BoB shuts down Kingdom Bank

KBAL, which has no resident depositors based in Botswana, was placed under temporary management by Bank of Botswana (BoB) two months ago due to acute liquidity constraints that resulted in depositors failing to withdraw their monies while workers went unpaid for several months.

An inventory of the balance sheet complied by the temporay managers,  Delloite Botswana, thereafter  showed that KBAL liablities outweighed its assets by approximately $17 million(P163 million), leading to the  BoB, as the regulator, to petition the courts for an order  to close down the offshore bank.