Home BusinessBanking Tanzania: Akiba Bank, Malawi Lender Transact Sh17 Billion in Merger

Tanzania: Akiba Bank, Malawi Lender Transact Sh17 Billion in Merger

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Dar es Salaam — Akiba Commercial Bank (ACB) has received Sh17 billion strategic investments from the National Bank of Malawi (NBM) in a merger that was concluded last month.

Through the investment, ACB has strengthened its capital base to meet requirements of the Bank of Tanzania (BoT) for operations of commercial banks in the country.

Addressing a press conference yesterday, ACB’s acting managing director Juliana Swai said the merger aimed at strengthening the bank’s capital as required by the BoT.

“ACB has been looking on market demands as well as a strategic investor or shareholder in order to strengthen the bank and improve its services as well as starting more other services required in the country’s market,” she said.

She pledged major and positive changes in services delivery as well as systems of services delivery, saying customers will be serviced with highest integrity and professionalism based on experience from both institutions.

“We also understand the bilateral relations between the two countries in various areas including trade and creating an enabling environment for trade prosperity through easy access of financial services.

“The investment will create an enabling environment of doing business for countries in the Southern African Development Community (Sadc).”

Media outlets in Malawi reported that NBM – which is the country’s largest lender by market capitalization and assets – had acquired a 51 percent stake in Tanzania’s ACB in a deal worth $7.31 million.