Credit Suisse Hiring Morgan Stanley Dubai Banker Luthra

Credit Suisse Group AG is hiring Morgan Stanley dealmaker Tara Luthra to help expand its investment banking operations in the Middle East, according to people familiar with the matter.

Luthra will continue to be based in Dubai, the people said, asking not to be identified as the matter is private. She was an executive director at Morgan Stanley and had worked at the US bank for more than 12 years, according to her LinkedIn profile.

Representatives for Morgan Stanley and Credit Suisse declined to comment.

Deal activity in the Middle East is being fuelled by governments taking measures to diversify their economies away from oil. Sovereign wealth funds, including Saudi Arabia’s Public Investment Fund, are deploying billions of dollars to buy stakes in companies ranging from Facebook Inc. to Citigroup Inc. at a time when stock prices have been battered.

Last year, Credit Suisse hired veteran Middle East banker Hazem Shawki from Goldman Sachs Group Inc. to head its investment banking business for the Middle East, Africa and Turkey. The bank had just received a full banking license to operate in Saudi Arabia and brought in Shawki in part to help develop business in the kingdom.

Credit Suisse advised Ahli United Bank BSC on its $8.8 billion acquisition by Kuwait Finance House KSCP, which was agreed last year.