Guaranty Trust Bank (Uganda)

Guaranty Trust Bank (Uganda)
Company typeSubsidiary of Guaranty Trust Holding Company
IndustryFinancial services
Founded2008 (2008)
HeadquartersPlot 56 Kira Road, Kampala, Uganda
Key people
Jaqueline Busingye
Chairperson[1]
Oluwole Shodiyan
MD/CEO[1]
ProductsLoans, savings, investments, debit cards, credit cards
RevenueIncreaseAftertax: UGX1 billion (US$259,000) (2019)
Total assetsUGX:225 billion (approx. US$58.22million) (2019)
ParentGuaranty Trust Bank
Websitegtbank.co.ug/home/

Guaranty Trust Bank (Uganda), commonly referred to as GT Bank Uganda, is a Tier II credit services company in Uganda. It was previously licensed as commercial bank by Bank of Uganda, the central bank and the national banking regulator of that country.[2] The Bank of Uganda gave GTBank Uganda from 1 April 2024 until 30 June 2024 to transition from a Tier I commercial bank to a Tier II credit company, due to capitalization issues.[3]

Overview[edit]

As of December 2019, GT Bank Uganda had assets valued at UGX:225 billion (approx. US$58.22 million) with shareholders equity of UGX:38 billion (approx. US$9.83 million). That calendar year, the institution made UGX:2 billion (approx. $518,000) in pre-tax profit and UGX:1 billion (approx. $259,000) in after-tax profit, the first time the institution was profitable in the previous 12 years. GT Bank Uganda is a subsidiary of Guaranty Trust Bank (GTB), a Nigerian financial services conglomerate headquartered in Nigeria, with subsidiaries in several West, Central and East African countries.[4]

History[edit]

GT Bank (Uganda) was founded in 2008 as Fina Bank (Uganda), a subsidiary of the Fina Bank Group based in Kenya. In 2013, the Group sold 70 percent shareholding to GTB for a cash consideration of US$100 million.[5][6] In January 2014, the bank rebranded to its current name to reflect its current shareholding.[6][7]

Reclassification to Tier II class[edit]

In Q2 2022, the Ugandan Minister of Finance, in consultation with the Bank of Uganda, signed new regulations raising minimum capital levels for commercial banks from UGX:25 billion (approx. US$6.7 million) to UGX:150 billion (approx. US$40 million) by 30 June 2024. Due to its inability to raise the minimum capital requirements as stipulated, GTBank Uganda was authorized to downgrade to a Tier II credit financial institution, whose minimum capital requirements of UGX:25 billion (approx. US$6.8 million) it met, at that time.[8][9]

Branch Network[edit]

As of April 2024, GT Bank Uganda has a network of branches at the following locations:[10]

See also[edit]

References[edit]

  1. ^ a b GT Bank Uganda (2 April 2024). "The Board of Directors of GT Bank Uganda". GT Bank Uganda. Kampala, Uganda. Retrieved 2 April 2024.
  2. ^ Bank of Uganda (31 March 2023). "List of Licensed Commercial Banks As At March 2023". Bank of Uganda. Kampala, Uganda. Retrieved 2 April 2024.
  3. ^ Adonijah Ndege (27 March 2024). "GTBank loses commercial bank status after Bank of Uganda reclassification". TechCabal. Lagos, Nigeria. Retrieved 2 April 2024.
  4. ^ GTBank Group (April 2020). "GTBank Uganda Declares UGX2 Billion Profit After 12 Years of Operation". Guaranty Trust Bank. Lagos, Nigeria. Retrieved 2 April 2024.
  5. ^ BDA Reporter (November 2013). "Nigerian lender to buy 70 pc stake in Kenya's Fina bank". Business Daily Africa. Nairobi. Retrieved 3 November 2016.
  6. ^ a b "Fina Bank Uganda Sold To Nigerian Bank Group". Kampala. 23 January 2014. Retrieved 3 November 2016.
  7. ^ Kay, Chris (4 February 2014). "Nigeria's Guaranty Trust Completes Purchase of Kenya's Fina Bank". Bloomberg News. Retrieved 3 November 2016.
  8. ^ Osamu Ekhator (28 March 2024). "GTBank and 2 others to transition to credit institutions in Uganda by June". TechPoint Africa. Lagos, Nigeria. Retrieved 2 April 2024.
  9. ^ Christopher Kiiza (28 March 2024). "Financial Difficulties: 3 Banks Downgraded to Credit Institutions". Kampala, Uganda. Retrieved 2 April 2024.
  10. ^ GT Bank Uganda (2 April 2024). "List of GT Bank Uganda Branches". Linkedin.com. Retrieved 2 April 2024.
  11. ^ Vision Reporter (1 December 2009). "Fina Bank Targets Industrial Area". New Vision. Retrieved 3 November 2016.
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