UAE's state-owned Union National Bank (UNB) and IndusInd Bank (IBL) announced a strategic alliance on Monday.
The strategic alliance will encompass a wide range of banking services, including deposit accounts, remittance business, loans, wealth management advisory, distribution of third party products, trade finance, global banking, and investment banking including corporate finance.
Through this alliance both banks will focus primarily on the business opportunities generated by expatriate minority communities (especially Non-Resident Indians) in the UAE.
IBL and UNB will treat each other as preferred partners with reciprocity of business flows and promotion of each other’s banking services.
Mohammad Nasr Abdeen, CEO of Union National Bank, said, "This strategic alliance between the two banks is expected to create significant new business opportunities."
When asked whether the bank would look at acquiring any bank in India post-2009, when the Indian banking industry would be open for foreign acquisition, he answered in the affirmative.
"For sure, we will vie for acquisition in India at that time. In fact, India remains in the top priority list for us outside UAE," he said adding, the vast potential of the country would always remain enticing for any investor.
Having an asset base of USD 9.5 billion, UNB is one of the fastest growing banks in the UAE.
Meanwhile, UNB has set its eyes on two small-sized banks in Egypt for acquisition.
Having an asset base of USD 9.5 billion, UNB is one of the fastest growing banks in the UAE.
Meanwhile, UNB has set its eyes on two small-sized banks in Egypt for acquisition.
"We are in the process of acquiring two small-sized banks in Egypt. One of them is listed and the other is not," Abdeen said.
The growing economy of Egypt and its appetite for retail credit prompted the bank to make its presence in a big way in that country, he added.