Gambia Central Bank: Directive to Terminate Non-Gambian Staff

• The Central Bank of The Gambia issued a directive on September 16, ordering banks to replace all non-Gambian staff with Gambians by December 31, 2026.
• This directive affects 57 Nigerian professionals working in four Nigerian-owned banks in The Gambia who hold valid work permits.
• These four banks are significant to the Gambian economy, controlling substantial portions of deposits, loans, and industry assets.
• The Nigerians in Diaspora Commission (NIDCOM) has strongly opposed the directive, citing concerns about existing contracts, valid work permits, and ECOWAS free movement protocols.
• NIDCOM urged the Gambian authorities to reverse the directive and engage in diplomatic discussions to uphold regional integration and bilateral relations.

This directive creates a significant compliance risk for banks operating in The Gambia with non-Gambian staff, requiring legal review of employment contracts and adherence to ECOWAS protocols.

The Central Bank of The Gambia (CBG) issued a directive on September 16, instructing financial institutions within the country to terminate the employment of all non-Gambian staff. This significant policy change mandates that banks replace these foreign nationals with Gambian citizens by December 31, 2026. The directive has immediately drawn strong criticism from the Nigerians in Diaspora Commission (NIDCOM), which labeled the order as deeply concerning.

NIDCOM, through its Chairman/Chief Executive Officer, Mrs. Abike Dabiri-Erewa, expressed alarm over the potential impact on 57 Nigerian professionals currently employed in The Gambia's banking sector. These individuals, according to NIDCOM's Director of Media, Public Relations and Protocols, Abdur-Rahman Balogun, possess valid residency and work permits, making their impending dismissal a contentious issue. The directive specifically targets the employment of non-Gambian staff, raising questions about its compliance with existing international agreements and national labor laws.

The directive from the Central Bank of The Gambia directly affects four Nigerian-owned banks, which are described as crucial contributors to the Gambian economy. These institutions collectively manage 37.2 percent of the nation's total deposits, amounting to GMD35.3 billion, and are responsible for 32.6 percent of all loans, totaling GMD7.67 billion. Furthermore, they hold 37 percent of the banking industry's assets, valued at GMD44.78 billion.

Beyond their direct financial contributions, these banks also play a significant role in public finance, accounting for 34.5 percent of investments in Central Bank bonds. They were also instrumental in providing 90 percent of the funding required by the National Water and Electricity Company (NAWEC). NIDCOM has urged the Central Bank of The Gambia to reconsider this blanket directive, advocating for engagement with the Nigerian High Commission in Banjul and other relevant stakeholders to find an amicable resolution that respects both national aspirations and regional cooperation.

While acknowledging The Gambia's sovereign right to implement policies promoting local employment, Mrs. Dabiri-Erewa emphasized that such measures must align with existing contractual obligations, valid work permits, and the established protocols of the Economic Community of West African States (ECOWAS) concerning the free movement of people. She highlighted the inherent contradiction in encouraging African investment and regional cooperation while simultaneously displacing qualified African professionals.

NIDCOM has called upon Gambian authorities to uphold the spirit of ECOWAS integration, which fosters economic and social cohesion among member states, and to preserve the long-standing cordial relations between Nigeria and The Gambia. This directive creates a significant compliance risk for banks operating in The Gambia with non-Gambian staff, requiring legal review of employment contracts and adherence to ECOWAS protocols.

This directive creates a significant compliance risk for banks operating in The Gambia with non-Gambian staff, requiring legal review of employment contracts and adherence to ECOWAS protocols. Lawyers should advise affected individuals on their rights and potential challenges to the directive based on existing work permits and international agreements.

Source: Original reporting via Vanguard.