Ecobank Reacts To IMF Report

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Created on Wednesday, 11 February 2015 00:00

Ecobank Reacts To IMF Report

10 February 2015

The Ecobank Group has stated that information released by the International Monetary Fund (IMF) in its report titled, ‘Pan-African Banks – Opportunities and Challenges for Cross-Border Oversight,’ which bothered on internal governance at Ecobank recently, dates back as far as 18 months ago between mid-2013 and early 2014.

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In a statement issued and signed by Richard Uku, Group Head of Corporate Communications, Ecobank explained that it dealt conclusively with those internal governance issues at the time, a process that culminated in the dismissal of then Group Chief Executive Officer (CEO) Thierry Tanoh and his replacement by Albert Essien in March 2014.

The IMF has recently issued a media statement acknowledging that references to governance at Ecobank in the report were from the 2013/2014 period and not references to governance at Ecobank currently.

The statement noted that IMF staff were aware that Ecobank had taken a number of important and appropriate steps to strengthen governance and avoid risks to financial stability.

It acknowledged recent news that Ecobank had raised equity capital for the group and announced an equity capital increase to meet regulatory capital requirements in Nigeria.

“The IMF welcomed these developments as steps in the right direction. The Ecobank Group reaffirms its financial strength and strong governance as a systemically important banking group in Africa. Ecobank has total assets of over US$23 billion.

“As the IMF statement alluded to in the last six months, Ecobank has raised approximately US$1 billion in combined equity and debt capital for its parent company and its business in Nigeria, the largest of the group’s affiliates.”

Ecobank said it was compliant with regulatory requirements, including those for liquidity and capital, across its network. It continues to be supportive of regulatory reforms that make the African banking system safer, more transparent and more accountable.

Albert Essien, Group CEO

Source: Daily Guide