Jordan-based Arab Bank has won a tender to buy 19% of Libya's Wahda Bank for 210 million Euros ($307 million), a government official said. The Arab Bank will also have the right to eventually raise its stake to 51%.

In November, Libya’s Central Bank (LCB) said it was seeking to find a strategic partner for Wahda Bank, which has total assets of around 1.7 billion Euros and 71 branches. LCB described it as Libya's second-largest commercial bank in terms of total loans.

Many companies are looking to enter Libya which is rich in oil and gas reserves, after a recent improvement in the country’s ties with western governments.

Last year, France's biggest listed bank, BNP Paribas, bought a 19% stake in Libya's Sahara Bank.

Libya Al-Youm, Libya, February 13, 2008