Credit Suisse seeks a full banking license in Saudi Arabia and will invest several hundred million dollars to expand its business in the oil-rich country.
Credit Suisse (CS), Switzerland’s second-largest bank, wants to expand its business in Saudi Arabia and has decided to spend $600 million for that purpose, according to a report by «Bloomberg».
CS will use some of the money to offer investors Lombard loans. The bank also seeks a full banking license in the country, which dominated by the conservative Wahhabi branch of Islam.
Discussions at «Advanced Stage»
The discussions with the oil-rich kingdom about an onshore banking license are at an advanced stage, according to an unidentified source cited by «Bloomberg». The bank so far has a securities and equities business in the country.
About a dozen international banks, including Deutsche Bank and JPMorgan currently hold a Saudi onshore license, which allows banks to operate branches and take deposits in local currency, the report added.
Key Growth Market
A spokesman for Credit Suisse told «Bloomberg» that Saudi Arabia was a key growth market and of great importance to international wealth management. He didn’t however comment on the amount to be invested.
