Dubai: Khaleeji Commercial Bank, one of the leading banks in Gulf, has raised $163.5 million of equity from investors across Gulf Cooperation Council (GCC) countries for a venture with Danat India Investment Company, bank officials said.
Danat has plans to invest in a real estate development project near New Delhi, targeting at the expanding Indian middle class.
“We are pleased with the response to Danat, which is our first foray into the Indian subcontinent,” said Khaleeji Commercial Bank CEO Ebrahim H Ebrahim.
“With a target return on investment of 83% over a three-year period, Danat seeks to address the demand for middle income residential properties driven by increasing urbanisation and easier financing options.
“It offers our investors an opportunity to potentially benefit from the continued growth of the Indian economy,” Ebrahim said.
“We believe there are opportunities in other emerging markets including India and other parts of Asia, which we would like to capitalise on,” he added.
India, currently one of the leading emerging markets, is expected to be the world’s third largest economy by 2050, ahead of Japan, the UK and Germany.