ICBC get nod for opening branch in Abu Dhabi

The Central Bank of the United Arab Emirates has granted its nod to the world's biggest lender by market value, the Industrial and Commercial Bank of China to open its branch in Abu Dhabi. Chinese commercial lender is the first bank to get such nod from the authorities of Abu Dhabi central bank outside the Gulf area.

The move would open new doors for ICBC to expand its business in the UAE by dealing in the local currency. The bank would offer services like letter of credit, project loans, letter of guarantee, and exchange of the local currency with other currencies in the UAE market.

The China's State-owned bank has already presence in UAE's Dubai and Qatar's capital Doha through its branches opened in 2008 though it was not allowed to trade in local currency.

China bears strong trading ties with UAE and it is among one of the largest export destination in West Asia and Africa. UAE and China's trade volume stood at US$28.16 billion in 2008, reporting an increase of 41 per cent.