unb to lead uae banks into world’s most populous market
Union National Bank received approval from the China Banking Regulatory Commission to establish a Representative Office in Shanghai, China.
The setting up of a Shanghai Rep Office is a first for any UAE bank, making Union National Bank the first UAE bank to enter the vast, high-growth and promising Chinese banking sector.
Mohammad Nasr Abdeen, UNB’s Chief Executive Officer pointed out that “both China and the UAE are extremely fast developing economies enjoying bilateral trade between them in 2006 in excess of US$14 billion”.
He went on to say that “UNB intends to capitalise fully on the commercial potential of this trade flow and also on the bilateral investment flows that originate from both government and corporate entities seeking to establish commercial bases and relationships in each other’s countries”.
The UAE is the largest export market in the Middle East for China, whilst China is the UAE’s third largest source country for imports, after Germany and the United States.
Mr Abdeen stated that “we hope to establish our office within a very short period of time, and believe that it will be well positioned and equipped to serve not only customers from the UAE but also from the broader region, including, say, Egypt, Qatar and other countries’ corporates who seek to engage in commerce with China”. The trade flow between China and the GCC for 2006 was approximately US$ 45 billion, whilst that with the broader Middle East was US$ 82 billion.
“As you may know, Union National Bank’s strategy includes expansion beyond the UAE, and having established a platform for growth in Egypt through the acquisition of a bank there last year, we now seek to accelerate our international growth drive. We hope to have some good news to share with you in regard to our expansion plans into other countries in 2008”, said Mr Abdeen. He added that “the Bank has also studied a number of investment opportunities across the larger MENA region” and that “we are optimistic that we will continue to progress the implementation of our regional roll out plan gradually”.
The CEO concluded by stating that “through its Shanghai Representative Office, UNB is determined to deliver quality services that are required by UAE and regional corporates seeking to participate in China’s boom”.
