The Central Bank of Kenya has issued an operating licence to JP Morgan Chase Bank , the US banking giant with over 4.1 trillion in assets. The licence issuance comes days before the visit of company CEO Jamie Dimon.
The Central Bank of Kenya CBK announces the granting of authority to JP Morgan Chase Bank N.A. of the United States to establish a representative office in Kenya by the name JP Morgan Chase N.A. Representative Office Kenya. This authority is granted pursuant to Section 43 of the Banking Act and follows the fulfillment by JP Morgan of the stipulated requirements, CBK said in a statement.
Under Kenyas banking laws, representative offices of foreign banks serve as marketing and liaison offices for their parent banks and are not permitted to undertake banking business. JP Morgans new office in Nairobi will be used to market its banking services, but will not be allowed to direct transactions as with other commercial banks.
The bank becomes the second US bank with a representative office in Nairobi after CitiBank. It ends a decade wait for the bank which first expressed interest in opening a branch in East Africas biggest economy in 2012.
CEO Dimon plans to visit Kenya, Nigeria, South Africa, and Cte dIvoire in October, Reuters reported . The lender already has offices in Nigeria and South Africa, two of the largest economies on the continent. With operations in 100 countries, it has been eyeing overseas markets for growth.
