StanChart Uganda to sell wealth, retail units to Absa

Standard Chartered Bank Uganda (StanChart) and Absa Bank Uganda, a wholly owned subsidiary of the Absa Group, have agreed on the sale of StanChart Uganda’s wealth and retail banking (WRB) business portfolio in Uganda.

 This follows StanChart’s November 27, 2024 announcement of its intention to explore a potential sale, in line with the bank’s global strategy to concentrate resources where it offers the most distinctive client proposition.

A statement from the lender, however, said StanChart’s corporate and investment banking business within Uganda will remain unaffected.

Under the agreement, all StanChart WRB clients and employees will transfer to Absa.

The two banks will work closelyto ensure a seamless transition for all stakeholders.

The transaction is subject to regulatory approvals. The signing ceremony took place at StanChart’s offices in Uganda, led by Uganda Board Chair Maria Kiwanuka and a Non-Executive Director of Absa Bank Uganda George Opio.

The event was attended by StanChart Kenya and Africa CEO Kariuki Ngari, StanChart Uganda MD Sanjay Rughani, who signed the agreement alongside Absa Bank Uganda Managing Director David Wandera.

Ngari said in November last year that the management set out how the bank was doubling down on the affluent and cross-border strategy.

“The sale of our wealth and retail banking business in Uganda to Absa marks an important milestone as we continue to accelerate income growth and returns. We look forward to working closely with Absa’s team over the coming months to ensure a smooth transition while safeguarding the interests of our valued clients and prioritising our employees,” he said.

Absa Group Executive for Africa Regions Charles Russon said the transaction supports Absa’s strategic Pan-African growth ambitions and further strengthens its position in Uganda’s financial services landscape.