The South African banking group Standard Bank is going to open representative office in Ethiopia by the end of the first quarter of 2015, reports Reuters on the 22nd Januray, citing a senior officer of the institution.
“We will open a representative office by the end of March 2015,” said senior vice president of Standard Bank, Taitu Wondwosen to Reuters.
The office will provide a foothold for the South African bank to build relationships with local businesses and to develop market intelligence to advice clients interested in investing in Africa’s second most populous country.
Foreign banks are prohibited to offer retail banking; Standard Bank is to establish business relationships with local companies and provide advisory services to equity holders interested in investing in the latter country, one of most populous in Africa (96 million).
“We go where our customers are. More and more of our customers are starting to wonder about the opportunities that exist in Ethiopia, “said Mr. Wondwosen, indicating that investors are interested, among others, textiles and clothing, construction.
“In the short term, we are under no illusion that it is going to remain closed.” He Added
Ethiopia, which produces, year after year, an annual growth rate of 8%, investing heavily for years in the construction of roads, railways and power plants to attract foreign investors.