National Bank of Commerce (Uganda)

For other banks called National Bank of Commerce, see National Bank of Commerce.

National Bank of Commerce (Uganda)

Type	Private
Industry	Financial Services
Founded	1991
Headquarters	13A Parliament Avenue, Kampala, Uganda
Key people	Mathew Rukikaire Chairman[1]
Products	Loans, Checking, Savings, Investments
Total assets	US$20 million (2008)

National Bank of Commerce (Uganda) (NBCU) is a commercial bank in Uganda. The bank provides banking services to individuals and to small and medium business enterprises. As of April 2009, the bank was the 22nd largest commercial bank in Uganda with an estimated asset valuation of approximately US$20 million or slightly more than 0.25% of all bank assets in the country. ^[2]

History

The bank was formed in 1991, and was named Kigezi Bank of Commerce, with a mission to provide banking services and inexpensive loans to the Kigezi Community. During the mid 1990s, the Gidoomals, a family of Asian descent and Kenyan citizenship acquired 86% shareholding in the bank. In April 2008, the Gidoomal brothers sold their shares to Amos Nzeyi, Amama Mbabazi and Ruhakana Rugunda. The three, together with former Ugandan Finance Minister, Ezra Suruma, are shareholders and Directors of the bank.^[3] In July 2011, Emirates Link, an Abu Dhabi investment company, acquired shareholding in NBCU. Ugandan media reports indicated the bank will begin offering Islamic banking later in 2011.^[4]

Ownership

As of August 2010, the three largest investors in the bank were Nzeyi, Mbabazi and Rugunda. The three owned 86% of the bank between them. The remaining 14% was owned by 320 other investors who included Ezra Suruma, Jim Muhwezi and retired Supreme Court Justice George Wilson Kanyeihamba.^[5] In 2008, there were press reports of a pending merger or sale of the bank, but those plans fell through.^[6] In October 2009, the investors from Abu Dhabi, invested US$10 million in the bank, without assuming ownership.^[7]

In July 2011, the Bank of Uganda approved the purchase of up to 49% of the stock of the bank by the Abu Dhabi investment company Emirates Link, owned by Ahmed Darwish Almarar, who became Chairman of NBCU. The remaining shareholding is still being worked out at this time.^[8] In October 2011, following the cash injection of Shs12 billion (approx.US$4.5 million) by the Middle-Eastern investors, shareholding in the bank is now as depicted in the table below:^[9]

National Bank of Commerce (Uganda) Ownership

Rank Name of Owner Percentage Ownership 1 Emirates Link of Abu Dhabi 25.00 2 Amos Nzeyi 3 Amama Mbabazi 4 Ruhakana Rugunda 5 260+ Other Investors Total 100.0 Branch network National Bank of Commerce (Uganda) has its headquarters on Parliament Avenue, in Uganda's capital city, Kampala. The bank maintains a second branch in the town of Kabale in southwestern Uganda[10] ==Directors== The bank is governed by a Board of Directors. In October 2009, Amos Nzeyi stepped down from the post of Chairman of the Board, a post he had held since 1992. Ahmed Dagher then served as chairman from October 2009 until July 2011. [11] Ahmed Darwish Almarar, one of the non-Executive Directors, is the Chairman of the Board, effective July 2011. In October 2011, Ugandan media reported that Mathew Rukikaire was the Chairman of NBCU at that time.[12] See also List of banks in Uganda Banking in Uganda Proposed Merger with International Investment House Islamic Banking in Uganda External links Bank of Uganda Website Shareholding in National Bank of Commerce (Uganda) References ^ Mathew Rukikaire Is Chairman of NBCU ^ Asset Allocation Among Ugandan Banks ^ The history of National Bank of Commerce (Uganda) ^ Abu Dhabi Investors Take Over Local Bank ^ Shareholding in NBC (Uganda) ^ Proposed Merger of NBC with International Investment House of Abu Dhabi ^ Abu Dhabi Group Injects US$10 Million into NBC (Uganda) ^ Shareholding In National Bank of Commerce (Uganda) In July 2011] ^ [Shareholding In NBCU In October 2011] ^ Address of National Bank of Commerce Kabale Branch ^ Ahmed Dagher Was Chairman of the Board From October 2009 Until July 2011 ^ Mathew Rukikaire Is The Current Chairman of NBCU