Private lender, IDBI Bank is planning to set up branches in foreign countries to assist Indian corporates to raise overseas funds. The bank has decided to start operations in Dubai, Singapore and Beijing.
IDBI's Chairman and Managing Director, Yogesh Agarwal said, "We will be opening one branch each in Dubai and Singapore. We also plan to start a representative office in Beijing."
"Apart from catering to the Indian corporates for raising funds overseas, the trigger to start operations beyond the country's border is to establish our foreign presence, an area which we neglected," he said.
Until now the bank has no overseas presence and currently it is waiting for the approvals from the governments of respective countries. IDBI will start the operations immediately after it obtains the approval.
Agarwal informed that, "We have the Reserve Bank's permission with us to start operations in these geographies for over one year now." He further added that getting paper works ready and necessary approvals were on its way.
The bank has a network of 509 branches and 900 ATMs spread across the nation. Further the bank has also received approvals from the Reserve Bank of India to set up 200 new branches in the ongoing fiscal.
Recently the insurance leader, Life Insurance Corporation of India (LIC) has also announced to increase its overseas presence with a view to raise the business by catering to the Indian residing abroad.