DRC: Central Bank opposes BIAC dissolution

Nov 14, 2016

The shareholders voted for a dissolution of the bank a few days earlier.

The Central Bank of Congo (BCC) has voiced its opposition to the dissolution of the Banque Internationale pour l'Afrique au Congo (BIAC).

This intervention comes a few days after BIAC shareholders announced their decision to liquidate the bank's assets and repay all depositors.

Calling this decision "null and void", the BCC invoked "a procedural violation" and "a violation of the law", recalling that "the decision to dissolve was taken by the defaulting shareholders without the assistance of the Provisional administration".

"As soon as a bank is placed under the administration of the central bank, no one has the right to liquidate it, including shareholders or the Commercial Court," Plante Kibidha, spokesman for the governor of the BCC, told AFP.

The central bank also said that a Chinese investor is interested in purchasing the bank before the end of the year.

BIAC, one of the largest banks in the Democratic Republic of Congo, has been experiencing liquidity problems in the past few years and closed a number of its
branches this year. Its Director, Michel Losembe, also announced his departure earlier this year.ADNFCR-2976-ID-801828276-ADNFCR