Overview:
In a statement, BoU said it will work closely with Standard Chartered Bank Uganda Limited to ensure the proposed process complies with all regulatory requirements.
The Bank of Uganda (BoU) has confirmed receiving a proposal from Standard Chartered Bank Uganda Limited regarding the potential sale of its wealth management and retail banking operations in the country.
In a statement, BoU said it will work closely with Standard Chartered Bank Uganda Limited to ensure the proposed process complies with all regulatory requirements.
“The transition is expected to take 18 to 24 months to complete. During this period, the BoU encourages Standard Chartered Bank Uganda Limited’s clients to continue transacting as usual until the process is finalized,” Central Bank communications director Kenneth Egesa said on Monday.
Egesa said the proposal aligns with Standard Chartered PLC’s broader strategic focus to enhance its corporate and institutional banking model in Africa.
“The BoU assures the public that Standard Chartered Bank Uganda Limited remains fully compliant with all statutory and prudential requirements, including liquidity and solvency standards. The bank continues to operate soundly, and clients are encouraged to transact with confidence,” it added.
Last week, Standard Chartered PLC (the Group) announced that it is exploring the potential sales of its wealth and retail banking (WRB) businesses in Uganda, Botswana, and Zambia.
CEO of Standard Chartered Bank Uganda, Sanjay Rughani said: “ As a result, we intend to exit from our WRB business in Uganda, subject to regulatory approvals. Standard Chartered will remain in Uganda, with a sole focus on our Corporate and Institutional Banking (CIB) business. We see substantial opportunities in infrastructure, sustainable finance, and trade, reinforcing our commitment to these areas within Uganda and, indeed Africa.”
He further stated that, “We are taking a phased approach and the process is expected to take between 18 to 24 months to complete. Therefore, we urge the public and our customers to remain calm. We remain open for business; our branches and systems continue to work as normal – it is business as usual. In addition, we are committed to managing this process in partnership with our key stakeholders to minimise disruption for clients. We will keep our stakeholders fully informed as this process goes on.”