Kotak Mahindra Bank Gets UAE License for Investment Services
India’s well-known financial group, Kotak Mahindra Bank, has taken a big step by receiving a license from the UAE Securities & Commodities Authority (SCA). This license has been given to its unit, Kotak Mahindra (International) Ltd. (KMIL), and it allows the bank to carry out investment fund and portfolio management services in the UAE. With this approval, Kotak Mahindra becomes the first Indian financial company to get such a license, marking a very important achievement in India–UAE business relations.
This move will play a big role in making cross-border investments between India and the UAE easier. It comes at a time when the Comprehensive Economic Partnership Agreement (CEPA) between the two nations has already been helping more trade and investment flows. With this new license, UAE investors will soon have access to funds directly linked to India’s fast-growing economy.
Stronger India–UAE Financial Links
The UAE has always been a bridge for global investors looking at India’s growth story. With CEPA boosting trade and business, Kotak Mahindra’s entry into the UAE is not just an expansion plan—it is a sign of India’s rising economic importance in the region.
The new license will allow Kotak to launch UAE-domiciled investment funds. This means retail investors in the UAE can now invest directly in products linked to Indian opportunities. It also supports the UAE’s vision to remain a global financial hub by opening more doors for regional and international investors.
Benefits for Retail Investors
Shyam Kumar, President and Head of Kotak International, explained that India’s strong and steady economic growth is drawing global attention. With this license, Kotak Mahindra can bring India-focused investments to everyday investors in the UAE.
These funds will give investors a chance to diversify their savings while investing in one of the world’s fastest-growing markets. The bank’s planned funds will follow the same structure as Kotak’s UCITS funds in Luxembourg and India-based strategies. Investors in the UAE will be able to start subscribing to these funds by the end of 2025.
First Indian Firm with SCA License
Kotak Mahindra is the first Indian financial company to get this license from the SCA. This is not only a proud moment for the bank but also a big step for India’s financial industry. It shows that the UAE is open to giving Indian firms more space in its financial market.
With a large Indian community in the UAE, there has always been strong demand for India-related financial products. Kotak Mahindra’s official entry makes this possible in a structured and regulated way.
Kotak Mahindra’s Global Reach
This is not Kotak’s first overseas move. The bank already holds licenses in the US, UK, Singapore, and Mauritius. By adding the UAE to this list, Kotak Mahindra becomes a truly global financial group. It also helps the bank build on its mission of giving clients safe, regulated, and diverse investment choices worldwide.
Boosting Capital Flows Between India and UAE
This license will help push more capital flows between the two countries. India’s economy is growing strongly, thanks to reforms, digital growth, and new industries. At the same time, the UAE continues to grow as a regional financial hub. By creating funds that are UAE-based but focused on India, Kotak Mahindra can channel more Middle East investments into Indian sectors like technology, energy, infrastructure, and manufacturing.
This benefits both sides: UAE investors get a safe and professional way to invest in India, and India gets more foreign capital to fuel its growth.
Role of CEPA in This Growth
The India–UAE CEPA deal, signed in 2022, has already been making a huge impact. It has cut tariffs, boosted trade, and encouraged investment. Kotak Mahindra’s approval in the UAE shows how CEPA is also shaping the financial services industry.
This license is not just about fund management—it is about building long-term trust and cooperation between the two countries.
UAE as a Global Gateway
The UAE has always been a major gateway for investments. Global banks, investment firms, and wealth funds all operate here. Now, with Kotak Mahindra joining the market, UAE investors will have direct access to India-focused funds.
Investors in the UAE are always looking for ways to diversify beyond real estate and oil. India offers that opportunity. With Kotak Mahindra’s funds, they can invest in India while staying under the UAE’s financial regulations, giving them both safety and growth potential.
Fund Launch in 2025
Kotak Mahindra is planning to launch its funds in the fourth quarter of 2025. These funds will follow the bank’s already successful international strategies, while being tailored for UAE investors.
The bank aims to use its strong track record and trusted brand to make itself a well-known name in the UAE financial market. This is not just about business expansion, but also about building deeper financial ties between India and the UAE.
A New Era for India–UAE Finance
Kotak Mahindra Bank’s license in the UAE is a major milestone. It will give UAE investors access to India’s growth and bring more investment into India. It shows the UAE’s trust in Indian firms and India’s rising place in global finance.
This move is expected to set the stage for even more financial partnerships between the two countries in the future.
