MOGADISHU, Oct. 29 (Xinhua) — Ziraat Katilim Bank of Türkiye has established a branch in Mogadishu, the capital of Somalia. This makes it the first international bank to operate in the East African country in over fifty years, according to an announcement by the Central Bank of Somalia (CBS) on Sunday.
The CBS stated that the presence of the first foreign bank in Somalia will contribute to the growth of the country’s financial sector by providing more economic opportunities and promoting trade with its partners.
“The new Ziraat Katilim Bank branch in Somalia is expected to deliver a diverse range of corporate banking services to businesses, international institutions, and development partners,” the Somali central bank stated in a press release issued in Mogadishu.
In July 2022, the CBS granted operating licenses to two international banks, Ziraat Katilim Bank and Banque Misr from Egypt, after an extensive application process.
Ziraat Katilim Bank is a state-owned participation bank belonging to the Ziraat Finance Group. It has operations in 20 different countries, with 15 subsidiaries and 27 branches abroad.
Abdirahman Mohamed Abdullahi, the CBS Governor, expressed his satisfaction with the establishment of the Ziraat Katilim branch in Mogadishu. He cited this as proof of the successful reforms in Somalia’s financial sector, highlighting the opportunities it brings for investment and development.
Mohamed stressed that the CBS remains dedicated to promoting inclusive economic growth in Somalia and constructing a resilient and stable financial system. He believes the new bank will bring added value to the development of Somalia’s financial sector and contribute to the country’s economic growth.
