Strategy
National Bank of Abu Dhabi Plans Regional Private Banking Expansion

National Bank of Abu Dhabi is planning to expand its branch network and to establish a private banking and Islamic finance unit to tap growi...
National Bank of Abu Dhabi is planning to expand its branch network and to establish a private banking and Islamic finance unit to tap growing Arab wealth, according to Michael Tomalin chief executive of the government-controlled bank. The bank, the largest lender in the UAE, is planning to open as many as 20 branches next year in the Emirates, an increase of about a third compared with 2005, and add outlets in Kuwait, Bahrain and Oman. NBAD has also applied for a licence to open a private-banking unit in Switzerland, said Mr Tomalin. The Swiss unit could account for 5-10 per cent of the bank's revenue within three years. NBAD’s plans to open a unit next year that complies with Islamic principles has already been approved by the UAE Central Bank and NBAD may open up to four branches in the UAE next year. The share of the banking market in the UAE that complies with shariah law has tripled to 15 per cent since 1999, and NBAD expects the Islamic unit to account for up to 5 per cent of total revenue within five years.