Mashreq Bank, a leading financial institution in the UAE has launched a representative office in Shanghai as part of a strategic expansion plan in China.
The Shanghai office will act as a liaison office, with the primary goal of expanding Mashreq’s franchise across mainland China. The office will serve as a vital link between Middle Eastern companies with trade and investment flows into China as well as Chinese companies looking to set up operations within Mashreq’s existing international banking network.
Moreover, China’s Belt and Road Initiative, which will involve massive infrastructural developments such as the construction of roads, railways, and shipping lines between China and more than 60 countries in Asia, Europe, the Middle East, and North Africa (MENA), is expected to significantly boost bilateral trade.
With the latest addition, Mashreq now operates in 13 countries. According to recent reports, UAE-China trade has surpassed $50 billion, with the goal of increasing to $200 billion by 2030.
“This milestone marks a strategic step into expanding our promising footprint into China. At Mashreq, we see this representative office as an instrumental initial link in fostering trade and investment flows between the UAE, wider Middle East and China. We believe there is enormous potential on the back of China’s Belt and Road initiative and the growing bilateral relationship between the UAE and China.”
It’s worth noting that the office will allow Mashreq to deliver valuable on-the-ground knowledge of China’s economic and banking landscape, as well as leverage insights of the MENA region for stakeholders.
“The international banking business is a significant contributor to Mashreq’s overall revenues and the opening of a representative office in Shanghai demonstrates long term commitment towards strengthening our franchise in Asia,” commented Mr. Tarek El Nahas, Senior Executive Vice President and Head of the International Banking Group, Mashreq Bank.
Corporates and financial institutions are changing and repositioning themselves to leverage the dynamic growth opportunities as China continues to influence the global trade map. The Shanghai presence is of high strategic interest to Mashreq and will produce synergies with all the international offices in its global network.