Banks and the rush for Foreign Partners

At the last count, more than ten (10) were in various stages of discussion with various transnational financial institutions such as HSBC, Goldman Sachs, Morgan Stanley, JPMorgan etcetera. What is yet to be very clear is if these partnerships are strictly for the purpose of having a shot at managing the country's increasing external reserves, which currently stand at over $28 billion, or if it will be more encompassing. I believe it will be in the best interest of the economy and the banks involved to have a more involving collaboration, even to the point of having foreign acquisitions.

There are two reasons I have for this: firstly, the foreign reserves custody business is a low-margin one the world over. secondly, increased foreign participation in the banking industry will open the banks and by extension the economy to cheaper sources of capital, than we have hitherto been used to.