Overseas Operation of Indian Banks

Overseas Operation of Indian Banks

In which country, which Indian bank is dominant and why?
The scenario of Indian banks in the overseas market can be seen as below,

As on December 31, 2006, the statistics is as follows:

Total No. Of overseas branches : 113 branches.
No. Of Private sector banks: 3 nos
No. Of Public sector banks : 9 nos.

The top three banks with the number of branches they possess is given below,

Public Sector Bank No. Of overseas branches
State Bank of India 30
Bank of Baroda 40
Bank of India 21
Private Sector Banks No. Of overseas branches
ICICI Bank 10
Axis Bank 5
HDFC Bank 4
As on December 31, 2006

The distribution of the overseas branches of Indian banks divided according to different locations/countries is shown in the table below:

Name of Country No. Of branches of Indian Banks
United Kingdom 22
Singapore 9
Mauritius 9
Fiji 9
Hong Kong 8
Sri Lanka 7
As on December 31, 2006

In terms of total asset size, the operations of Indian banks overseas have increased by a significant 113.5% over the last five years i.e. 2002-06. As on March 31, 2006, total assets of all Indian bank branches overseas stood at USD 29.34 billion.

Factors for United Kingdom being the country where Indian banks are dominant
• A strong global trading heritage that informs the openness and international outlook of today’s trade policies. As a result, foreign ownership is encouraged, with a level playing field for foreign firms.
• A proportionate regulatory regime that’s effective, fair and focused on the future, principled and risk based. It’s become an international benchmark, and a draw for international business.
• A consistent, politically neutral legal system that is widely used and understood globally, and confers confidence in doing business with...

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