NAIROBI, Kenya, December 10 – Nedbank Group and Ecobank Transnational Incorporated (ETI), the parent company of the Ecobank Group have entered into a strategic business cooperation to provide customers access to a combined pan-African banking network covering 30 countries.
Through the relationship, customers will have the convenience and benefit of a ‘one bank’ experience across the combined footprint of both banking groups with over 1,000 branches and banking outlets across Africa.
Arnold Ekpe, Chief Executive Officer of ETI, said: “We are excited about this strategic alliance which is designed to build a true pan-African champion. It represents a win-win solution for institutions. In our view, it represents not only a commitment to Africa, but also a commitment to providing world class service across the countries in which we operate.”
Ecobank which is currently operating in 25 countries has the largest geographic banking coverage in Africa in relation to the number of countries. It operates mainly in West, Central and East Africa in countries such as Ghana, Nigeria and Kenya. The Nedbank Group operates as one of the four largest banking groups in South Africa with banking operations in five other southern African countries.
The alliance will enable the two banks to extend their coverage across Africa on a cooperative basis whilst managing costs and risk effectively. Ecobank will retain its focus on expansion into less mature, growing markets and will also enhance its service offering in southern Africa.
Nedbank will retain its focus on banking operations in the Southern Africa Development Community and together with Ecobank, provide its clients with comprehensive banking services in West, Central and East Africa and grow its banking services in these markets.
“We are committed to becoming southern Africa’s most highly rated and respected bank and this alliance allows us to focus on this vision, while providing our clients access to the largest geographic banking footprint in Africa. In Ecobank we have a partner who shares similar values and who has extensive local knowledge of doing business across Africa. Ecobank has demonstrated an ability to expand and grow in new markets. The alliance will help us grow our business in the rest of Africa and together we will explore new investment opportunities,” Chief Executive Officer of Nedbank Group Tom Boardman said.
Through the alliance both groups will be positioned to deliver country specific tailored banking solutions across the African continent in the most convenient and simplified way to corporate and individual clients spanning day-to-day transactional banking, financing and investment banking advisory services.
Graham Dempster the Chief Executive of Nedbank Corporate who has been involved in the formation of the alliance said the strategies of Nedbank and Ecobank are complementary.
Both banking groups adopt decentralised business models where they base responsibility and decision-making close to the clients in the individual businesses, which operate under a standard set of policies, processes and procedures.
This relationship will be governed by an alliance committee comprised of senior executives of both banks, structured to include specialised sub-committees for execution of the alliance initiatives.