Commerzbank of Germany, one of the largest universal banks in Europe, has concluded plans to syndicate foreign denominated currency facilities for 12 Nigerian banks. The initiative is coming ahead of the formal commissioning of the German bank's representative office in Lagos next week.

Mr. Florian M. Witt, who has arrived the country to head the Lagos office, would not disclose the banks involved and also declined the value of the facilities. But Witt, in a chat with newsmen in Lagos, said the bank was tickled into establishing the Lagos office by the tremendous rise in the fortunes of the nation's financial institutions.

According to him, Nigerian banks have shown great features of credibility and strength, and we are ready to partner with them in project financing in such areas like commerce, industry, infrastructure, oil and gas among others. He said: "The consolidation programme in Nigeria's banking sector was very efficiently carried out and actually recorded extreme success. It was well received in the international market. This has now enabled the banks to become adequately strengthened to play bigger roles in project financing.
"Indeed, the scenario has now positioned Nigeria as the financial hub for sub-Saharan Africa and we have actually witnessed the country's banks making successful business forays into both Anglophone and francophone West African countries."The BB-rating for Nigeria, in terms of risk factor, has raised the confidence level of international capital market players in the country's economy."

He added: "Since return to democracy in 1999, Nigeria has experienced a very positive political and economic development. As the most populous country on the continent and as an important member of the Organisation of Petroleum Exporting Countries, Nigeria is an interesting market for producers of capital and consumer goods, as well as service industry players. Therefore, Commerzbank decided to have a physical presence here."

Witt explained that the representative office in Lagos would maintain and expand the bank's relationships with the Federal Government, the Central Bank of Nigeria and local financial institutions."Commerzbank will also provide conferences and training seminars to professionals in the financial institutions sectors, a sign of commitment to the market. Furthermore, it will accompany German and non-German corporate clients entering and working in the Nigerian market," he said.

The bank, last week, opened a representative office in Dubai. It also recently opened shop in Panama City, Addis-Ababa in Ethiopia, Cairo in Egypt and Johannesburg in South Africa, among other places.

Commerzbank is actively involved in retail banking, asset management, corporate and investment banking, as well as real estate and public finance. It is represented in over 40 countries worldwide, with a 35,000 workforce and total assets of about $900 billion.