Bank of Namibia (BoN)

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The Bank of Namibia (BoN) has announced that it will vigorously defend its supervisory actions to ensure that the country’s financial system remains sound and stable.

This follows an approach by Trustco Group Holdings (TGH) to the High Court of Namibia to seek recourse against BoN’s decision to deny TGH’s N.dollars 1 billion investment into the Namibia banking industry.

BoN’s Director of Strategic Communications and International Relations, Kazembire Zemburuka, in a media statement today, said the central bank has taken note of the legal action launched by Trustco Holdings.

“The financial system remains stable and sound due to the effective regulatory and supervisory framework in place, which fosters a world-class financial system,” Zemburuka explained.

In the aftermath of two years of correspondence and threats between Trustco Bank Namibia Ltd (TBN), TGH Limited and BoN to enable TBN to enter into full commercial banking operations, and after TGH offered to capitalise on TBN’s balance sheet by a further N.dollars 1 billion, the central bank still denied the application, said Quinton van Rooyen, Group Managing Director of Trustco Group.

Source: The Namibian Press Agency