AfricaPress-Tanzania: THE recent decision to merge Akiba Commercial Bank and National Bank of Malawi’s operations in the country is aimed at widening business scope, accelerating economic development of the people and supporting the government efforts to reduce the financial exclusion gap.
Speaking in Dar es Salaam this week, ACB’s acting Managing Director, Juliana Swai said the two banks merger has brought together complementary operations that are anticipated to bring about positive change in the banking industry as they have expertise and experience in the financial sector.
“Through this merger, Akiba Bank has managed not only to raise its capital but also will provide new and improved services through its digital products,” Swai explained while revealing that in an effort to ensure smooth take-off, NBM has injected 17bn/- to make ACB financially viable by meeting Bank of Tanzania’s capital requirement to operate as a commercial bank in the country.
She said the anticipated changes are expected to increase opportunities as well as improve services currently being offered by ACB and urged Tanzanians to be prepared for new experience of banking services.
“I welcome all our customers and the public at large to our bank to benefit from various products, services and opportunities that will improve their lives and grow their businesses,” she added while promising ACB customers more positive changes in service delivery.
“We as Akiba Bank believe that our clients will now be served with more expertise that is a result of years of experience shared by the two merged institutions but also a good friendship and historic trade relations that have existed between the two nations for so many years,” the ACB acting MD noted.
Describing the new ACB partner, Swai explained that, NBM is a financial institution established in 1971 as a result of a merger of two major banks, Barclays DCO and Standard Chartered South Africa. Currently, NBM is the leading bank in Malawi having inherited the great expertise of the two banks. Currently, NBM has a network of 33 service centres and has employed about 1,000 employees.
NBM is also the largest commercial bank in Malawi in terms of asset base, as well as being the most efficient and profitable. The bank is also listed on the Malawi Stock Exchange with an over subscription of 3.4 times.
In contrast, Akiba Bank which started its banking operations in 1997, has managed to more than 200,000 customers mainly in Dar es Salaam, Arusha, Mwanza, Mbeya, Kilimanjaro as well as the country’s capital, Dodoma.
