Turkish bank to open 1st branch in Somalia

The Somali government has granted operating licenses to Türkiye's Ziraat Katilim Bank as the first Turkish international bank to operate in the Horn of African country.

After a meeting in the capital Mogadishu, Somalia's Central Bank said in a statement that it has granted two international banks to operate in Somalia.

The directors of the bank held its ordinary meeting on July 2 to discuss was licenses application from two international banks, Türkiye's Ziraat Katilim and Egypt's Banque Misr. has been approved," Somalia's Central Bank said in a statement.

The application of the two banks underwent months of intensive process and both banks can now establish and operate branches in Somalia, according to the statement.

"We are happy that the board has approved the licensing application of Ziraat Katilim bank Banque Misr," said Abdirahman Mohamed Abdullahi, the governor of the Somali Central Bank.

He said Ziraat Katilim Bank is a solid bank that will add value to the development of Somalia's financial sector and contribute to the growth of Somalia's economy.

Somalia said the two banks that will operate in Somalia is a testament to the success of the reform of the country's financial sector further enhancing opportunities of investment.

Somalia and Türkiye are enjoying an special relations while Turkish companies are now investing in the Horn of African country.

This came as Somali President Hassan Sheikh Mohamud is set to travel to Türkiye in the coming hours to meet his Turkish counterpart Recep Tayyip Erdogan.