The Ugandan central bank denied that it is taking over Bank of India (Uganda) Ltd. after rumors circulated that the bank would cease operations in the East African country in March, the Daily Monitor reported Feb. 20.

Bank of Uganda Governor Emmanuel Tumusiime-Mutebile reportedly stated that social media reports about a meeting between central bank officials and Bank of India (Uganda) that supposedly decided over the bank's closure or the central bank's takeover were false.

According to the newspaper, the regulator said the lender is "operating normally, is profitable and fulfilling all the regulatory requirements as set out in the Financial Institutions Act, 2004, as amended. There is no threat to the safety of depositors' funds."

In 2016, the Bank of India unit was the 15th-largest lender in Uganda after recording a full-year net profit of 2.3 billion Ugandan shillings.

As of Feb. 20, US$1 was equivalent to 3,634 Ugandan shillings.