In a statement filed at the Nigeria Stock Exchange (NSE), Access bank has announced the recipient of Central Bank of Nigeria (CBN) approval on its proposed expansion into the Republic of Cameroon.
This is coming years after the departure of another Nigerian group, Oceanic Bank International in Cameroonian market.
Further findings by Business Remarks revealed that the Nigeria’s largest lender, Access Bank is planning the entrance with an initial capital of $24.565 million.
To be headquartered at Douala, Cameroon’s economic capital, the administrative board of the Cameroonian subsidiary is constituted of seven members with only one Cameroonian, the legal notice published for the creation indicates.
These members are Patience Melone, Iyabode Soji-Okusanya, Fatai Oladipo, Abraham Aziegbe, Ibukunoluwa Odegbaike, and Elliz Nzo Azu.
Access Bank had secured a duration of 99 years to do business in the country with option of renewal and the bank has chosen Price Water House Coopers (PwC) as its external auditor.
PwC will among others, operate in the management of current accounts, savings collection, checks payment and credit granting.
However, it was gathered that as required by the rules in force, the launch of Access Bank Cameroon’s activities in Cameroon is still subject to the issuance, by the Ministry of Finance and the banking commission (COBAC), of various legal notices and authorizations to the bank’s shareholders.
More so, if it succeeds in launching its subsidiary in Cameroon, Access Bank Plc will become the 16th commercial bank to operate in the country and will meet one of its compatriots, United Bank of Africa (UBA), on that market to fight for market share mainly amongst Nigerian businesses.
According to a notification by the financial powerhouse, signed by Sunday Ekwuochi, the Company Secretary, extending its footprint to Nigeria’s eastern neighbour is in pursuance of the institution’s strategic objective of becoming “Africa’s Gateway to the world.”
“Access Bank Plc (‘the Bank’) is pleased to notify the Nigerian Stock Exchange that it has obtained the Central Bank of Nigeria’s ’No Objection’ to its proposed expansion into the Republic of Cameroon through the setting up of a banking subsidiary.
“The proposed expansion which is subject to the approvals of the regulatory authorities in the Republic of Cameroon is in pursuance of the Bank’s strategic objective to become Africa’s Gateway to the World. We are currently awaiting the regulatory approvals and will provide the market with updates in due course.”
Following the conclusion of merger with Diamond Bank last year, Access Bank is arguably Africa’s largest financial institution with about 30,000 staff across 592 branches, spanning three continents, 12 countries and with 29 million customers.