The Sierra Leone Commercial Bank Limited (SLCB), the most successful indigenous financial institution in the country, on Thursday March, 2024 announced profit for the year ended 31st December, 2022 NLe 86, 063, 852.00 (Eighty-Six Million, Sixty-Three Thousand, Eight Hundred and Fifty-Two Leones New Notes) during its 50th Annual General Meeting (AGM) at the Pent House of the Bank headquarters on Siaka Stevens Street in Freetown. The Bank initially announced a whooping profit of NLe 119, 000, 000, 000 (One Hundred and Nineteen Billion Leones Old Notes) before tax and after the deduction of tax and other expenditures, the SLCB Limited hit a net profit of NLe86, 063, 852, 000 (Eighty-Six Million Sixty-Three Thousand, Eight Hundred and Fifty-Two Leones New Notes) for the Financial Year 2022. Chairman of the AGM, Ira Nyake Amara, made the announcement after the Auditors’ Report and the Annual Financial Statements of the Bank for the year ended 31st December, 2022 was presented by the engagement partner on the audit resulting in the Independent Audit Report, Ivan Jones, signed DDO 31st December, 2022 respectively.

Amongst other things, the Independent Audit Report audited the Financial Statements of the Sierra Leone Commercial Bank (SLCB) Limited set out on pages 11 to 111 that comprised statement on financial position as at 31st December, 2022, a statement of comprehensive income, a statement of changes in equity and statement of cash flows for the year ended as a note to the Financial Statements including a summary of significant accounting policies.

In the Independent Audit Report, the professional auditors in their opinion stated that SLCB Limited’s Financial Statements present fairly in all material respect the financial position of the Bank as at 31st December, 2022, and its financial performance and its cash flows for the year then ended in accordance with international financial report standards and the requirements of the Company’s Act and Bank Act 2019 and the Bank Regulations 2003.

On the basis for opinion, the professional auditors conducted their audit in accordance with international standards and auditing, and their responsibility under those standards were further described in the auditors’ responsibilities for the audit of the Financial Statements Section over their report.

The audit firm is independent of the Bank in accordance with the International Ethics Standards Board for Accountants (IESBA), a Code of Ethics for professional accountants and they fulfilled their other ethical responsibilities in accordance with the IESBA Code.

The auditors believe that the audit evidence they have obtained is sufficient and appropriate to provide a basis for their opinion, noting that the key audit matters, which are those matters that in their professional judgment were the most significant in their audit of the Financial Statements of the then period, but they determined that there were no such matters to report.
Regarding Report on other Legal and Regulatory Requirements, the auditors stated that in accordance with the Banking Act 2019, the report that they were able to obtain all information and explanations required by them for the efficient performance of their duties, noting that the Bank’s transactions were within its powers and the Bank has complied with the relevant provisions of the Act.
The auditors however explained that the Bank didn’t comply with the Banking Act 2019 in relation to the following hazards 31st December, 2022: the Non-performing Loan Ratio was 16% exceeded the allowable maximum of 10%; the Tax Reserve Ratio of 7% was below the prescribed minimum ratio of 12%; the Local Asset Ratio of 50% was less than the required minimum ratio of 70%; and, the Liquidity Ratio of 50% was lower than the tolerated minimum ratio of 70%. During questions and comments, representative of the Financial Secretary in the Ministry of Finance thanked the auditors for successfully carrying out their assignment.
The rep also thanked the Management of SLCB Limited for their performance as compared to the bark days when the Bank was nothing to write home about.
The rep reiterated the challenges highlighted by the audit report and cautioned that they would continue to hold the management for their performance since the Bank is owned by the general public. One of the Board of Directors, Mr. Mohamed Fuaad Daboh, who stepped in for the Board Chair who was unavoidably absent owing to a dying minute national duty, extended his sincere thanks to the auditors and the legal retainers but especially the regulators whose guidance is material to moving the institution forward. He praised the majority shareholders’ representative, Mr. Santigie Conteh, who spoke on behalf of the shareholders.
From the flow of his heart, Mr. Daboh thanked the management, adding that for all what they have done over the years or for the period under review, the management has stood out exceptionally and that is what is expected but they have over performed their expectations.
“Ladies and gentlemen, personally, I want to thank you very much,” Mr. Daboh urged the Management and Staff to clap for themselves.
On behalf of the Board of Trustees, Mr. Daboh threw the challenge to the Management and Staff of the Bank for the coming years for them to see an outstanding performance again.
“We recognized that there is a year lapse in this report but I’m pretty sure that we already know the outcome for 2023 and that again is a big thank you for management,” he said, adding, “We look forward for better performance in the coming years. The Secretary to the Board and Director of Corporate Affairs, Mr. Victor Thomas Biandoma Esq., described the Annual general Meeting as an annual event where the Bank would present its audited Financial Statements and referred to the process as a transformation.
According to the Director, “The AGM means that we are doing business fairly; it means that we operate within the laws of Sierra Leone; it shows that we are working effectively and efficiently within our mandate as a financial institution,” Mr. Biandoma averred. He commended the audit report and assured that as a management, they would address the challenges highlighted by the Independent Audit Report. The Director also spoke about the effectiveness and efficiency of their operational delivery system and assured that only the sky would be their limit in forging ahead as the most effective indigenous financial agency of the Government of Sierra Leone (GoSL) and the people of Sierra Leone.