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The Abu Dhabi Commercial Bank (ADCB) has been granted permission to open a subsidiary bank in the Republic of Kazakhstan, following approval by the country’s authority for the regulation and development of the financial market.
ADCB will act as the sole shareholder of the subsidiary bank, according to a government announcement, offering banking services, including Islamic finance. A universal banking licence is expected to be obtained following the establishment of internal infrastructure and completion of all preparatory activities for the launch of operations, the announcement read.
The government said the establishment of the new bank will contribute to increased competition in the banking sector of Kazakhstan, expansion of financial services, and attract international capital.
ADCB, rated A+/F1/Stable by Fitch Ratings, is backed by Abu Dhabi’s sovereign wealth fund, the Mubadala Investment Company, which is listed as its principal shareholder with a 60.2% stake, according to LSEG data.
(Writing by Bindu Rai, editing by Seban Scaria)
