StanChart executive heads to Barclays as Adan is promoted
Jeremy Awori, in a file picture. Mr Awori has been appointed the new chief executive officer (CEO) for Barclays Bank Kenya, replacing Adan Mohamed who takes up a new role in the lender’s sub-Saharan business. Photo/FILE
What you need to know:
The bank appointed Jeremy Awori, 42, as managing director of the Kenyan unit in changes that have been prompted by the re-organisation of the Barclays PLC Africa’s operations.
Mr Awori will be reporting to Mr Mohamed under the new structure, which consolidates the bank’s holding on the continent under one wing.
Barclays Bank Kenya (BBK) has appointed the chief executive of Standard Chartered Tanzania to head its Kenyan business following the promotion of Adan Mohamed who moves to the lender’s Africa office as chief administrative officer.
The bank appointed Jeremy Awori, 42, as managing director of the Kenyan unit in changes that have been prompted by the re-organisation of the Barclays PLC Africa’s operations.
Mr Awori will be reporting to Mr Mohamed under the new structure, which consolidates the bank’s holding on the continent under one wing.
Mr Mohamed has been the managing director for Barclays East and West Africa and he will sit in Nairobi under the newly created chief administrative officer’s position. The appointments take effect from February next year.
“As part of our One Africa Strategy, we are continuing with efforts to join our capabilities and our people across Africa not only to become one bank but also to uniquely position ourselves to deliver a superior client experience on the continent,” said Kennedy Bungane, Barclays Africa Chief Executive and Head of Africa Group Strategy in a statement.
“Adan’s performance at Barclays Kenya fits the profile of the leadership we seek; to drive an ambitious Pan-African foray that touches the entire financial services spectrum as the leading financial services group in the continent.”
The reorganisation plan dubbed “One Africa”’ will be completed next year and involves the merger of Barclays’ Africa operations with that of its South African subsidiary Absa Bank.
Barclays acquired a 56 per cent stake in South Africa’s third-largest bank in 2005 but the two have remained separate entities outside South Africa —in one case, Tanzania running parallel operations in the same country.
Barclays Plc is expected to merge operations in Ghana, Kenya, Botswana, Zambia, Uganda and Tanzania with Absa into an Africa unit and the shareholding of the Kenyan unit will be held Barclays Africa Limited.
The London based bank will remain the majority shareholder of the combined African operations.
Mr Mohamed will sit on the board of the 10 Africa’s Barclays unit, excluding South Africa operations. “The CAO will oversee operations across Kenya, Uganda, Barclays Tanzania, National Bank of Commerce Tanzania Seychelles, Zimbabwe, Namibia, Mozambique, Ghana and Nigeria,” said Barclays in a statement.
“Further, the branding, marketing, communication and citizenship portfolios for Barclays Africa will report into the CAO.”
Mr Awori joined StanChart Kenya in 1997 where he worked as the bank’s regional sales director for Middle East, South Asia and Africa. He holds pharmacy degree from the University of Manchester (UK) and an MBA (Finance and International Business) from McGill University, Canada.
Mr Awori becomes the second StanChart executive to be appointed CEO of a Nairobi bourse listed lender this year.
National Bank of Kenya in August appointed Munir Ahmed to replace Reuben Marambii as managing director.
Mr Munir worked at StanChart for 16 years, mainly in South Africa, where he was director in charge of regional transaction banking for Africa’s operation.
The new BBK head joins in a year that has seen the lender record the slowest profit growth among top banks in the nine months to September, making it fourth profitable lender from the top position in 2010.
The bank’s net profit increased 2.2 per cent to Sh6.2 billion in the period to September on lower growth of its interest income relative to its peers Standard Chartered Bank, KCB and Equity Bank.
BBK’s interest income increased to 10 per cent to Sh11 billion in what analysts attributed to its cautious lending policy, especially in the high interest rate regime that raised the possibility of defaults.
This strategy has seen its rival’s race ahead on the profit front with indigenous banks like Equity and KCB expected to grow faster on the back of their foreign subsidiaries, which foreign banks like Barclays and StanChart lack.
KCB’s net profit grew 45.6 per cent to Sh9.3 billion in the period to September; Equity earnings were up 13.8 per cent to Sh8.3 billion while StanChart’s was up 66.3 per cent to Sh6.4 billion.
Analysts say Barclays has stricter credit approval processes and this has seen it extend loans at a slower pace compared to its rivals.
