NBE Approves Wegagen Bank’s New CEO

ADDIS ABABA – The National Bank of Ethiopia(NBE) has approved the appointment of Aklilu Wubet as chief executive officer for Wegagen Bank.

NBE announced the approval of the new CEO in a letter signed on January 28, 2022 and sent to the Bank, Wegagen said on Wednesday.

In the letter, the NBE stated that after evaluating the relevant documents and evidences it has approved the appointment of Aklilu Wubet as CEO of the Wegagen Bank.

Prior to the approval, Aklilu – a PhD candidate in the Banking System at Addis Ababa University – has been serving as acting CEO of the Bank.

Aklilu has been working in the financial industry in different capacities for about three decades, including at Commercial Bank of Ethiopia, Lion International Bank, Bank of Abyssinia and Nile Insurance.

As of January 28, 2022, he has officially become the seventh CEO of Wegagen Bank.

Aklilu is now expected to deal with the bank’s decreasing annual profit and lead Wegagen’s push to meet the minimum 5-billion birr capital threshold by 2026 as per NBE’S Capital requirement directive amended last year.

Wogagen secured 193.1 million birr in profit before tax during the 2020/21 fiscal year, showing 82% drop when compared with 1.07 billion birr in the preceding year.

Its annual report primarily blamed the drop in profit on a staggering 410% surge in loan impairment charges to 789.5 million birr.

In the same period, the paid-up capital of Wegagen, established in 1997, increased by 400 million birr to 3.4 billion birr. It currently has reached 4000 shareholders with a network of 398 branches across the nation.