Japan's largest investment bank Nomura Holdings said it plans to reconstruct its operations in the Middle East after the loss of several top executives in 2012, according to its regional head.
Under chief executive Koji Nagai, Nomura has decided to cut costs and to pull out an additional $1 billion in costs, leading to speculations in the banking community that the bank planned to shut off its business presence in the region.
Company's chief executive John Phizackerly for Europe, Middle East and Africa, however, reassured during an interview that they are actually planning to continue growing in the Middle East. He added that the management is now looking forward for an interview with senior candidates in Dubai.
In 2012, large institutions in Europe and in the U.S. have been reducing their investment banking operations in the region as the need to reduce costs and the sluggish deal activity overshadowed the promising emerging markets.
But the growth of financial markets in Middle East is slowly pushing signs of recovery, with global firms resuming plans for expansion in the region.
According to Reuters, mergers and acquisitions deals with region targets posted $20 billion during 2012, doubling the deal activity recorded in the earlier year.
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