First Abu Dhabi Bank (FAB), the United Arab Emirates’ largest lender with assets of about $406 billion (R6.6 trillion), is about to enter the South African market after it won a trademark dispute that had stalled its expansion plans for nearly a decade.
The Abu Dhabi-based bank confirmed it will now move ahead with plans to apply for a South African banking licence after the country’s Supreme Court of Appeal ruled in its favour in a long-running legal battle with FirstRand over the use of the “FAB” name.
Formed in 2017 through the merger of National Bank of Abu Dhabi and First Gulf Bank, FAB is majority-owned by Abu Dhabi’s sovereign wealth fund, Mubadala Investment, and has grown into one of the world’s largest financial institutions.
Its planned entry into South Africa reflects the UAE’s growing economic ties with Africa. With a presence in the continent’s most developed banking market, FAB would be well positioned to support trade, investment and cross-border business between Africa and the Gulf.
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South Africa is home to some of Africa’s biggest banks, including Standard Bank, FirstRand, Absa and Nedbank, making it an attractive destination for global lenders looking to expand across the continent.
The court’s decision removes one of the last major obstacles to FAB’s ambitions. If regulators approve its licence application, the bank will become one of the largest Middle Eastern financial institutions operating in South Africa, further strengthening the country’s position as a gateway to African banking and investment.
