Kingdom Bank now AfrAsia bank runs out of cash, only allowing US$50 maximum withdrawals

AfrAsia Bank


AfrAsia Bank Limited (AfrAsia) depositors yesterday complained bitterly that they had failed to access cash from the bank.

While AfrAsia was recently limiting withdrawals due to solvency challenges, matters came to a head yesterday when depositors spent the whole day at the bank’s Graniteside branch without accessing cash.

A few customers were eventually allowed into the banking hall late afternoon and were allowed to make withdrawals of only $50.

A few other customers were still milling outside the banking hall, trying to negotiate their way in.

AfrAsia last week admitted that it was suffering the effects of the prevailing acute liquidity crisis.

“…liquidity constraints in the local economy have affected our normal operations,” the bank’s spokesperson Sekai Chitemerere said.

“In an effort to ensure that all our clients have access to available cash, our branches have had to introduce intermittent daily withdrawal limits,” she said, adding that the institution was “working flat out to normalise the situation.”

This comes as the bank, recently re-branded from Kingdom Bank following a  62,5 percent share takeover by AfrAsia Bank Mauritius (ABM), is also making frantic efforts to raise $100 million in fresh capital.

Source: Daily News