Rédaction Africa Links 24 with Uganda Monitor
Published on 2024-03-27 19:37:14
The Central Bank has recently declined Stanbic Bank’s nominee for the position of Chief Executive Officer. This decision came after the outgoing CEO, Anne Juuko, was promoted to a regional position in Nairobi. The board of directors of Stanbic Bank had nominated Kenneth Mvuselelo Fakudze for the role, who currently oversees the bank’s operations in Swaziland. However, the Bank of Uganda, through its executive director in charge of bank supervision, Mr. Tumubweinee Twinemanzi, rejected the nomination of Mr. Fakudze.
In response to the nomination, Mr. Twinemanzi stated, “Bank of Uganda hereby declines the request from Stanbic Bank Uganda Ltd, to appoint Mr. Kenneth Mvuselelo Fakudze as the Chief Executive.” The Central Bank cited the Financial Institutions (Amendment of Third Schedule) Instrument, 2022, which outlines the criteria for determining a “fit and proper person” to manage or direct a financial institution. The exact reasons for the rejection and whether any of the criteria were not met have not been disclosed. Both the Central Bank and Stanbic Bank have been approached for further clarification on the matter.
The departure of Anne Juuko has left a vacancy at the top of Uganda’s largest bank in terms of assets and profitability. The role of CEO at Stanbic Bank is considered one of the most prestigious positions in the banking industry. In a related development, Diamond Trust Bank has appointed Godfrey Sebaana, a highly experienced Ugandan banker with twenty years in the industry, as its new chief executive. Sebaana is set to assume his new role next week, bringing a wealth of knowledge and expertise to the position.
The rejection of Stanbic Bank’s nominee highlights the rigorous oversight and scrutiny that financial institutions are subject to in Uganda. The importance of having a “fit and proper person” at the helm of these institutions cannot be understated, as they play a crucial role in the country’s financial stability and economic growth. The decision to decline a nominee for such a key position underscores the Central Bank’s commitment to upholding the highest standards of governance and accountability in the banking sector.
As the search for a new CEO at Stanbic Bank continues, the industry will be closely watching to see who ultimately fills this pivotal role. The leadership of the country’s largest bank will have a significant impact on the financial landscape and the overall economy. The appointment of a new CEO will not only shape the direction of Stanbic Bank but will also influence the broader banking sector in Uganda.
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