AGIB shareholder picks up bone with management

Hatib Janneh

Hatib Janneh, one of the Gambian shareholders of the Arab Gambian Islamic Bank, has expressed disappointment with the recent modus operandi of the bank, saying since FinBank Plc took over AGIB, the Gambian subsidiary has not been employing Gambians as it should.

In his intervention during the annual general meeting of the bank held on 8 May at Coco Ocean in Bijilo, Mr Janneh noted that most of the staffs (including senior management) of other banks in the country are Gambians while AGIB has failed to improve on this area and at the same time going backward rapidly in financial performance than imagined. 

“So I hope you will excuse me if I express my disappointment on this matter,” he said. 

Mr Janneh, who told AGIB management that his involvement in the Gambia banking sector started long ago, said: “I can remember criticizing Standard Chartered Bank on this matter 25 to 30 years ago and for me to start criticizing AGIB, of which I am a shareholder, I think is too much. 

“I hope this matter will be looked at very carefully because I think we (local shareholders) will not be satisfied with a bank that continues not to employ Gambians because maintaining foreign staff among other things increases the expenses of the bank and also deny locals of that opportunity to be employed. I hope to see some improvement at the next AGM.”

Are 13 Banks Too Many for Gambia?

Bankers divided in opinion

The question of whether 13 banks in The Gambia are too many for The Gambia with about 1.8 million people (2010 estimates) is hot in the hearts and minds of many people, especially financial players and banking practitioners in the country, who have divergent views over the issue.

The influx of banks in the country over the years has made the country a highly competitive financial sector in Africa.

With a banking population of less than 25% of about 1.8 million people, it is just normal that concerns are raised on whether 13 banks is not too much for the system, which is why some senior  bank officials continue to make viable comments on the issue, with some nursing the view that “Gambia is too small for 13 banks”.

Dodou Nyang, Sales and Marketing Manager of Trust Bank

For instance, Trust Bank Sales and Marketing Manager Dodou Nyang is reported to have said that The Gambia is too small for 13 commercial banks, hence making the country the most competitive banking country in Africa.

This is partly responsible for the failure or bad performance of some banks in the last two years, says Mr Nyang, who is of the view that in the next two to three years, there would be more bank failures “because the country is too small for 13 banks”. 

“Inevitably, the Gambian banking industry will be reduced to may be seven, six, or eight banks at the most in the next five years,” Mr Nyang said.

GTBank outdoes competition in the banking industry

delivers remarkable results

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Guaranty Trust Bank has been able to take the fierce competition in the Gambia’s banking industry to its side.

The bank has positioned itself among the strongest banks in the country as it delivered remarkable result for 2010, which shows its balance sheet growing through increased profit, enhanced deposit portfolio as well as increased shareholders fund.

“In spite of the challenges posed by the global financial crisis and keen competition in the Gambian banking industry, Guaranty Trusty Bank (Gambia) Ltd has posted remarkable results for the year ended 31 December 2010,” a statement from the bank says.

Olalekan Sanusi, GTBank MD

The 2010 audited account of the bank, released after the bank’s Annual General Meeting held in July this year, indicate that GTBank’s profit before tax rose by 6% from D75 million in 2009 to D79.5 million in 2010, while gross earnings grew by 6.6% from D349 million in 2009 to D372 million.