1st Japanese Bank Branch Opens in Saudi Arabia

Economy

Tokyo, Oct. 24 (Jiji Press)--MUFG Bank on Wednesday became the first Japanese bank to open a branch in Saudi Arabia, aiming to provide full banking services, including lending and settlements, mainly to Japanese companies.

The new branch in the Saudi capital of Riyadh, however, went off to a rocky start amid international condemnation of Saudi Arabia over the alleged killing of journalist Jamal Khashoggi.

The Japanese government is proceeding with joint projects with Saudi Arabia in a wide range of fields including energy and amusement, to support the Middle East country's shift from an oil-dependent economy.

"More Japanese companies are expected to expand into the country," a senior bank official said.

As the Khashoggi incident unfolded, however, the core arm of Mitsubishi UFJ Financial Group Inc. <8306> canceled an opening ceremony for the branch.

[Copyright The Jiji Press, Ltd.]

Jiji Press