Access Bank’s recent acquisition of African Banking Corporation of Tanzania (ABCT) Limited signifies a significant milestone in its expansion strategy, particularly within the East African region. This move, announced in an NGX filing dated June 10, 2024, underlines Access Bank’s commitment to fostering intra-African trade and establishing a strong foothold in Tanzania, which serves as a pivotal gateway for regional and global commerce.
Roosevelt Ogbonna, Managing Director of Access Bank, emphasized the strategic importance of this acquisition, stating, “This strategic move represents a notable step towards setting a railroad in Tanzania for intra-African trade within the East African region, Africa, and the rest of the world.” He further highlighted the bank’s dedication to building a robust banking network in East Africa, driving innovation, and embracing positive change. The acquisition is viewed as a catalyst for unlocking new growth opportunities and enhancing operational capabilities in Tanzania.
Upon the completion of the acquisition, Access Bank plans to integrate ABCT with its existing consumer, private, and business banking operations, which were bolstered by the recent acquisition of Standard Chartered. This consolidation aligns with Access Corporation’s overarching vision of becoming the Most Respected African Bank in Africa, while simultaneously pursuing diverse revenue streams across local, regional, and international markets.
Read also:National Bank of Kenya finds a new owner in Access Bank as part of East African expansion.
By expanding its presence in Tanzania, Access Bank aims to capitalize on emerging opportunities in trade, payments, and specialized commerce, catering to the evolving needs of both business and retail customers in the East African region.
John Imani, Managing Director of African Banking Corporation (Tanzania) Limited, expressed optimism about the future prospects of the acquisition, stating, “The completion of our transaction with Access Bank Plc not only underscores the strong confidence of Access Bank in our operations and the Tanzanian market but delivers new and exciting opportunities for our customers, employees, and stakeholders.” He envisages a collaborative and prosperous future as part of the Access Bank family, driving economic growth and promoting financial inclusion across Tanzania.
Access Corporation’s strategic approach to expansion involves a consistent pattern of acquiring complementary businesses across Africa. Earlier in the year, the bank expanded its portfolio by acquiring ARM Pensions, a leading pension firm, and Megatech Insurance Brokers Ltd, an insurance brokerage company licensed and regulated by the National Insurance Commission.
These strategic acquisitions underscore Access Bank’s commitment to diversifying its offerings, strengthening its market position, and fostering sustainable growth across the continent.
