Investors from Egypt and Turkey have won the approval of the Federal Government of Somalia (FGS) to set up banks in Somalia.
The Board of Directors of the Central Bank of Somalia (CBS) approved this on July 3.
CBS released a press statement on Sunday indicating that its board has approved the request by Banque Misr and Ziraat Katilim to set up banks in Somalia.
Banque Misr is Egyptian-owned while Ziraat Katilim is a Turkish bank.
CBS Board of Directors met on July 2 to deliberate the issue.
According to CBS, the Board of Directors spent months reviewing the applications by the two financial institutions.
CBS announced that the two applicants had fulfilled all requirements for licensing.
Consequently, the announcement means that the two institutions are now free to open their branches in the East African nation.
Banque Misr and Ziraat Katilim now become the first international banks to operate in Somalia.