Citigroup Inc. is set to hire one of JPMorgan Chase & Co.’s top bankers in Saudi Arabia as chief executive officer of its investment banking unit in the kingdom, according to people familiar with the matter, as competition for banking talent heats up in the region’s largest economy.
Fahad Al-Deweesh will replace Wassim Al-Khatib, who left earlier this year to become the head of Lazard Ltd.’s advisory business in the Middle East and North Africa, the people said, asking not to be identified because the matter isn’t public. Al-Deweesh’s appointment could be announced in the next few weeks but still needs regulatory approval, the people said.
Saudi national Al-Deweesh was most recently CEO and head of investment banking for JPMorgan’s securities unit in the kingdom where he reported to Bader Alamoudi, senior country officer and general manager for the US lender’s banking branch in the kingdom.
A representative for Citigroup declined to comment.
Saudi Arabia is becoming an increasingly important market for global banks as the kingdom embarks on a plan to diversify its economy away from oil by selling stakes in state-owned companies and investing in new industries. Even as the global financial community contends with layoffs and lower bonuses, banking jobs remain plentiful in the kingdom and salaries are surging. Financial firms such as Moelis & Co., Citigroup and Goldman Sachs Group Inc. are looking to put more boots on the ground to make the most of a dealmaking bonanza.
State vehicles like the Public Investment Fund are also hiring at breakneck speed to keep up with the crown prince’s plans to overhaul the economy and has been recruiting from banks including HSBC Holdings Plc and Goldman Sachs.
Still, the severe rules and the prospect of a monotonous lifestyle in Riyadh often make expats reluctant to move, meaning that experienced local employees are in short supply. Some international banks have responded by training junior staff in the hope that they will help build strong connections within the kingdom if they eventually move to a state entity.
(Updates with details throughout.)