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{
    "id": 897909,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/897909/?format=api",
    "text_counter": 100,
    "type": "speech",
    "speaker_name": "Nyatike, ODM",
    "speaker_title": "Hon. Tom Odege",
    "speaker": {
        "id": 13459,
        "legal_name": "Tom Mboya Odege",
        "slug": "tom-mboya-odege"
    },
    "content": " Thank you, Hon. Speaker. Pursuant to the provisions of Standing Order 44(2)(c), I wish to request for a Statement from the Chairperson of the Departmental Committee on Finance and National Planning regarding the imminent takeover of the National Bank of Kenya Limited (NBK) by Kenya Commercial Bank (KCB). The notice issued by KCB Group PLC regarding its intervention to acquire all the ordinary shareholdings of the NBK is suspect and of concern because the shareholding of NBK is majorly the National Treasury and the National Social Security Fund (NSSF). This makes the NBK a government-controlled bank. It is against this background that the Government ought to intervene so as to safeguard its interests, the pensioners and employees’ welfare and ensure that the transaction is done in an open and competitive manner; and that public participation is conducted to involve all stakeholders. Hon. Speaker, realizing that KCB Group PLC is a huge conglomerate with an asset base of over Kshs500 billion, the intended takeover of NBK with an asset base of Kshs100 billion is doubtful as to whether it is a wise decision in terms of long-term profitability or a strategic creation of a monopoly in the financial sector in the long run. This is especially now that the NBK is facing financial and management challenges. It is against this background that I seek a Statement from the Departmental Committee on Finance and National Planning. The Committee should inquire into and report on: (i) whether the acquisition is a merger or a takeover; (ii) whether NBK is properly and professionally valued to safeguard pensioners, employees and taxpayers’ interests; (iii) whether the process of selecting KCB Group PLC was done competitively and in a transparent manner; (iv) whether the Government is creating a monopoly in the banking sector; The electronic version of the Official Hansard Report is for information purposes only. Acertified version of this Report can be obtained from the Hansard Editor."
}