{"id":108912,"date":"2025-10-29T00:00:00","date_gmt":"2025-10-29T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/uae\/this-morning-emirates-nbds-push-in-india-could-move-ahead-as-indian-regulators-mull-raising-foreign-investment-cap-are-emirates-nbd-and-fab-eyeing-expansions-in-egypt\/"},"modified":"2025-10-29T00:00:00","modified_gmt":"2025-10-29T00:00:00","slug":"this-morning-emirates-nbds-push-in-india-could-move-ahead-as-indian-regulators-mull-raising-foreign-investment-cap-are-emirates-nbd-and-fab-eyeing-expansions-in-egypt","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/uae\/2025\/10\/29\/this-morning-emirates-nbds-push-in-india-could-move-ahead-as-indian-regulators-mull-raising-foreign-investment-cap-are-emirates-nbd-and-fab-eyeing-expansions-in-egypt\/","title":{"rendered":"THIS MORNING: Emirates NBD\u2019s push in India could move ahead as Indian regulators mull raising foreign investment cap + Are Emirates NBD and FAB eyeing expansions in Egypt?"},"content":{"rendered":"

Good morning, friends, and happy hump day. <\/strong>Our issue today is packed with big energy-related news and earnings. The big story of the day?<\/strong> Masdar and EtihadWe\u2019s new renewable energy contracts in Saudi Arabia, which will see them develop some 3.5 GW of capacity in the Kingdom. <\/p>\n

On the earnings side<\/strong>, we have updates from Adnoc Drilling, e&, Dubai Islamic Bank, Aldar Properties and more for their 3Q financials. <\/p>\n

Plus: <\/strong>The ADGM is out with new regulations setting harsher fines on contraventions and expanding its regulatory powers. Let\u2019s dive in. <\/p>\n

WEATHER- <\/strong>Expect a high of 33\u00b0C and an overnight low of 25\u00b0C in both Dubai<\/strong> and Abu Dhabi<\/strong> today, as temperatures continue to cool down, according to our favorite weather app.<\/p>\n

WATCH THIS SPACE- <\/p>\n

<\/a> #1- Good news for Emirates NBD\u2019s push in India: <\/strong>The Indian Finance Ministry and Reserve Bank of India are weighing a proposal to raise the foreign direct investment (FDI) limit in state-run banks to 49%, more than double its current cap, Reuters<\/a> reports, quoting unnamed sources. The proposed change would align public sector banks more closely with private lenders, where foreign ownership is permitted up to 74%. <\/p>\n

This comes as Emirates NBD prepares to <\/strong>acquire a USD 3 bn, 60% stake in RBL Bank<\/a><\/strong>.<\/strong> The agreement is awaiting regulatory approvals due to the existing cap on foreign investments.<\/p>\n

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<\/a> #2- Speaking of Emirati banks\u2019 push abroad\u2026: <\/strong>Not one, but two Emirati lenders are said to be eyeing HSBC\u2019s retail business in Egypt, after the global bank said it\u2019s undertaking a \u201cstrategic review\u201d of the unit in Egypt. That\u2019s C-suite speak for \u201cwe\u2019re looking at options,\u201d which range from solicit offers for the business as part of a potential sale process to keep it as it is. HSBC hasn\u2019t said how long the review would take and there are no changes for retail customers now.<\/p>\n

Disclaimer: <\/strong>This is all premature. HSBC isn\u2019t yet accepting expressions of interest and won\u2019t unless the review process it announced last week points in that direction. As it is, the review is just getting underway and the bank hasn\u2019t made any decisions.<\/p>\n

Still, the posturing has already begun: <\/strong>Al Mal reported earlier this week that Emirates NBD is interested, quoting an unnamed source as saying the UAE-based lender was running \u201cpreliminary studies on the portfolio,\u201d while Asharq Business<\/a> reports that First Abu Dhabi Bank is also in talks to acquire its portfolio in Egypt. Its portfolio includes roughly EGP 20 bn in loans and EGP 120 bn in deposits. <\/p>\n

Our take: <\/strong>We\u2019d absolutely expect Emirates NBD to be interested \u2014 it\u2019s already pushing into India with a high-profile acquisition. We believe HSBC Egypt\u2019s retail portfolio is disproportionately weighted toward high-value clients attracted to its Premier proposition. We would be surprised if market heavyweight CIB isn\u2019t interested in having a look, as would QNB Al Ahly \u2014 if, indeed, HSBC Group decides the retail portfolio is up for grabs.<\/p>\n

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#3- The UAE g<\/strong>overnment is expected to maintain \u201csufficient net asset buffers to sustain<\/strong> its spending plans<\/strong> through economic cycles or fluctuations in commodity prices,\u201d barring a prolonged external shock, S&P Global\u2019s Sovereign Ratings Senior Analyst Juili Pargaonkar told EnterpriseAM in comments on the UAE\u2019s record 2026 budget<\/a> approved by the cabinet on Monday.<\/p>\n

REMEMBER- <\/strong>The final spending plan of the new budget sets out a whopping 29.2% y-o-y jump in expenditure and revenues to AED 92.4 bn compared to 2025\u2019s AED 71.5 bn budget. <\/p>\n

\u201c<\/strong>The main contributors to federal revenue include service fees, taxes, and investment <\/strong><\/p>\n

returns<\/strong> from key government-related entities such as Etisalat and Du,\u201d Pargaonkar said. \u201cProceeds from corporate tax and a global minimum tax of 15% on multinational companies, effective January 2025, are expected to bolster revenue from 2026,\u201d she added. What\u2019s excluded from the budget though are high-profile projects like the Saadiyat Cultural District, the expansion of Al Maktoum Airport, and The Wynn Integrated Resort in Ras Al Khaimah, which fall under each emirate\u2019s remit. <\/p>\n

S&P estimates the UAE's consolidated government liquid assets at 200% of GDP<\/strong>, according to Pargaokar. This substantial net asset position acts as a buffer against oil price volatility and other fiscal hurdles, Pargaonkar added. Inflation is also expected to remain in check despite the increase in spending, she added, citing the centrally administered prices for many basic goods, in addition to the AED\u2019s peg to the USD. <\/p>\n

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<\/a> #4- <\/strong>Fujairah gearing up to invest USD 500 mn into Hamra port?<\/strong> Fujairah will invest USD 500 mn into the initial phase of its planned USD 3 bn oil logistics zone<\/a> at Egypt\u2019s Al Hamra Port on the Mediterranean coast, an Egyptian government official told EnterpriseAM. The agreement comes after Fujairah and Egypt inked an agreement earlier this month<\/a> to set up a joint-stock company to advance the project. <\/p>\n

What we know:<\/strong> The project is making headway and is expected to obtain a golden license, said the source. The project looks to boost exports to Europe via the Mediterranean as well as solidify Egypt\u2019s position as a regional center for energy trade. It also will reduce the cost of petroleum imports. Sources previously said that the project will be completed within three years from the date of construction \u2014 work on the superstructure will kick off early next year.<\/p>\n

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<\/a> #5- <\/strong>CBUAE <\/strong>prepares new telemarketing rules for banks, FIs:<\/strong> The Central Bank of the UAE (CBUAE) is drafting a new regulatory framework for telemarketing for banking and financial services, according to Emarat Al Youm<\/a>, which obtained a copy of the draft regulation. <\/p>\n

Requirements in the works: <\/strong>Firms will need to secure written board-level approval \u2014 and, in some cases, approval from the CBUAE \u2014 before contacting customers. They\u2019ll also need to obtain prior consent and maintain an up-to-date, do-not-call register for customers opting out of further contact, along with a guide explaining how to opt out of calls and a communication channel for queries. It will also specify the digital, written, and verbal methods to secure customers\u2019 consent.<\/p>\n

The draft regs will limit calls to between 9am-6pm from Monday to Friday, and 12pm-5pm on Saturday and Sunday<\/strong>, and require intensive training of telemarketing employees on customer privacy and ethical standards. No calls will be permitted on official holidays, while institutions must comply with any preferred contact time specified by customers. <\/p>\n

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<\/a> #6- UAE to roll out emirate-specific online gaming licences? <\/strong>The UAE\u2019s General Commercial Gaming Regulatory Authority (GCGRA) is expected to adopt a one-license-per-emirate model for online gaming, mirroring the framework used for land-based casinos, Inside Asian Gaming<\/a> reported, citing a Vixio GamblingCompliance<\/a> report quoting sources familiar with the matter.<\/p>\n

Under the model<\/strong>, each of the country\u2019s seven emirates may issue a single B2C online gaming license with the GCGRA to firms, with individual emirates deciding whether or not to participate. Only two or three emirates are likely to opt in for online gaming operations, industry observers told Vixio.<\/p>\n

Background: <\/strong>Estonia-based gaming group Yolo Group subsidiaries Hub88 Holdings and Live Online Gaming Services (Live88) received gaming-related vendor licenses<\/a> from the General Commercial Gaming Regulatory Authority (GCGRA) last week, making Live88 the UAE\u2019s first licensed live online casino, and allowing Yolo to supply B2B iGaming content to the UAE.<\/p>\n

IN CONTEXT- <\/strong>The UAE became the first regulated gaming market in the GCC after issuing its national gaming framework last year<\/a>. The GCGRA has since rolled out key licenses, including the country\u2019s first lottery license to The Game<\/a>, vendor approvals for TCSJohnHuxley<\/a> and Australia\u2019s Aristocrat<\/a>, and a commercial gaming license<\/a> for Wynn Resorts, which is set to be the first integrated gaming resort in the MENA region.<\/p>\n

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#7- <\/strong>Dubai <\/strong>links trade and finance under new dual-zone framework: <\/strong>DP World<\/a> \u2019s Jebel Ali Freezone Authority (Jafza) and the Dubai International Financial Centre (DIFC) have inked an agreement creating a unified framework for companies seeking to operate across both industrial and financial ecosystems, according to the Dubai Media Office<\/a>.<\/p>\n

The details: <\/strong>The arrangement would connect Jafza\u2019s manufacturing logistics base with DIFC\u2019s financial infrastructure. It would allow companies to use DIFC for holding structures, family offices, and investment vehicles \u2014 with access to banks and financial advisory services under DIFC\u2019S regulatory regime \u2014 and use Jafza for manufacturing, warehousing, distribution, and other supply chain services through Jebel Ali Port. <\/p>\n

PSAs- <\/p>\n

#1- <\/strong>Dubai<\/strong> residents will be able to pay government service fees via digital wallet <\/strong>platforms <\/strong>including Apple Pay, Google Pay, and Alipay, according to a Dubai Media Office<\/a> statement citing Dubai Finance. The rollout, integrated with Dubai Pay and the DubaiNow app, covers services across all Dubai government entities and is expected to be completed by the end of the year.<\/p>\n

#2- Settlements for unattested leases in Sharjah: <\/strong>Sharjah\u2019s Executive Council (SEC) approved a temporary settlement scheme for unattested lease contracts, Sharjah24<\/a> reports. Those responsible for attesting contracts will receive a 50% exemption on attestation fees and a waiver of administration fines for non-attestation on unattested lease contracts signed before the implementation of the emirate\u2019s new real estate law<\/a>. The exemptions \u2014 covering residential, commercial, industrial, and investment contracts \u2014 will be valid from 1 November to 31 December. <\/p>\n

HAPPENING TODAY- <\/p>\n

#1- The US Federal Reserve is expected to cut interest rates for the second time after<\/strong> its <\/strong>September cut<\/a><\/strong> at its Federal Open Market Committee today.<\/strong> Softer US inflation figures that came out last week<\/a> put the Fed on course to make another small 25 basis point cut, analysts say. <\/p>\n

Speaking of the Fed, Treasury Secretary Scott Bessent said the Fed\u2019s next heir will likely be named by the end of the year<\/strong>, after whittling down the shortlist of candidates to just five, CNBC<\/a> reports. The names potentially replacing current Fed chair Jerome Powell are: Fed governors Christopher Waller and Michelle Bowman, National Economic Council Director Kevin Hassett, former Fed Governor Kevin Warsh, and BlackRock executive Rick Rieder. <\/p>\n

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#2- The <\/strong>Future Hospitality Summit<\/a><\/strong> wraps today<\/strong> at Madinat Jumeirah in Dubai. The summit brings together global hospitality leaders, investors, and industry leaders to explore investments to scale their businesses across key sectors, from hospitality to sustainability, technology, startups, talent, education, and branded residences.<\/p>\n

#3- The <\/strong>Asia Pacific Cities Summit<\/a><\/strong> also wraps today<\/strong> at the Dubai Exhibition Center. The three-day summit gathers government leaders, urban planners, and industry experts from across the Asia-Pacific region to discuss sustainable city development, smart infrastructure, and cross-border collaboration. <\/p>\n

#4- The Abu Dhabi Infrastructure Summit Roadshow will head to<\/strong> China today<\/strong> after its first leg in Singapore, before wrapping up in Ankara and Istanbul in November, state news agency Wam<\/a> reports. The roadshow will include conferences, B2B meetings, and site visits as it looks to drum up international interest in Abu Dhabi\u2019s USD 54 bn pipeline of infrastructure projects. It is backed by the Abu Dhabi Investment Office and the Department of Municipalities and Transport. <\/p>\n

#5- The <\/strong>Annual Gulf Ins. Forum<\/a><\/strong> ends today <\/strong>at the Millennium Plaza Downtown Hotel, Dubai. The event will gather insurers, brokers, and regulators from across the region to discuss reins. capacity, pricing, solvency, and risk management in GCC markets, with sessions focusing on resilience, catastrophe response, and financial strength.<\/p>\n

#6- The <\/strong>International Forum of Sovereign Wealth Funds<\/a><\/strong> kicks off today and runs through<\/strong> to Friday<\/strong> at ADGM. Hosted by Abu Dhabi Investment Authority and Mubadala Investment Company, the event brings together global CEOs and senior executives from sovereign wealth funds with combined assets of more than USD 10 tn, and serves as a platform to exchange ideas and insights on the role sovereign wealth funds play in responding to global volatilities and shaping economic resilience.<\/p>\n

#7- The <\/strong>Branded Residences Forum<\/a><\/strong> is taking place today <\/strong>at Madinat Jumeirah in Dubai, bringing together developers, hospitality groups, and investors to examine the growing demand for branded real estate and evolving partnerships between luxury hotel brands and property developers.<\/p>\n

THE BIG STORY ABROAD- <\/p>\n

A mix of Big Tech news and headlines from the region are getting attention this morning<\/strong>: <\/p>\n

#1- The Israel-Hamas ceasefire seems to be in its most fragile state yet<\/strong>, after Israel launched military strikes on Gaza yesterday, killing 26 people. An Israeli military official said the strike was in response to an attack from Hamas against Israeli military forces in an area within Gaza that is under Israeli control. (Reuters<\/a> | Bloomberg<\/a> | Financial Times<\/a>)<\/p>\n

#2- OpenAI is likely on track for a public listing<\/strong>, after a restructuring agreement with Microsoft that will see it abandon its nonprofit roots and turn into a public benefit corporation controlled by a nonprofit, as it looks to fund ambitious plans for data centers and AI technology. Microsoft will retain its 27% stake in the firm under the agreement. Its shares rose 2.5% on the news, sending its valuation above USD 4 tn. (Reuters<\/a> | FT<\/a> | CNBC<\/a> | Wall Street Journal<\/a>) <\/p>\n

#3- Also joining the USD 4 tn club yesterday: Apple<\/strong>, which is benefitting from an ongoing rally prompted by positive sales momentum for its new iPhone 17. Only Nvidia and Microsoft have hit the USD 4 tn mark. (Reuters<\/a> | <\/p>\n

#4- As for the USD 5 tn club\u2026:<\/strong> Nvidia was close to touching the USD 5 tn mark after its shares soared 5% yesterday, briefly touching USD 4.94 tn before settling at USD 4.89 tn. This came after it said it had USD 500 bn in bookings for its AI processors. (Reuters<\/a>)<\/p>\n

Other headlines from the firm: <\/strong><\/p>\n