Afrigather The Central Financial institution of Kenya has issued an working licence to JP Morgan Chase Financial institution, the US banking large with over $4.1 trillion in property. The licence issuance comes days earlier than the go to of firm CEO Jamie Dimon.
“The Central Financial institution of Kenya (CBK) publicizes the granting of authority to JP Morgan Chase Financial institution N.A. of the US to ascertain a consultant workplace in Kenya by the title JP Morgan Chase N.A. Consultant Workplace Kenya. This authority is granted pursuant to Part 43 of the Banking Act and follows the success by JP Morgan of the stipulated necessities,” CBK mentioned in an announcement.
Beneath Kenya’s banking legal guidelines, consultant places of work of overseas banks function “advertising and liaison places of work for his or her mother or father banks and should not permitted to undertake banking enterprise”. JP Morgans new workplace in Nairobi can be used to market its banking companies, however won’t be allowed to direct transactions as with different business banks.
The financial institution turns into the second US financial institution with a consultant workplace in Nairobi after CitiBank. It ends a decade anticipate the financial institution which first expressed curiosity in opening a department in East Africa’s greatest financial system in 2012.
CEO Dimon plans to go to Kenya, Nigeria, South Africa, and Côte d’Ivoire in October, Reuters reported. The lender already has places of work in Nigeria and South Africa, two of the biggest economies on the continent. With operations in 100 international locations, it has been eyeing abroad markets for development.
The financial institution’s places of work in Africa provide asset administration and business and funding banking companies. It could possibly be seeking to develop its market with the brand new Nairobi workplace because it explores Abidjan throughout Dimon’s go to.
“In establishing a presence in Kenya, JP Morgan seeks to discover enterprise alternatives within the nation and the broader East African area,” CBK mentioned.
Main world banks are additionally in search of a share of sovereign debt and company transactions in Africa. In 2023, Kenya picked JP Morgan alongside CitiBank and Customary Chartered Financial institution as lead arrangers for the Eurobond.
