We Remain Focused To Meet Our Desired Goals – Kamara

We Remain Focused To Meet Our Desired Goals – Kamara

Sunday, August 10, 2014 12:05 am


He came in as Managing Director of Sierra Leone Commercial Bank when there was a severe turbulence hitting the banking landscape in the country. A young and dynamic personality, Idrissa Kamara has so far proved capable for this assignment. He has beefed up the profit portfolio of the bank and has repositioned the bank as the leading financial service provider in the country. He spoke on current issues in the financial and banking sectors of the country

Idrissa Kamara

Idrissa Kamara

Since you assumed office, what have been your achievements and challenges so far?

Interestingly, I completed my first year with this great institution in July 2014. And looking back, much has happened. Initial focus has been, getting the basics right during this period, underpinned by the following:

• Reinforcing public and regulator confidence that the bank is ready to do business

My initial focus in July 2013 was to ensure that Sierra Leone Commercial Bank (SLCB) continues to be seen as the major player in the Sierra Leone financial landscape, despite challenges that the institution experienced in the latter part of June 2013. A lot of engagements, both internal and external, were done, articulating the strength and capacity of the bank and the unique role we play in the financial and economic landscape of Sierra Leone, being a 100 per cent owned government bank.

We had the first all staff conference in the 41-years existence of the bank in September 2013. This platform was used to reinforce the banks’ visions, mission and values and how these underpin not only our service delivery capability but our everyday behaviour in the bank
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I am pleased to note that the bank achieved substantial growth in customer deposits in 2013, an indication of customers’ confidence in the institution. Total customers’ deposit grew by 15 per cent, from 584.78 billion Leones in 2012 to 671.28 billion Leones in 2013. Also the Central Bank, encouraged by ongoing transformation, returned back day-to-day management of the bank to the Board of Directors in January 2014.

• Reinforcing the Governance Framework

What we accepted at SLCB was that we needed to leverage on opportunities presented to us by events in 2013 and ensure changes to the “governance structures” of the bank that would drive a climate of banking with discipline and exemplary governance.

We had to change the existing Board Governance structure, splitting the Finance Risk and General Purpose Committee into a separate Board Risk Committee, Board Credit Approval Committee and Board HR Committee in addition to the existing Board Audit Committee. This provides for more specialised focus on critical issues facing the bank. The management governance structure was also revised, with the deployment of the following new committees: Country Risk Committee, Credit Asset Committee, Human Resources Committee and a Performance Review Committee. This is to ensure appropriate management oversight on the core areas of the bank’s operations.

• Deploying the requisite structures and framework in the bank

The competitive landscape in banking has transformed and intensified in the last five years in Sierra Leone. To ensure that we remain competitive and be the market leader in the financial industry, we recognised that we should not only have the right people and systems but also the right structures and framework.

We know we have to do this and together with the team and support of the staff we made some of the following changes:

• Separating front-end from back-end banking with the deployment of a Technology and Operations Unit.

• The Business Development Unit is currently being revamped to ensure a “customer centric” approach. The bank is not known for being top of the pack in customer service and experience and we are investing to change that.

•A Treasury Management Unit that was non-existent was also deployed, driving efficiency in balance sheet,
liquidity and forex management.

• To complement changes to the governance structure and reinforcing compliance discipline in the bank, a Compliance Unit was also introduced. This was further complemented with the introduction of an Operational Risk Framework that is currently being implemented.

• Establishment of a Corporate Affairs Unit to provide discipline and strategic alignment to corporate planning and brand management.

You can agree with me that the last 12 months have been very hectic in driving all of the above. And at this point I will like to recognise the efforts of my management team and all staff of the bank. I am proud to say that we have wonderful people in the bank and as a team we have all committed to transforming the way we do things at the bank.

Challenges
First, is prioritising. When you are faced with the task of transforming an institution and your mind is set at getting the basics right to provide the lever for the next leap and you have so much to do, you will agree with me that prioritising becomes your first problem.

Secondly, as a bank we need to do something with our technology infrastructure. I always tell people that technology is an enabler in the organisation, a tool for competitive advantage and a tool that excites our customers. You ask me whether we are there as a bank, I would say, not yet. You ask me whether we know what to do and when, I will answer, yes. The regulatory landscape has also reinforced compliance in recent times on many fronts and keeping tab with these and delivery and meeting customer needs on a daily basis, has also presented challenges for us.

Finally, when you know that your actions and decisions impact the life and livelihood of your team and customers and being a “new kid on the block”, also comes with its own challenges. Well, in all this, I will say: challenges make us better people and give us the knack to seek new frontiers, new ways of doing things and ultimately, creating a winning organization.

What is your assessment of the banking sector in the Sierra Leonean economy?

In not too many words, the banking sector in Sierra Leone, like I noted earlier, has seen lots of changes. Changes in the number of banks, with the emergence of regional banks mainly from Nigeria, deployment of new products and services and a whole new banking culture in the country. Changes in the regulatory environment, more so with the advent of the financial and banking crisis.

There is more for banks to do in banking the unbanked and taking opportunity of growth in the economy. Banks are constrained with the provision of credit with the high level of non-performing loans and compliance, with the total credit exposure of 300 per cent of bank’s weighted capital base.

On-going implementation of the Financial Sector Development Plan and the re-energised Sierra Leone Commercial Bankers’ Association are all positive strides for the banking sector.

Does SLCB, as the leading bank, have intention to open branches in the West African region and beyond?
Even though focus in the short to medium term is consolidation on the local front, with all the changes going on, I will want to say that Sierra Leone Commercial Bank does have big and bold ambitions. So let’s continue to watch this space.

How does the immediate future look for the bank?

In very simple terms, we are a bank that sees significant opportunity in the banking landscape in Sierra Leone. A bank that is transforming, though a difficult journey, we are excited as a bank. We do have challenges but challenges that we will wade through and crystallise into tangible and positive gains for our shareholders and the people of Sierra Leone. We are setting the stage for the next nine years’ journey and our aspiration is to have a totally new bank when we celebrate our Silver Jubilee in 2023.


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