The Bank of Queensland (BoQ) has announced that current Executive Chair Patrick Allaway will stay on to serve as managing director and chief executive for the next two years.

Allaway was appointed Executive Chair last December following the departure of former MD and CEO George Frazis, with the BoQ board at the time calling for leadership renewal at the bank.

Frazis, who hailed from Aussie big four bank Westpac, served three years as BoQ leader.

Allaway will remain in the role until December 2024, with BoQ to continue the search for a permanent successor to Frazis.

“Mr Allaway’s appointment will provide stability and continuity during this period, enabling the management team to continue delivering BoQ’s priorities, as announced at the December 2022 AGM, of strengthening, simplifying, digitising and optimising BoQ,” the bank wrote in its announcement to the ASX.

Commenting on his appointment, Allaway said: Our focus is strong financial resilience whilst simplifying our operations and digitising for our future state. We have made material progress in strengthening our capital and liquidity position over the past six months and have maintained quality lending portfolios as we prepare for a more challenging economic environment.

“BoQ has several programs underway to improve the effectiveness of our control environment and organisational efficiency, building a learner more agile and digitally enabled bank.”

BoQ also announced the appointment of a new Chair, Warwick Negus, appointed to the BoQ board in late 2016, who steps up to replace Allaway in the role.

“It’s a great privilege to be elected as Chairman by my colleagues,” Negus said. “BoQ has a rich history and a bright future, and the board is looking forward to supporting management in the coming years. We are focused on continuing to build a world class experience for our customers and bankers backed by a strong and resilient balance sheet.”

BoQ has a 1.3 million customer base with a loan book of around $81 billion.