Brazil’s mortgage lender Caixa Economica Federal is considering launch of a new investment-banking division, chief financial officer Marcio Percival has revealed.
Speaking in an interview, Percival was quoted by Bloomberg as saying that the new unit is likely to be opened by the second quarter of 2013 and would focus on offering online trading, capital markets and creation of investment funds.
"These activities, which are now scattered inside Caixa, will have a focus. We are going to get into the market to work in all the areas an investment bank works." Percival added.
Additionally, the bank said that the new banking business will receive approval from the central bank in the first quarter of 2013 and operation will be carried out by current existing staff.
According to the country’s central bank, Brazil’s total credit in September had increased by 16% when compared to 2011.
In the current quarter of 2012, the bank is planning to lend BRL100bn ($47.9m) and hopes to expand its loan book by 42% by the end of this year, Percival said.