Three major Japanese banks are expected become operational in Saudi Arabia by October this year.
Divulging details of the entry of mega Japanese banks in the Kingdom, Tsukasa Uemura, the newly appointed Japanese Ambassador to Saudi Arabia, said that Mitsubishi UFJ Bank will establish a full-fledged subsidiary in Riyadh this October, according to local wire, Arab News.
The Japanese envoy also pointed out that the Saudi government had teamed up with Japan’s SoftBank to form a $93 billion investment fund called the Vision Fund to fund projects that will help the Kingdom to diversify its economy.
The SoftBank and PIF, Saudi Arabia’s sovereign wealth fund, are also in early talks potential funding for the world’s biggest solar power project, which is being built in the Kingdom
These financial institutions will also provide advisory services to Japanese companies that are considering tapping into businesses in Saudi Arabia, reported Arab News.
There are currently two Japanese banks operating in the Kingdom: Mizuho Bank has served the market since 2009; and Sumitomo Mitsui Banking Corp recently established a subsidiary focusing on consulting business in March.