CBK okays purchase of Oriental Bank by Tanzanian lender

Tanzania’s Bank M has become the first Tanzanian bank to enter the Kenyan market. This is after the Central Bank of Kenya (CBK) approved the purchase of Oriental Commercial Bank by M Holdings, which is Bank M’s parent company. M Holdings now controls 51 per cent of Oriental Bank.

“Its entry into the Kenyan market strengthens the ongoing East African Community (EAC) integration,” CBK said in a statement Thursday.

Kenyan banks over the years have made forays into their East African neighbours’ markets, while other East African countries have largely missed on operations in Kenya.

CBK said the new entity will be named M Oriental Commercial Bank Limited. The acquisition will be completed in September.