Banking shake-up: Standard Chartered to sell wealth & retail business to Absa Group
The Urban Gazette Business Desk
Kampala/Uganda In a major move signalling shifting tides in Uganda’s financial sector, Standard Chartered has agreed to sell its wealth-management and retail banking operations in Uganda to Absa Group, a large South African lender.
What’s happening
Standard Chartered will retain its corporate banking operations in Uganda, while Absa will take over the retail and wealth side of the business.
The deal forms part of Standard Chartered’s previously announced strategy to exit retail operations in several African countries (including Uganda, Botswana, Zambia) in favour of focusing on more profitable segments like corporate and investment banking.
Absa, fresh from its separation from Barclays in 2020, is pursuing a pan-African expansion under its CEO Kenny Fihla. The Ugandan acquisition furthers that ambition.
Why it matters
For Ugandans: The transition may bring changes in service, fees, product offerings and possibly job impacts for staff transitioning between banks.
For the market: It reflects confidence in Uganda’s retail banking growth potential by a pan-African player, and signals that global banks are re-shaping African footprints.
For regulation: The Bank of Uganda and other regulators will need to oversee the transition to ensure consumer protection, job safeguarding, and smooth integration of operations and systems.
Longer-term: As Africa’s banking landscape evolves, local players and new entrants may vie to fill niches abandoned by global banks retrenching or refocusing.
Key challenges and questions
How will Absa handle the legacy customer base of Standard Chartered in Uganda—particularly high-net-worth and wealth clients accustomed to premium services?
What will happen to Standard Chartered’s staff in the retail/wealth parent segment—will there be redundancies, reassignments or retention of talent?
Will customers face disruptions during the handover of accounts, systems, and service platforms?
Will Absa bring in new product lines, digital innovations or partnerships to compete aggressively in Uganda’s fast-growing consumer banking market?
A joint statement by the two banks noted that the deal “aligns with Standard Chartered’s global strategy to sharpen its focus on core markets and client segments” and “reinforces Absa’s footprint across Africa.”
Looking ahead
In the coming weeks, both banks are expected to submit detailed transition plans to Uganda’s banking regulator, including timelines, customer-communication strategies, and staff transfer arrangements. It will be important to monitor how customers respond—particularly around any changes in fees, service continuity and digital banking experiences.
Uganda banking, Standard Chartered, Absa Group, retail banking, wealth management, Africa finance
