The Hindu Business Line : German bank to open representative office in Mumbai

New Delhi, Nov 2 To tap the transport and energy financing market, German bank NORD/LB plans to set up an office in India shortly. The representative office, to come up in Mumbai, is expected to commence operations in January 2008.

“We have got the licence from the Reserve Bank of India and are in the process of completing the legal formalities. The economic strength being witnessed in India is attractive and we have decided to open an office in Mumbai,” said Dr Hannes Rehm, Chairman of the Board of Management of the bank, while speaking to Business Line.

The bank would be getting into ship financing, air-carrier financing and exports. “We already have business in India with Jet Airways, Indian Airlines and Kingfisher through our office in Singapore,” said Dr Rehm. The bank would also be getting into energy financing, he added. It, however, does not have plans to enter retail banking currently.

Consultancy

The bank would also support its customers in North Germany and North East Europe once they enter the Indian market. “Our task here would include providing consulting services, establishing contacts and providing information about Indian and its individual industries,” said Dr Rehm.

Over the last few years, NORD/LB or Norddeutsche Landesbank Girozentrale, has mopped up business to the tune of around € 850 million in India through its Asia-Pacific centre in Singapore. Dr Rehm hopes to garner additional business of around €500 million in the next three years.

With Mumbai, the bank would have four offices in Asia after Singapore, Beijing and Shanghai.

It is the 10th largest bank of Germany and 37th in Europe with a balance sheet of €217 billion as on September 2007.