Arqaam Capital, a Dubai-based emerging markets investment bank, has obtained a banking licence to invest in South Africa-listed stocks from the Johannesburg Stock Exchange. It is looking to offer derivatives and bonds in the near future.

The bank will be using South Africa as a base for its African investment and advisory business, which is set to initially focus on Ghana, Kenya and Nigeria.

Arqaam also plans to launch an Africa fund in the second quarter of 2014, according to Amin el-Kholy, managing director of asset management at the firm.

The fund, which will focus on the entire African continent excluding South Africa, will include 20-25 stocks. Arqaam has secured commitments to manage up to $50m, although it could initially start with a lower amount, depending on the number of suitable opportunities identified.