MEA’s QNB Opens Its Branch in GIFT City to Offer Financial Support to Indian Biz

Middle East and Africa’s (MEA) largest financial institution, QNB, has become the first bank from the region to launch its branch in Gujarat’s GIFT City. The Doha-headquartered financial institution, through its Gift City branch, is eyeing to offer financial support to Indian companies seeking global banking partners to boost expansion, the Economic Times reported. 

“India’s banking sector is on a strong growth trajectory, underpinned by robust economic fundamentals. With improving asset quality and solid operational performance, this is an ideal time for QNB to expand its footprint,” said QNB Group CEO Abdullah Mubarak Al Khalifa, according to ET. QNB’s decision to invest in India is driven by the country’s growth potential for its wholesale banking business, complemented by its global reach and expertise, the CEO added.

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The Doha-headquartered financial institution first entered India in 2017 and since then has gradually expanded in the country to cater to the financial needs of Indian corporates. 

“India is among the world’s fastest-growing major economies and is poised to become a global manufacturing and supply chain hub,” said Senior Executive VP of International Business at QNB Group, Ali Darwish. 

Apart from QNB, Gujarat International Financial Tec (GIFT) City has attracted several other international financial institutions to set up their offices in it, including Japan’s MUFG, Standard Chartered Bank, Hongkong & Shanghai Bank, Citibank NA, Barclays Bank, Deutsche Bank and JP Morgan Chase. The US-based multinational investment and financial services company, Bank of America Corporation, was one of the first to set up a delivery centre in GIFT City’s Special Economic Zone (SEZ). 

Besides the Indian economy’s growth, the indirect tax benefits provided by the government to promote financial activity via GIFT city is another factor attracting global financial institutions. 

“Foreign banks choosing GIFT City signifies its growing recognition among global financial centres, based on its competitive tax regime, conducive regulatory framework and ease of doing business,” GIFT City MD and Group CEO Tapan Ray had said earlier.