of [[stock]] of the National Investment Bank are 100% owned by the [[Government of Ghana]].


The decision has faced criticism from the minority group in parliament. They argue that since the Government already holds a majority stake of over 60% in ADB, the move to have ADB take over NIB raises concerns and questions about the practicality of the decision.<ref>{{Cite web |date=2023-09-28 |title=Minority kicks against handing over NIB to ADB over liquidity challenges |url=https://www.ghanaweb.com/GhanaHomePage/business/Minority-kicks-against-handing-over-NIB-to-ADB-over-liquidity-challenges-1852853 |access-date=2023-09-28 |website=GhanaWeb |language=en}}</ref><ref>{{Cite web |date=2023-09-28 |title=Government wants to sell NIB and ADB to cronies - Minority fights proposed merger - MyJoyOnline.com |url=https://www.myjoyonline.com/government-wants-to-sell-nib-and-adb-to-cronies-minority-fights-proposed-merger/ |access-date=2023-09-28 |website=www.myjoyonline.com |language=en-US}}</ref>
==Leadership==
[[Afede XIV|Togbe Afede XIV]] is Board Chairman; Ernest Mawuli Agbesi is Managing Director


==Branch network==
==Branch network==
{{asof|March 2011}}, the bank maintains a network of 29 branches
{{asof|September 2017}}, the bank maintains a network of 52 branches
<ref>[http://www.nib-ghana.com/en/branches.php?pg=46 Branches of National Investment Bank]</ref>
<ref>{{Cite web |url=http://www.nib-ghana.com/en/branches.php?pg=46 |title=Branches of National Investment Bank |access-date=2011-02-28 |archive-date=2010-07-25 |archive-url=https://web.archive.org/web/20100725175620/http://www.nib-ghana.com/en/branches.php?pg=46 |url-status=dead }}</ref>
==Governance==
The [[Chairperson]]) [[Board of Directors]] is '''Togbe Afede XIV'''. The [[Managing Director]] and [[Chief Executive Officer]] of the bank is '''Ernest Mawuli Agbesi'''.<ref>[http://allafrica.com/stories/201205150607.html Key People At National Investment Bank]</ref><ref>[http://www.nib-ghana.com/en/about-us/board-of-directors.php The Board of Directors At National Investment Bank]</ref>


==External links==
==Products==
1. Retail banking
* [http://www.nib-ghana.com/en/ Website of National Investment Bank]
2. SME banking
* [http://www.bog.gov.gh/ Website of Bank of Ghana]
3. Corporate banking
4. Digital banking
5. Treasury service and investments
6. International trade and payments.<ref>.https://www.nib-ghana.com/</ref>


==See also==
==See also==
*[[List of banks in Ghana]]
*[[List of banks in Ghana]]
*[[Economy of Ghana]]
*[[Economy of Ghana]]
{{Portal|Banks}}


==References==
==References==
Line 50: Line 68:
{{Economy of Ghana}}
{{Economy of Ghana}}


⚫
[[Category:Companies of Ghana]]
[[Category:Banks of Ghana]]
[[Category:Banks of Ghana]]
⚫
[[Category:Companies based in Accra]]
[[Category:Banks established in 1963]]
[[Category:Banks established in 1963]]
[[Category:Accra]]
[[Category:1963 establishments in Ghana]]

Latest revision as of 14:32, 23 August 2024

This article is about the bank of Ghana. For the bank of Ethiopia, see Nib International Bank. For Pakistan, see NIB Bank.
National Investment Bank Ghana Limited
Company typePrivate company, Parastatal
IndustryFinancial services
Founded1963; 61 years ago (1963)
Headquarters
Accra
,
Ghana
Number of locations
52 branches
Key people
Michael Ayesu
Ag. Board Chairman
Samuel Sarpong
Managing Director[1][2]
ProductsLoans, Savings, Checking, Investments, Debit Cards, Credit Cards, Mortgages
RevenueIncrease:Aftertax:US$4 million (GHS:7.5 million) (2011)[3]
Total assetsUS$468.5+ million (GHS:878.9 million) (2011)
Websitewww.nib-ghana.com

National Investment Bank, normally abbreviated to NIB, is a state owned commercial bank in Ghana. It is one of the commercial banks licensed by the Bank of Ghana, the national banking regulator.[4] NIB was form to promote industrialization of all sectors in the country. It has undergone management and financial restructure to help it attain higher financial levels across the world.[5]

NIB is a medium-sized financial services provider in Ghana. As of December 2011, the total valuation of the bank's assets was approximately US$468.5 million (GHS:878.9 million), with shareholders' equity of approximately US$47 million (GHS:88.1 million).[6]

Mission

[edit]

The bank mission is to be the best in customer relationship and satisfaction, and also to create the best value for their share holders.[7]

History

[edit]

The origins of the bank's history can be traced back to the aftermath of the Second World War (WWII). During this period, there were agitations among the indigenous population due to the influx of foreign imports. In response to these concerns, a widespread boycott was organized by the local community, led by the Association of West African Merchants (AWAM).[8] Recognizing the need to address these issues and promote the involvement of private indigenous individuals in the business sector, the colonial administration took significant steps.[9]

As a result, the Gold Coast Industrial Development Corporation (GCIDC) was established in 1952, with allocated budgetary resources to provide financial support to indigenous entrepreneurs for the establishment of their businesses.[8]

The GCIDC played a pivotal role in fostering entrepreneurship among the indigenous population, particularly in sectors such as furniture making and baking. This intervention not only supported local businesses but also enhanced the skills of carpenters and bakers by introducing mechanized sawmills and electric bakeries.[10] The GCIDC also modernized laundry activities, which had traditionally been manual. This was particularly significant as it addressed the practice of the Gold Coast intelligentsia, who were sending their suits to the United Kingdom for laundering.

The enactment of the Act provided the framework for the National Investment Bank (NIB) to embark on joint ventures. This was in response to the financial constraints faced by Ghanaian manufacturers and the private sector in initiating startup ventures. NIB, with its capacity to provide loans and equity, initiated over 100 joint enterprises, including some regional development corporations that are no longer operational. Notably, major industries such as Nestle Ghana Limited, Novotel (now known as the Accra City Hotel), Kabel Metal (now Nexans Kabelmetal), and Aluworks significantly benefited from equity participation and financial support.[8]

In 2021, the government entrusted NIB Bank with a vital mission: to establish Ghana as the industrial hub of Africa. Hon Ken Ofori-Atta, in a statement to the NIB, encouraged the bank's Board of Directors to put in the effort needed to transform the bank into a profitable national asset. It's worth noting that in 2020, the bank received a significant infusion of GHC 800 million to bolster its capital position.[11] However, NIB could not meet its objective.[12]

In July 2023, the bank underwent a comprehensive review to evaluate its sustainability as a state-owned financial institution. Dr. Ernest Addison highlighted that the bank, along with several other financial institutions, grappled with the challenge of being under-capitalized. This issue was part of the broader financial sector cleanup carried out in 2022.[13][14][15]


The Government of Ghana contemplated a strategic move, suggesting that ADB might assume control of NIB to initiate a restructuring process. This decision arose from NIB's ongoing struggle to achieve profitability, leading to the realization that the government couldn't sustainably fund the bank any longer.[16]

The decision has faced criticism from the minority group in parliament. They argue that since the Government already holds a majority stake of over 60% in ADB, the move to have ADB take over NIB raises concerns and questions about the practicality of the decision.[17][18]

Branch network

[edit]

As of September 2017, the bank maintains a network of 52 branches [19]

Products

[edit]

1. Retail banking 2. SME banking 3. Corporate banking 4. Digital banking 5. Treasury service and investments 6. International trade and payments.[20]

See also

[edit]

References

[edit]
  1. ^ "Ghana: NIB Declares Profit Again". Public Agenda (Accra). 2012-05-15. Retrieved 2017-08-17.
  2. ^ "The Board of Directors At National Investment Bank". Archived from the original on 2012-03-17. Retrieved 2012-05-15.
  3. ^ December 2011 Aftertax Profit
  4. ^ List of Licensed Commercial Banks In Ghana
  5. ^ "National Investment Bank".
  6. ^ "Ghana: NIB Declares Profit Again". Public Agenda (Accra). 2012-05-15. Retrieved 2017-08-17.
  7. ^ https://www.nib-ghana.com/ [bare URL]
  8. ^ a b c "About Us". 4 October 2022. Retrieved 2023-10-14.
  9. ^ "National Investment Bank". SIGA: State Interests and Governance Authority. Retrieved 2023-10-14.
  10. ^ "National Investment Bank Ltd". BusinessGhana. Retrieved 2023-10-14.
  11. ^ "National Investment Bank Board Inaugurated | Ministry of Finance | Ghana". mofep.gov.gh. Retrieved 2023-09-28.
  12. ^ "BoG, government in talks to assess viability of state-owned National Investment Bank - Governor". GhanaWeb. 2023-07-25. Retrieved 2023-09-28.
  13. ^ "Banking sector clean-up: The different costs revealed by government". GhanaWeb. 2022-04-12. Retrieved 2023-09-28.
  14. ^ "Ghana's banking sector clean-up has created a more sustainable industry - Africa 2020 - Oxford Business Group". 2020-02-20. Retrieved 2023-09-28.
  15. ^ "Request For Expressions of Interest - (GH-MOF-FSD-315018-CS-INDV) | Ministry of Finance | Ghana". mofep.gov.gh. Retrieved 2023-09-28.
  16. ^ "Government considers takeover of NIB by ADB - MyJoyOnline.com". www.myjoyonline.com. 2023-09-05. Retrieved 2023-09-28.
  17. ^ "Minority kicks against handing over NIB to ADB over liquidity challenges". GhanaWeb. 2023-09-28. Retrieved 2023-09-28.
  18. ^ "Government wants to sell NIB and ADB to cronies - Minority fights proposed merger - MyJoyOnline.com". www.myjoyonline.com. 2023-09-28. Retrieved 2023-09-28.
  19. ^ "Branches of National Investment Bank". Archived from the original on 2010-07-25. Retrieved 2011-02-28.
  20. ^ .https://www.nib-ghana.com/
Retrieved from "https://en.wikipedia.org/enwiki/w/index.php?title=National_Investment_Bank&oldid=1241856964"