29th August, 2018 The Government of Tonga, the only shareholder in Tonga Development Bank, through the Ministry of Finance, hereby announces that at a Special Meeting of the Shareholder (SMS) on Thursday 26th July 2018, approval was given for the National Retirement Benefit Fund Board (NRBFB) to take up unsubscribed shares at the Tonga Development Bank (TDB).
NRBFB will subscribe to about 15% of the Authorized share capital of the TDB.
For the proposed new shareholder to take up shared in TDB, the Special Meeting of the Shareholder also endorsed the Tonga Development Bank (Amendment Bill) 2018 to be submitted to Cabinet and the Legislative Assembly to allow for necessary legislative changes which will include:
(a) Cabinet decision that TDB is no longer under the Public Enterprises Act, and
(b) Change in the Ministerial responsibility for the TDB to be with the Ministry of Finace (MoF).
The Tonga Government oas the only current shareholder in TDB has also adopted amendments to the Articles of Association in order to enable the restructuring of the capital base of the Bank, changes in administration and expansion of services.
This restructuring will enable the Bank to expand its customer base and improve its services to its customers, people of Tonga and benefits to the shareholders.
ENDS
Issued by the: Tonga Development Bank