Latest News | Mashreq Becomes 1st UAE-based Bank to Get In-principle Nod to Set Up Branch in GIFT City

New Delhi, Jul 2 (PTI) UAE-based lender Mashreq on Wednesday announced that it has received in-principle approval (IPA) to open a new International Financial Services Centre Banking Unit (IBU) within the Gujarat International Finance Tec-City (GIFT City).

This makes the first UAE-based bank to have received the IPA from the International Financial Services Centres Authority (IFSCA), Mashreq said in a statement.

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The upcoming branch is expected to go live by the fourth quarter of 2025, subject to all regulatory clearances, it said.

"We are deeply confident in the potential of India's dynamic financial ecosystem. This milestone complements our commitment to fostering innovation, investment and facilitating trade between India and multiple key corridors in the Middle East and across the world, as we aim to leverage our extensive global network," Ahmed Abdelaal, Group CEO of Mashreq, said.

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Mashreq has already secured UAE Central Bank and SEZ authority approvals, it said, adding that it is now in the final stages of obtaining the IFSCA full license.

The GIFT City branch will offer a suite of services, including foreign currency loans, trade finance solutions, and treasury and risk management products, it said.

With its proximity to Indian clients and the benefits of operating within a single time zone, the GIFT City branch will offer enhanced convenience and faster turnaround for customers, it said.

Additionally, regulatory incentives such as Tax Deducted at Source (TDS) exemptions in the initial years will support competitive structuring of financial solutions, it said.

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)