Absa–Standard Chartered Wealth and Retail Business Acquisition Deal Enters Regulatory Review as Sector Impact Becomes Clear Absa’s takeover of Standard Chartered’s retail and wealth business marks a seismic shift in Uganda’s banking landscape, boosting Absa’s deposits, expanding its assets, and deepening its retail reach as regulators begin their merger review. If approved, the deal could redefine competition and reshape market leadership heading into 2026.

Less than a year after Standard Chartered announced its plan to exit its Wealth and Retail Business (WRB) segment, the long-anticipated transfer to Absa Uganda has entered a decisive phase.

On 24 October, Absa confirmed that it would acquire Standard Chartered’s entire WRB portfolio, including clients, staff, deposits, and assets.

It is one of the most significant realignments in Uganda’s banking sector in recent years.

The deal has now moved to the COMESA Competition Commission (CCC), which on 18 November issued a formal Notice of Inquiry.

The inquiry will evaluate whether the transaction could reduce competition in the COMESA region or conflict with public-interest standards.

The deal stems from Standard Chartered’s November 2024 decision to divest from retail banking and concentrate on Corporate and Investment Banking and cross-border markets.

For Absa, the acquisition represents a major strategic shift, strengthening its position in the retail and wealth management segments and aligning with its Pan-African growth ambitions.

By taking over WRB’s UGX 926 billion in deposits and UGX 372 billion in assets, Absa significantly boosts its standing in Uganda’s banking hierarchy.

As of December 2024, Absa held UGX 4.57 trillion in customer deposits. With WRB’s deposit base added, Absa’s deposits rise to approximately UGX 5.5 trillion, a 20% increase.

This places Absa ahead of Centenary Bank’s UGX 4.21 trillion and secures its position among the country’s top three banks.

The strengthened deposit mix also reduces Absa’s reliance on corporate and institutional funding, lowering its cost of funds at a time when interest rates are rising.

Absa’s total assets stood at UGX 5.43 trillion at the close of 2024. Integrating WRB’s UGX 372 billion in assets brings the aggregate to around UGX 5.8 trillion, representing immediate balance-sheet expansion.

Although this remains below Stanbic’s UGX 10.4 trillion and Centenary’s UGX 7.1 trillion, the acquisition significantly enhances Absa’s competitiveness.

Beyond numerical growth, the acquisition deepens Absa’s presence in personal lending, mortgages, and SME credit, areas that defined Standard Chartered’s WRB franchise.

These segments typically offer higher returns and more stable fee income compared to corporate lending.

With Absa’s non-funded income already up 37.9% in 2024, the new portfolio supports its ambition to expand fee-based and wealth-oriented offerings.

WRB’s customer base also provides Absa an immediate runway to scale digital banking, wealth solutions, and bundled products under the “Your Story Matters” brand.

Absa’s capital strength positions it well for this integration. The bank closed 2024 with a total capital ratio of 22.72%, well above regulatory requirements, supported by an equity base of UGX 814 billion and a profit after tax position of UGX 177.9 billion, a 22% increase.

WRB itself generated UGX 56.2 billion in profit before tax in 2024, equivalent to about one-third of Absa’s profit before tax.

Incorporating WRB’s performance could raise Absa’s consolidated profit before tax from UGX 178 billion to more than UGX 230 billion, narrowing the gap with Centenary Bank’s UGX 297.1 billion and inching it closer to Stanbic’s UGX 478 billion.

The bank’s cost-to-income ratio, which improved from 60% in 2023 to 56% in 2024, may temporarily rise due to integration costs; however, it is expected to decline again by 2026 as digital and operational synergies materialize.

For Standard Chartered, the WRB segment was a key contributor, accounting for roughly 33% of its total revenue, which underscores the magnitude of what Absa is absorbing.

The strategic implications are far-reaching. The acquisition instantly strengthens Absa’s retail franchise and provides it with access to thousands of affluent and mass-market customers, a segment where Standard Chartered has excelled.

This is expected to accelerate the adoption of digital channels, wealth products, and investment offerings.

Absa’s Managing Director, David Wandera, noted recently that the deal would broaden the bank’s retail and wealth management offerings while increasing convenience and value for customers.

The move also fits seamlessly within Absa Group’s Pan-African strategy, which prioritizes Uganda as a high-growth market for inclusive finance and customer-first innovation.

Regulatory scrutiny is now underway, with the COMESA Competition Commission saying the review will determine whether the transaction may substantially lessen competition or affect public interest across COMESA member states.  

Once approved and fully integrated, the acquisition is set to reshape Absa’s identity.

It enhances scale, boosts profitability, deepens retail reach, and positions the bank not just as a fast-growing contender but as a fully diversified universal bank.

For Uganda’s banking sector, the deal marks a shift toward consolidation, competitive realignment, and renewed emphasis on digital-driven retail growth.

And for Absa, it sets the stage for a transformative climb into the top tier of Uganda’s banking leaders heading into 2026.