Moroccan Banks' Expansion in Sub-Saharan Africa
The Criteria for Country Selection
Diskussionspapiere - Volkswirtschaft des Vorderen Orients
Klaus Schwarz Verlag
1. Auflage (2018)
geheftet, 35 Seiten
Three »waves« of bank internationalisation in the 1800s, the 1960s and the 1990s have now been followed by a fourth wave: South-South bank internationalisation . This paper focuses on the expansion of Moroccan banks in sub-Saharan Africa (SSA).
The pace at which the three largest commercial banks in Morocco have been expanding in SSA is remarkable. Few activities in SSA could be registered until 2003, when Attijariwafa, Banque Centrale Populaire/Crédit Populaire du Maroc (BCP) and Banque Marocaine du Commerce Extérieure (BMCE) banking groups began to acquire shares in existing banks and to establish subsidiaries. In the late 1980s, BCP and BMCE were active in the Central African Republic, Côte d’Ivoire, Guinea and Mali. However, no further activities followed. Since 2003, the speed of expansion has been tremendous: in 23 of the 49 SSA countries, taken together, the banks were present 47 times in May 2016. These three are the biggest and the only Moroccan banks which achieved this remarkably rapid expansion.
The analyses serve the checking of two hypotheses: first, the hypothesis that GDP growth is taken as a signal for banking market potential; second, the hypothesis that exports from Morocco to the host country lure Moroccan banks to the same country.