UAE, Israel mull setting up banking ties

By Masood Sattar Khan
(Pakistan News & Features Services)

After agreeing on setting up diplomatic relations, talks for potential business partnership is underway between Dubai’s leading bank Emirates NBD and Bank Leumi of Israel, an Arab newspaper quoted market sources.

“The fact that Emirates NBD has not denied earlier reports of talks with the Israeli bank and the recent normalization of diplomatic relations between the two countries point to something really happening between two entities,” an insider reckoned. 

Although the talks between the two entities were significant as a first step towards the normalization of business between the two countries, any deal of cooperation will require board level approvals of both banks and regulatory approvals of the central banks from both countries. 

“The formalization of ties with the state of Israel through this new law will pave way for more businesses in both countries to explore business opportunities,” the sources added. 

The analysts were of the opinion that the normalization of ties would be mutually beneficial to both countries in terms of business and scientific cooperation.