Chase Bank Depositors updated on SBM Deal

Yesterday, officials from the Central Bank (CBK) and the Kenya Deposit Insurance Corporation (KDIC) met depositors of Chase Bank too outline the way forward following the offer deal between the State Bank of Mauritius (SBM) and the CBK for the acquisition of selected assets and liabilities of Chase Bank that is still in receivership.

Peter Nduati, the founder and CEO of the Resolution Group, and a Chase Bank customer tweeted some highlights from the Nairobi meeting.

  • At the #Chasebank depositors meeting. CBK Governor briefing on the back story.
  • SBM will take a maximum of Staff and Branches. There is no compulsion on the part of the staff to move.
  • Moratorium deposits will have 75% of the money move to SBM out of which 50% will have ready access in a current account whilst the balance remains at 7% interest
  • CBK says operationalization is a matter of weeks as far as depositors are concerned. Loans may take 2 months.

  • To paraphrase, we will lose 25% of the deposit but will get 37.5% immediately. 37.5% will be availed in 3 annual tranches with a 7% interest.
  • Its a better position for depositors but not optimum. At least 37.5% will be available and the balance will be in a term deposit earning interest.
  •  For a collapsed bank, I guess it’s the best deal. We have waited almost two years.
  • Non-moratorium depositors move to SBM.
  • I haven’t seen him (Zaf) or Duncan since 2016. Are they here even?

One thought on “Chase Bank Depositors updated on SBM Deal”

  1. mary

    Thankful for whatever we can get, but those goons will still have to be prosecuted. And they’d better not think to hide assets through children and relatives. In this day and age, it is possible to trace who is benefitting from our hard-earned savings and they will all be sued, whether by state or by individuals. Shameful legacy that crooks leave to their progeny who will forever be known as children of common thieves.

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