Uganda hands back Libyan bank

Uganda government on Tuesday handed over Tropical Bank Ltd to the Libyan Foreign Bank, a year after it took its operations in compliance with a UN Security Council Resolution, which imposed a freeze on the assets of the North African country.Emmanuel Tumusiime Mutebile, the Governor of Uganda’s Central Bank, Bank of Uganda, told reporters in Kampala that the handover follows the UN Security Council Resolution 10493 of Dec. 16, 2011, which lifted sanctions against the Libyan government and its associated entities.The Security Council lifted sanctions on Libya’s central bank, freeing more than 40 billion U.S. dollars to help the new government rebuild the North African country. “Bank of Uganda is glad to announce the return of Tropical Bank and the reinstatement of the previous board of directors and senior management team of Tropical Bank Ltd,” said Mutebile at the handover ceremony. “The interim board and interim senior management team which were appointed by Bank of Uganda on March 25, 2011, have today (Tuesday), been relieved of their duties,” he said.Bank of Uganda on March 25, 2011, took over the operation of Tropical Bank and put in place measures to ensure that the bank continued to operate normally as a commercial bank following the UN Security Council resolution.“Following the recent changes in Libya and the recognition of Libyan Transitional Council by Uganda and the lifting of the UN sanctions, the basis we intervened on Tropical Bank no longer hold. Bank of Uganda has taken steps to hand over the bank,” said Mutebile. “The Bank of Uganda assures the public that Tropical Bank is in sound financial condition and is well positioned to continue its operations normally,” he said.Tropical Bank has assets of 250 billion Uganda Shillings (about 104 million dollars) in Uganda. The Security Council froze the assets of five key Libyan financial institutions earlier in 2011, following the uprising against Libyan then leader Muammar Gaddafi’s rule.

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Uganda hands back Libyan bank