Moroccan banking conglomerate Bank of Africa has teamed up with Bank of Palestine to boost economic cooperation.
The initiative aims to bolster sustainable development, financial inclusion and entrepreneurship in Palestine and Morocco, the organizations said.
The partnership allows cross-participation, on a symbolic basis, through the acquisition of shares in the stock exchanges where these banking institutions are listed, they added.
Bank of Africa is listed on the Casablanca stock exchange, in Morocco, while Bank of Palestine is listed on the Palestine Exchange, in Nablus, in the Palestinian territories.
Under the agreement, Bank of Africa is expected to acquire shares equivalent to nearly 1.2 per cent of the Bank of Palestine’s capital.
The organisations also agreed to develop banking cooperation, in particular, in trade finance and correspondent banking as well as to exchange their expertise in financing SMEs and supporting entrepreneurship and innovation.
“Beyond its financial, economic and cultural scope, it is an institutional act of solidarity and confidence in the future of Palestine as well as a contribution from Bank of Africa to forge a common economic destiny between the two nations,” said Othman Benjelloun, chairman of Bank of Africa.
With a presence in 32 countries, Bank of Africa is one of the main pan-African financial groups.
The partnership is in line with Bank of Palestine’s vision of regional expansion and its aim to attract institutional investors, chairman Hashim Shawa said.
Founded in 1960, Ramallah-based Bank of Palestine has a network of 103 branches and it serves more than 900,000 customers. With total assets of $7.1 billion, it is the first national bank among 13 financial institutions operating in Palestine.
It is one of the main leaders to SMEs and a leading contributor to financial inclusion.
The latest agreement revolves around economic promotion aimed at boosting “trade and investment flows between Morocco and Palestine, as well as cultural co-operation, in particular through the realisation of joint projects highlighting the historical ties”, between the two economies, the organisations said.
