EA bankers want ethics restored

EAST Africa’s bankers have raised concern on the sharp erosion of ethics and professionalism among them.

This was said in Dar es Salaam by the bankers during the five-day 11th East African Banking School hosted by the Tanzania Institute of Bankers. The bankers were discussing ‘professional ethics and best practices in financial services.

' The school begins on Monday. National Bank of Commerce (NBC), Head of Legal Department, Mr Felix Kibona said that despite some banks having in place code of conduct it was quite impractical.

He said the bankers want universal banking code of conduct and standardised professional ethics which will bind all banking employees at the region.

”A fresh employee must sit for an integrity test before he/she is employed," he said. He said the move will also help cut down cases of fraud in the banking sector.

“Failure to enforce professional ethics codes and lack for universal standards are factors that fuel unethical activities in the banking sector,” Mr Kibona said in his presentation.

To avoid the vice, he said banks should share information to weed-out bad elements that tarnish the image the banking sector.

The Institute of Corporate Governance of Uganda President Leo Kibirago said there is need for learning institutes to introduce mandatory code of professionalism and standards for individualism which would be supported by bankers associations and central banks.

“We need a complete code of conduct for banking, similar to those which guide medical doctors and lawyers. They should be governed by professional associations,” Mr Kibirango said.

He added that customers should also have an open window to register their complaints when mistreated by bank officials. Kenya Institute of Bankers, Executive Director Mr Stephen Anjichi said the banking sector in the region need universal code of ethics which would make bankers “loyal to the professionalism.”

“In the absence of this document, there is no adherence. Working in a bank does not qualify one to be a banker and examinations should be set and the candidates certified after that,” he said.

He said being an accountant or a lawyer or economist is not a ticket to become a banker, hence a need to sit for a test just like doctors. Over 100 delegates attending the meeting agreed that bankers’ institutes should take a keener role in shaping the future on the banking sector.

“The initiative should be from bankers themselves,” Mr Anjichi said. They said human resource departments are letting them down by employing unqualified people.

The East African Banking School is a regional conference organised jointly by institutes of bankers in Kenya, Tanzania and Uganda. It serves as a forum where bankers from the bloc discuss a range of issues that impact on their careers and the financial service in general.