First #AbuDhabi Bank Proposes Removing Foreign Ownership Cap - Bloomberg

First Abu Dhabi Bank Proposes Removing Foreign Ownership Cap - Bloomberg:

First Abu Dhabi Bank PJSC proposed removing a cap on the foreign ownership limit in its sharers after the United Arab Emirates started loosening rules to attract international investors.

The board’s proposal is subject to the supervision of regulatory authorities and would require amendments to the current laws and policies, the nation’s biggest bank said in a statement. The move has "the potential that other public companies in the U.A.E. may apply similar measures," it said.

This “is positive news for U.A.E banks as it may allow international banks to take strategic stakes in local lenders, especially for the mid to small sized lenders that are underperforming,” Edmond Christou, a financials analyst with Bloomberg Intelligence, said by email. “This is likely to bring new skills, speed up digital transformation with knowledge sharing and international investments.”