RAK Bank to close 25% of its branches next month | ZAWYA MENA Edition

RAK Bank to close 25% of its branches next month | ZAWYA MENA Edition:

The National Bank of Ras Al Khaimah (RAK Bank) will shut down nine branches from next month as demand for digital banking grows among the UAE residents.

The lender will close six branches in Dubai and one each in Sharjah, Khor Fakkan and Abu Dhabi from September 3, 2020. In Dubai, branches in Al Ras, Mirdiff, Marina Diamond, Al Quoz Industrial, Dubai Investment Park and Jebel Ali Free Zone will be closed, while Sharjah's industrial area and Abu Dhabi's Al Jazeera branches will also be shut, it said in a statement sent to its customers.

Operating 36 branches across the country, the closure of nine branches will reduce the lender's network by 25 per cent.

Banks in the UAE have been reducing branches as customer footfall continues to drop, especially after the outbreak of the coronavirus pandemic as more residents are opting for digital banking. Banks are also investing heavily in the development of digital infrastructure, which also reduces cost for them in the long run.