The UBA Dubai, which has commenced operations focus entirely on corporates and financial institutions’ clients, the bank announced.
In a report titled: Five key facts about UBA’s Operations in Dubai, UBA Group said the Dubai Branch will engage new corporate and financial institution clients and refer them to other UBA Group subsidiaries and branches for on-boarding, lending, among other services.
The bank, said it is taking the step because it has ‘advising and arranging’ license in Dubai International Financial Centre (DIFC), Dubai which means it does not extend credit or take deposit in Dubai.
“We have an ‘advising and arranging’ license in DIFC, Dubai which means we do not extend credit or take deposit in Dubai. We do not run a local balance sheet in UBA Dubai, and hence do not open bank accounts in Dubai for any client, be it corporate or financial institution,” the bank stated.
It explained that DIFC is a wholesale jurisdiction, hence any retail customer dealing is expressively prohibited, adding that UBA Dubai clients are corporate, and financial institutions.
“With or recent launch in Dubai, United Arab Emirates (UAE), as our 24th location and fourth continent, the Dubai Branch will manage and serve the group’s corporate and financial institution clients with the aim of deepening our share of their business,” it said.
The bank added that it will also promote correspondent banking relationship in the Middle East.
“We will broaden our client base- corporate and financial institution clients- beyond Dubai and UAE to the entire Middle East; cross sell the Group’s Corporate banking products while loans and deposits will be booked in other group entities,” it said.
According to the UBA Group, the UBA Dubai branch will also offer Letters of Credit beneficiary to clients, originate transactions and negotiate deals that will be booked in other UBA Group subsidiaries and branches.
