FAB offers $1.5 billion to NRIs to bolster India's forex
First Abu Dhabi Bank (FAB), the biggest bank in the UAE, is putting $1.5 billion on the table for nonresident Indians (NRIs) who want to invest in India's foreign-currency deposit schemes.
The move is designed to help India strengthen its foreign exchange reserves and keep the rupee steady, especially during these unpredictable economic times.
FAB offers 9-times leverage
FAB's offer lets NRIs use nine-times leverage: put down $1 million, get a $9 million loan, and you can invest with $10 million total.
The bank is in talks with Indian banks for extra security if someone can't repay.
With other banks offering interest rates up to 7.75% and talks between the RBI and the UAE central bank ongoing, this program could attract as much as $50 billion from the global Indian community, giving a serious boost to India's economy.