Latest news with #India-UAE
Time of India
21 hours ago
- Business
- Time of India
India-UAE Trade at $100 bn since signing CEPA
India-UAE bilateral trade has risen to $100.06 billion in FY25 from $72.87 billion in FY22 since the signing of India-UAE Comprehensive Economic Partnership Agreement ( CEPA ) on February 18, 2022 and came into force on May 1, 2022. India's merchandise exports to UAE have grown to $36.63 billion in 2024-25 from $28.04 billion in 2021-22, a growth of 7%. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Walgreens Won't Like This: A Legal 87¢ Generic Viagra Trick for Everyone fridayplans Learn More Undo
Mint
2 days ago
- Business
- Mint
How are right entitlement transfers taxed?
I am a non-resident Indian (NRI) currently residing in the United Arab Emirates (UAE). I hold shares of Mahindra Logistics Ltd, and it has just announced a rights issue. I don't want to subscribe to the issue, but want to sell the rights entitlements to a fellow NRI. What are the tax implications of doing that? The right to subscribe to financial assets (such as equity shares) is distinct from such assets themselves. The Hon'ble Supreme Court of India has held that the right to subscribe to additional securities on a rights basis arises only after the company announces the rights issue. Until such an announcement, this right, though inherent in the shareholding, remains inchoate and does not crystallise. Upon announcement, this 'Right Entitlement' (RE) becomes a separate and independent capital asset, transferable independently of the underlying shareholding. If not exercised or renounced before the issue closing date, REs lapse and are extinguished. These REs are generally qualified as short-term capital assets, as the offer for rights issues is typically open for a limited period during which the REs can be renounced. REs for listed companies are credited to the demat accounts of eligible equity shareholders who may renounce either: • On-market, via the stock exchange (which attracts Securities Transaction Tax (STT)), or • Off-market, through a private transfer (which does not attract STT). In both scenarios, any gain from the transfer of REs is taxable as short-term capital gain at the applicable slab rates, with the entire sale consideration becoming taxable, since the cost of acquisition is deemed to be nil as per Indian tax law. From a cross-border tax perspective, since REs are distinct from equity shares, they fall under Article 13(5) of the India-UAE Double Taxation Avoidance Agreement (DTAA), which is the residuary clause that covers gains from the alienation of property not covered elsewhere in Article 13. Under this clause, such gains are taxable only in the country of residence, i.e., the UAE, and not in India. Consequently, capital gains from the sale of REs by a UAE tax resident are not taxable in India under the India-UAE DTAA. To claim this benefit under the India-UAE DTAA, the following compliance is required: (a) obtain a valid Tax Residency Certificate (TRC) from UAE authorities; (b) submit Form 10F on the Indian income tax portal and (c) file an income tax return in India disclosing the capital gain and reporting it as exempt under Article 13(5). Harshal Bhuta is a partner at P. R. Bhuta & Co. Chartered Accountants.
News18
5 days ago
- Business
- News18
How The India-UAE Partnership Is Redefining Global Luxury Real Estate
In 2024 alone, Indians accounted for the largest share of all real estate purchases in Dubai, with nearly half of all prime property buyers being Indian nationals Not long ago, cities such as London, New York, and Singapore were the go-to choices for affluent Indians looking to invest in overseas real estate. But the tide is turning. A 2025 survey by Sotheby's International Realty revealed that Dubai has now overtaken London as the top international property destination for India's ultra-rich. A parallel study from the Dubai Land Department (DLD) showed that interest in overseas real estate among India's affluent has surged to 22 per cent, up from approximately 10 per cent historically. And even here, Dubai is clearly the frontrunner. As a real estate developer building in the UAE, I don't see this as just a passing trend; it's history in motion. In 2024 alone, Indians accounted for the largest share of all real estate purchases in Dubai, with nearly half of all prime property buyers being Indian nationals. As the UAE positions itself as a global capital for luxury real estate, India is playing a defining role in that rise. Cross-Border Investments One of the key reasons the India-UAE real estate partnership holds such immense promise is that this synergy is a two-way street, built on mutual value and long-term alignment. The UAE, for instance, offers unparalleled financial depth. Abu Dhabi's sovereign wealth funds collectively manage over US$1.7 trillion in assets, ranking them among the world's largest. Backed by such robust capital, the UAE consistently finances major developments worldwide, including those in India. $240 million in residential projects across major Indian cities, with a development value exceeding $2.1 billion, have already been invested by leading conglomerates in India and the UAE. Multiple real estate projects across Indian cities, including Bengaluru, Indore, and Mumbai, have begun through collaborations between Indian and Dubai firms. Moreover, with the Indian government permitting 100 per cent foreign direct investment (FDI) in the hospitality industry, the future looks bright for UAE-based investors seeking opportunities in luxury accommodations and wellness retreats in India. India, in turn, is the world's talent powerhouse. With 1.5 million engineers and 15,000 architects produced annually, the country offers a vast, cost-effective workforce with expertise in sustainable urban development. This talent fuels projects across international markets. At the same time, the UAE has a growing demand for skilled labour, particularly in engineering, architecture, and construction, driven by the scale and pace of its ongoing infrastructure boom. This presents a timely opportunity. As real estate cooperation between the two nations deepens, a bilateral framework for workforce collaboration could be a strategic next step. Streamlining the mobility of certified Indian professionals would help address the UAE's talent gaps while further strengthening integration and trust between both markets. Impetus From The Regimes Recognising the scale of Indian investment, both governments are actively encouraging the India-UAE luxury real estate partnership. In April 2025, the Dubai Land Department launched its Real Estate Connect roadshow in New Delhi, reaffirming India as a strategic partner. Policy support has followed suit. The UAE's expanded Golden Visa, zero-tax regime, and flexible residency options have made it a magnet for Indian HNIs. Landmark agreements, such as the 2022 Comprehensive Economic Partnership Agreement (CEPA) and the 2024 Bilateral Investment Treaty (BIT), are expected to further ease cross-border investments. Yet, this is only the beginning. To further coalesce the growing momentum, both nations can take proactive steps to institutionalise and scale this partnership. A dedicated India–UAE Real Estate and Infrastructure Forum would help coordinate bilateral investments and streamline large-scale development. Such a forum would help facilitate joint investments in cross-border real estate ventures, REITs, and private capital flows. This can be headquartered within hubs like GIFT City in Ahmedabad, India, and the DIFC in the UAE for maximum impact. These measures would move the partnership from merely promising to truly transformative. Conclusion As the saying goes, 'When the winds of change blow, some build walls—others build windmills." India and the UAE have chosen to build not just windmills, but entire cities. As capital flows from the UAE meet India's deep reservoir of talent and ambition, the two nations are now proactively reshaping the global luxury real estate market. Beyond building world-class skylines, the two nations are redefining where and how global wealth seeks residence, identity, and opportunity. This alliance, once rooted in oil, trade, and diaspora, may now be laying the foundation for a third pillar in bilateral relations built on the solid foundation provided by luxury real estate synergy. It's no longer just about economic exchange, but about co-creating global landmarks and lifestyle ecosystems that reflect shared values of aspiration, security, and innovation. And in doing so, they're redrawing the map of global luxury, brick by brick, and idea by idea. The author is Chairman and Founder of BnW Developments, a UAE-based real estate platform with an active Asset Under Management (AUM) of AED 15 billion, focused on luxury development and high-growth urban assets. Views expressed in the above piece are personal and solely that of the author. They do not necessarily reflect News18's views. view comments First Published: July 18, 2025, 10:42 IST News opinion Opinion | How The India-UAE Partnership Is Redefining Global Luxury Real Estate Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.
Mint
16-07-2025
- Business
- Mint
Gold's next big move? InCred Equities forecasts $5,000 target on central banks' buying spree
Central banks, the major force behind the unprecedented rally in gold prices in recent years, are likely to continue their buying streak in the coming months and years. Analysts believe this could support the yellow metal in staying at elevated levels, with prices currently hovering around $3,335 per troy ounce in the international market. Central banks worldwide are increasingly viewing gold as an alternative reserve to the US dollar, especially as the dollar is being used more frequently as a geopolitical tool, most notably through sanctions, asset freezes, and trade restrictions, which has accelerated the search for alternatives, and gold has emerged as a suitable option. The world's dependence on the US dollar has been a cornerstone of the global financial system for nearly eight decades. However, domestic brokerage firm InCred Equities said that 'cracks in the foundation are widening and the process of de-dollarisation is no longer speculative.' According to the brokerage, countries like China, Russia, and Iran have clear strategic reasons to reduce their dollar exposure. Even allies now quietly acknowledge the need to hedge against future US policy shifts. 'As global trade flows become more diversified, the reliance on a single currency is increasingly seen as inefficient and risky. Cross-border trade in yuan, dirhams, roubles, and rupees is growing—not yet at scale, but fast enough to signal a change,' InCred added. The brokerage also noted that 'central banks are buying gold at record levels' and pointed to bilateral agreements such as 'India-UAE, China-Brazil, and Russia-Iran' experimenting with local currency settlements. 'Nevertheless, the US dollar remains the king in FX markets and global reserves. But empires don't fall in a day. The British pound lost its crown slowly, over decades. The same path could await the dollar,' the note said. 'The erosion is gradual—until it's not. Whether it takes 10 years or 30, the direction is clear. The US fiscal position is deteriorating, and its politics are increasingly unstable. As confidence wanes, the world is ready with its plan B—i.e., islands of currency swaps and gold,' the brokerage underscored. According to the World Gold Council, central banks have accumulated over 1,000 tonnes of gold in each of the last three years, a significant increase from the 400–500-tonne average over the preceding decade. This surge in demand has contributed to a sharp rise in prices, with spot gold climbing from $1,828 to $2,624 over the past three calendar years. So far this year, it has even touched $3,500. Notably, gold gained $1,000 in just eight months, signaling sustained demand not only from central banks but also from other market participants. In addition, the recent survey conducted by the WGC showed that central banks are expecting a further expansion in gold reserves amid geopolitical and economic instability. Over 95% of reserve managers anticipate that central banks will continue to boost their gold holdings in the next 12 months, according to WCG. This is 17% higher than the findings of 2024. The survey also found that 43% of central banks are planning to increase their gold holdings within the next year. Interestingly, none of the WGC respondents anticipate a decline in their gold reserves. In recent years, several pivotal events have positioned gold as the preferred reserve asset for central banks. According to InCred, the first was the freezing of Russia's USD assets by the EU and the US, which exposed the vulnerability of fiat currency reserves. Secondly, the brokerage pointed to the decline of the yuan as a viable alternative reserve currency, owing to China's increasingly unpredictable policy environment. Most importantly, it cited US President-elect Donald Trump's warning that any move away from the dollar would be viewed as an attack on the currency. Trump cautioned that countries pursuing de-dollarization could face a 100% import tariff from the US. Meanwhile, traditional demand for gold remains strong, adding further fuel to its rally. 'Don't be surprised if gold touches US$5,000 per ounce in the near future,' the brokerage said. Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.
India Gazette
15-07-2025
- Business
- India Gazette
"UAE enjoys productive investment ties with every Indian state": UAE Minister of State for Foreign Trade after meeting MP CM
Dubai [UAE], July 15 (ANI): UAE Minister of State for Foreign Trade, Thani bin Ahmed Al Zeyoudi, emphasised the robust trade and investment relationships between the UAE and all Indian states following a meeting with Madhya Pradesh Chief Minister Mohan Yadav, who was on an official visit to the country. In a post on X, the UAE Minister of State for Foreign Trade, Al Zeyoudi, highlighted the potential for enhanced cooperation in high-value sectors during his meeting with the MP CM on Monday. 'The UAE enjoys productive trade and investment ties with every state in India. Today, I met Dr Mohan Yadav, CM Madhya Pradesh, to explore how we can strengthen cooperation in high-value sectors such as agriculture, manufacturing and logistics,' he stated in a post on X. The Madhya Pradesh CM following his meeting with Al Zeyoudi, stated that both of them discussed the investment opportunities in the state under the India-UAE Comprehensive Economic Partnership Agreement (CEPA) and I2U2 collaboration and stated that MP offers a suitable industrial base, policy support and necessary infrastructure for the UAE's investment in various sectors like textiles, pharma, smart manufacturing, renewable energy, and food processing. 'Today, on the second day of the Dubai visit, I met with the UAE Minister of State for Foreign Trade, H.E. Dr. Thani Bin Ahmed Al Zeyoudi, and held extensive discussions on the immense investment opportunities in Madhya Pradesh under the India-UAE Comprehensive Economic Partnership Agreement (CEPA) and I2U2 collaboration,' he stated in a post on X. 'Madhya Pradesh offers a suitable industrial base, policy support, and necessary infrastructure for UAE investments in sectors such as EV, textiles, pharma, smart manufacturing, renewable energy, and food processing. Additionally, there are vast opportunities for partnership in areas like mineral resources, tourism, healthcare, 'plug and play' industrial parks, and air cargo. This multidimensional collaboration based on CEPA and I2U2 will elevate India-UAE relations to new heights and prove significant in realising the vision of a 'Developed Madhya Pradesh',' he added. Notably, CM Yadav is scheduled to travel to Spain after concluding his visit to the UAE on Tuesday. Prior to his departure to Spain, Yadav will be visiting India Mart and meeting with DP World representatives. 'Madhya Pradesh Becomes the Preferred Choice for Investors in Dubai The second day of Chief Minister Dr. Mohan Yadav's Dubai visit was dedicated to one-on-one meetings with prominent industrialists. Today, on the third day of the foreign visit, the Chief Minister will meet with representatives of DP World and visit India Mart,' The MP Chief Minister's Office stated in a post on X. The visit, from July 13 to 19, aims to bring global investment to Madhya Pradesh, encourage technology sharing, and create new job opportunities under the umbrella of 'Global Dialogue 2025.' (ANI)
