Star – Japan's Bank of Tokyo-Mitsubishi UFJ’s (BTMU) application for a banking license to set up a banking business in Turkey has received a positive response from the Banking Regulation and Supervision Agency (BDDK) of Turkey. Having filed the application last July, the Japanese lender becomes the second new banking business to be allowed to operate in Turkey in the last 14 years, following Lebanon’s Bank Audi which has its application approved in last year.
BTMU’s granting of banking license in Turkey comes as the country increasingly turns into an investment hub by Japanese companies. Sumitomo Rubber Industries, which announced a USD 500 million tire factory in central Turkey and logistics services company Yusen Logistics that established a new company to take advantage of Turkey’s strategic location, are among the Japanese newcomers in Turkey. Another Japanese bank, Sumitomo Mitsui Banking Corp (SMBC) has also entered into an agreement with the Investment Support and Promotion Agency of Turkey (ISPAT) recently to further promote business and investments between Turkey and Japan. An agreement of the same sort remains in effect between ISPAT and yet another Japanese lender, Mizuho Corporate Bank, since last June.
Have been in Turkey since 1986 through a representative office, BTMU’s banking services in Turkey will be primarily tailored for the 140+ Japanese companies in Turkey. This number is expected to triple in the next 7 years.