Westpac Tonga earns record profits of $7.5 million in 2006 [1]
Wednesday, March 7, 2007 - 16:00. Updated on Thursday, September 5, 2013 - 17:14.
The chairman of the board Alan Walter, noted that last year's redundancy payments to civil servants had helped fuel the $7,485,968 net profit, a 33% increase over its net profit for 2005 of $5,607,914.
He dedicated the success of the bank in 2006 to its founder, the late King Taufa'ahau Tupou IV.
In the 2006 Annual Report of the bank,the chairman stated that the bank was a result of a dream of the late king for a financial institution, "co-owned by Government and foreign counterparties, to provide full commercial banking services of international standards. His Majesy has left a legacy for leadership in the country, and the bank, being a model that intertwined international experiences with indigenous values. It is a strategy the bank embraced and will endeavour to live in memory and great respect to the founder of the bank."
The bank started operation in 1974 under the name Bank of Tonga, but in 2002 its name was changed to Westpac Bank of Tonga after Westpac Banking Corporation became the major shareholder with 60% and the Tongan government holding the other 40%.
Alan also stated in his report that one other significant factor that contributed to the record profit that the bank made in 2006 was the $30 million redundancy payment that government made in response to the 2005 civil servants' strike.
The General Manager of the Westpac Bank of Tonga, Mrs Mishka Tu'ifua attributed their success of achieving a record profit of $7.5 million for the bank to "the continued commitment and spirit of our staff who remained dedicated to the bank's vision despite the numerous challenges faced."