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Tuesday, 23 January 2018

TWB TO DISCUSS RECAPITALISATION IN KEY MEETING

Dar es Salaam. Shareholders of the Tanzania Women’s Bank (TWB) will meet in Dar es Salaam on February 1 and discuss the bank’s capitalisation, among other issues.

A statement from the bank released yesterday noted that during the 8th Annual General Meeting (AGM), shareholders will receive a report on the bank’s capitalisation status and propose the best way to recapitalise it.

“The meeting, to be held on Thursday, February 1, 2018 at New Africa Hotel, will discuss the following points: receiving the bank’s operations report for the year to December 31, 2016; receiving and discussing the bank’s capitalisation status in line with the Bank of Tanzania (BoT) directives; receiving and discussing the various options on how to recapitalise the bank in line with BoT’s recommendations,” the statement said.

A fortnight ago, BoT cancelled the licences of five banks and placed them under receivership.

BoT said Covenant Bank for Women, Efatha Bank Limited, Njombe Community Bank Limited, Meru Community Bank Limited, and Kagera Farmers’ Cooperative Bank Limited breached capitalisation rules.

“The aforesaid banks are critically undercapitalised,” BoT said, adding that “continuation of their operations in their current position is detrimental to the interests of depositors and poses a risk to the stability of the financial system.”

At the same time, BoT issued a six-month ultimatum to TWB, Kilimanjaro Co-operative Bank Ltd and Tandahimba Community Bank Ltd to raise the statutory Sh2 billion capital or have their licences revoked.


The Citizen

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