Emirates NBD Bank has received crucial regulatory approval from India’s central bank to acquire a majority stake in RBL Bank, marking a significant development in one of the largest cross-border transactions within India’s financial sector.
The Reserve Bank of India authorised Emirates NBD to acquire up to 74% of RBL Bank’s share capital, stipulating that it must retain a minimum of 51% ownership. The RBI has limited Emirates NBD’s voting rights to 26% of the total.
In October 2022, Emirates NBD announced plans to purchase a 60% stake in RBL Bank for approximately $3B. The bank is set to invest 268.53B Indian rupees, around $3.05B, through a preferential share issue, which will also grant it the right to nominate directors to RBL Bank’s board.
Under the RBI’s guidelines, RBL Bank will be considered a subsidiary of a foreign bank, with Emirates NBD designated as its parent entity.
Governance for RBL Bank will follow the regulations applicable to wholly owned foreign subsidiaries, although it will be exempt from the stipulation that requires at least half of its board members to be independent directors. The deal was previously cleared by India’s competition regulator in January, and the RBI’s approval is valid for one year.
This transaction is taking place as deal activity within India’s financial services sector intensifies, amid challenges faced by Gulf-based businesses due to ongoing regional conflicts.
As of December 2025, RBL Bank reported total assets of 1.57T rupees ($17.08B) and deposits amounting to 1.19T rupees ($12.95B), according to its latest investor presentation.
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