The Central Bank of The Gambia has ordered commercial banks operating in the country to dismiss non-Gambian employees by the end of the year. In a letter dated 19 September, the central bank instructed banks to phase out non-citizens who are not on approved expatriate quotas. The directive was signed by the bank's Second Deputy Governor, Ousman Mendy, and addressed to managing directors of all banks operating in the country.
The move affects Nigerian subsidiaries such as First Bank, Zenith, Access, Eco, and the Guaranty Trust Bank. According to the central bank, a recent industry study found that banks employ a large number of foreigners, violating The Gambia's Labour Act 2023 and Guideline 9 on expatriate staff. The study revealed that some banks allegedly recruited expatriate workers without adhering to the provisions that identify the circumstances under which expatriate workers can be employed and the quotas permissible.
The central bank's decision followed a meeting between the regulator and bank managing directors in August. During the meeting, they discussed concerns about the employment of non-Gambian workers in the banking sector. The regulator urged banks to adhere to the country's laws and strictly follow the central bank's guidelines. The banks were directed to ensure full compliance with the law and strict compliance with the central bank's guidelines.
The central bank instructed banks to replace dismissed non-citizens with qualified Gambians and put clear succession plans in place quickly. Banks were also asked to transfer skills and keep operations running smoothly during the transition. The regulator emphasized the need for banks to prioritize the employment of Gambian citizens and ensure that their operations are aligned with the country's labour laws.
The Labour Act 2023 and Guideline 9 on expatriate staff outline the conditions under which expatriate workers can be employed in The Gambia. The guidelines specify the quotas permissible for expatriate workers and the circumstances under which they can be employed. The central bank's directive aims to ensure that banks operating in the country comply with these laws and guidelines.
The move is expected to have significant implications for the banking sector in The Gambia. Banks will need to review their employment practices and ensure that they are compliant with the country's labour laws. The central bank's directive is also expected to promote the employment of Gambian citizens in the banking sector.
The Gambia's central bank has reiterated its commitment to enforcing the country's labour laws and regulations. The regulator has urged banks to cooperate with the directive and ensure a smooth transition. The implementation of the directive is expected to be monitored closely by the central bank.
Key points
- The Gambia's central bank has ordered commercial banks to phase out non-citizen employees by year-end.
- The directive aims to ensure compliance with the country's labour laws and regulations.
- Banks will need to replace dismissed non-citizens with qualified Gambians and transfer skills.
