* Plans to hire 50 pct more staff in Middle East
* Has around 40 staff in Dubai currently
* Infrastructure, aircraft finance and energy sectors a
By David French
DUBAI, May 13 Natixis plans to
increase staffing levels in the Middle East by 50 percent in
2014, a top executive of the French investment bank said, as the
lender looks to gain more revenue from outside its home market.
The bank, whose parent is French retail lender BPCE, has
targeted further diversification from its home market, which has
suffered from sluggish growth and the euro zone crisis, as well
as reduced costs in its 2014-2017 strategic plan.
This foresees an increase in the split of business it
generates outside France from around half now to two-thirds by
the end of 2017.
Having concentrated in 2013 on building its business in
Latin America and Japan, the bank will invest in the Middle East
this year, said Olivier Perquel, head of financing and global
"We are pushing very hard all of our core businesses, with
the idea that we want to have product people locally," Perquel
told Reuters in an interview at the bank's Dubai office.
Perquel said the growth in the region would build steadily
on its current business, which contributes around 5 percent of
the bank's total revenue. Natixis has around 40 staff in Dubai,
as well as a small representative office in Egypt.
"We want to have one or two product specialists in each of
the areas that we want to push here," he said, adding that
infrastructure, aircraft finance and energy and commodity
sectors were a focus.
The amount of business available in the infrastructure space
- Qatar alone is forecast to announce projects worth over $200
billion between 2013 and 2018 - and the growth plans of airlines
such as Emirates, Etihad and Qatar Airways has drawn
the attention of other European banks.
Areas which Natixis was looking to beef up were capital
markets, trade and Islamic finance and coverage bankers to
manage relationships directly, Simon Eedle, head of the Middle
East for Natixis, said.
Having bankers on the ground in the Middle East has always
been important in a region where culture places significance on
personal relationships and face-to-face meetings.
International banks have found this balance difficult at
times. Having piled resources into the Gulf in the second half
of the last decade to exploit business stemming from hydrocarbon
wealth, many later withdrew staff as problems at home combined
with weaker returns than had been expected as the region
suffered problems including property bubbles bursting.
Perquel noted that Natixis' strategy for the region needed
to have continuity at its heart.
"An element which is clearly written in marble in this
strategic plan is we want to build for consistency and don't
want to get back into the bad habits of stop-and-go that we and
some of our competitors may have had in the past.
"We want to build gradually so that, when the going gets
tough, we can still be there for our clients," he said, adding
the bank's operations would be run from its Dubai hub for the
(Editing by Louise Heavens)