Page 26 - RFHL ANNUAL REPORT 2024_ONLINE

24 Chairman’s Report continued

The talented and committed RFHL team members across the market and developing economies are projected to see a
16 countries where we operate made possible the extraordinary modest slowdown to 4.3 percent from 4.4 percent last year.
year the Group enjoyed. They are exceptional. On behalf of In North America, the U.S. and Canadian economies are likely
the Board, I wish to say how immensely proud we are of our to experience a slight uptick in economic activity, with the
entire team. Every day and in every way, they never waver in U.S. job market maintaining strong employment levels. The
their commitment and belief, with regards to the crucial role Eurozone saw growth improve to an estimated 0.9 percent,
they play in supporting our broad universe of stakeholders and up from 0.5 percent in 2023, driven by strength in the services
enabling so many to live their dreams. sector, which offset weaker performance in manufacturing.
Despite softer growth in China and India, emerging and
developing Asia is estimated to grow at 5.4 percent, surpassing
Results growth projections for most other regions.
I am pleased to announce that RFHL has achieved a profit
attributable to equity holders of the Parent of $2 billion for Global inflation continued to ease in 2024, estimated at 5.9
the year ending September 30, 2024. This reflects an increase percent compared to 6.7 percent in 2023. This reduction was
of $0.25 billion, or 14.6 percent, compared to the 2023 profit mainly due to a deceleration of price increases in goods which
of $1.75 billion. Excluding the impairment losses reported by helped offset the persistently high inflation in services. With
RBL Ghana in the prior period, core profits after tax and Non- inflation on a downward trend, major central banks, including
controlling interest increased by $170 million, or 9.2 percent. the Bank of England, the European Central Bank, and the U.S.
This strong performance was driven by solid loan growth Federal Reserve System, lowered their policy interest rates,
across all business segments and effective cost management initiating what is expected to be a gradual easing of monetary
strategies, enabling us to achieve record profitability and policy stances.
further strengthen our capital base. This positions us well to
invest in future growth opportunities.
The economies in which RFHL operates
A detailed analysis of the Group’s financial performance is In 2024, economic activity grew across all countries where
available in the Group President and CEO’s Discussion and the RFHL Group operates, driven primarily by the tourism,
Analysis on pages 26 to 38 of this report. agriculture, construction, energy, and mining sectors. Many
tourism-dependent economies saw stay-over arrivals return
The Board of Directors has declared a final dividend of $3.55 to or even surpass pre-COVID-19 levels, fueled largely by
per share, bringing the total dividend to $5.70 per share for strong demand from the U.S. market. Commodity-producing
the fiscal year (2023: $5.20), an increase of 9.6 percent or $0.50, economies within the Group benefited from record-high gold
over the previous year. With a closing share price of $111.93, prices and a slight rise in oil prices this year. Guyana stood
this equates to a dividend yield of 5.09 percent (2023: 4.30 out with robust economic growth, with real GDP growth
percent). The Group’s capital adequacy ratios remain robust projected to reach 42.3 percent in 2024. As commodity food
across all countries and at the consolidated level. prices increased at a slower pace compared to 2023, headline
inflation eased across all RFHL countries. In Ghana and
The final dividend will be paid on December 4, 2024, to Suriname, IMF-supported programs played a crucial role in
shareholders on record as of November 21, 2024. stabilising domestic currencies in 2024. In the previous year,
both countries experienced significant currency depreciation,
which contributed to inflation rates of 39.2 percent in Ghana
The global economy and 52.8 percent in Suriname. For the first eight months
The global economy demonstrated resilience once again in of 2024, inflation averaged 20.1 percent in Suriname and
2024, with the International Monetary Fund (IMF) projecting 20.2 percent in Ghana. Despite some improvements, fiscal
real Gross Domestic Product (GDP). growth at 3.2 percent, a challenges remain a concern in several of the RFHL countries.
slight decline from the 3.3 percent growth recorded in 2023.
This performance was supported by the continued easing
of inflation, despite challenges posed by ongoing conflicts Outlook
in Europe and the Middle East, rising trade tensions, and With inflation on a downward trend and major central banks
global uncertainty. Advanced economies are expected to beginning to adopt more accommodative policies, recession
match the 1.7 percent growth seen in 2023, while emerging fears—particularly in the U.S.—have lessened significantly,