Uganda’s banking sector is undergoing a fresh round of restructuring after regulators approved a deal that will see Absa Bank Uganda acquire Standard Chartered’s Wealth and Retail Banking business.

The decision adds to a steady wave of consolidation across East Africa’s financial sector, where lenders are rethinking their mix of retail, wealth, and corporate banking.

The Bank of Uganda’s approval clears the sale of Standard Chartered Bank Uganda’s Wealth and Retail Banking business to Absa Bank Uganda.

The transfer marks a key regulatory milestone, although completion still depends on remaining conditions in the agreement between the parties.

The deal involves Standard Chartered Bank Uganda and is part of the lender’s broader effort to simplify its operations across Africa.

It also signals a continued shift in strategy by global banks that are scaling back exposure to consumer banking in selected markets.

Standard Chartered refocuses on corporate banking

Standard Chartered said the move supports its long-standing plan to concentrate on corporate and investment banking in Uganda.

The bank will retain its presence in the country, focusing on trade finance, capital markets, and advisory services for business clients.

Sanjay Rughani, chief executive officer and managing director of Standard Chartered Uganda, said the decision reflects the bank’s effort to align with its global strategy and strengthen core business lines.

The lender said it will continue serving corporate clients despite exiting parts of the retail segment.

Absa expands retail and wealth footprint

For Absa, the acquisition strengthens its position in Uganda’s retail and wealth banking market and supports its broader East Africa expansion strategy.

The bank plans to absorb the business into its existing systems and digital platforms.

Absa Bank Uganda Managing Director David Wandera said the integration is expected to widen customer access and improve service delivery through digital channels.

The move positions Absa to compete more strongly in a segment where regional banks are increasingly taking the lead.