Bank of Tanzania and Fair Competitions Commission have already approved the new bank formed after NIC acquired majority of assets and liabilities of CBA. The new bank will also inherit existing CBA customers.
Both CBA and NIC Bank are in the process of concluding other regulatory conditions, however. The BoT approved the merger through a letter dated on 14 February 2020 signed by Deputy Governor, Dr Bernard Kibesse. Once completed NCBA Bank Tanzania Limited will become Tier 2 capital bank.
“The name NCBA Bank symbolises the coming together of two great banks. This is the beginning of a new journey, bringing the best of both banks to build a bigger, stronger institution to support Tanzania’s economy,” CBA Tanzania Limited’s CEO, Gift Shoko.
NIC Bank’s CEO, Margaret Karume backed Shoko’s observation saying, “As part of the merger journey, we will spend the next month finalising the process of harmonising our systems so that our customers can enjoy seamless services across our channels in Tanzania.” “Our roll-out plans will also include the unveiling of the new NCBA group identity,” Karume added.
As part of the regional integration of the NCBA group’s businesses in East Africa, Rwanda’s completed regulatory changes this year while a similar process is due to be completed in Uganda by the end of this quarter.
NCBA Bank Tanzania Limited will be part of the NCBA Group PLC, which was formed in October last year following approval by Central Bank of Kenya and Kenya National Treasury to endorse NIC Group Plc and CBA.