Australia’s Westpac today said it will open its first branch in India to increase commercial and wholesale banking business in the region after having received clearance from the Reserve Bank of India.
Having operated a representative office in the country for the past five years, Westpac announced that it has received in-principle approval for a foreign banking licence to operate in India. The Indian licence allows the bank to now carry out rupee-denominated transactions.
The bank’s first branch in India will open in Mumbai, the Group Executive, Westpac Institutional Bank, Mr Rob Whitfield, was quoted by local media reports here.
“India is Australia’s fifth largest trading partner and fourth largest export market so it is a very important market for our customers,” Mr Whitfield said in a statement.
He said that extending presence in India through Mumbai branch will position the bank to support Australian customers with their trade and investment activities in India, and Indian customers with their increasing trade and investment flows with Australia.
“It will also help deepen investment flows with one of our major strategic trading partners, particularly in the energy, natural resources and agribusiness sectors...,” Mr Whitfield said.
The reports said the branch will allow Westpac to increase commercial and wholesale banking business in the region.
Westpac’s General Manager of Asia, Mr Yogan Rasanayakam, was quoted by The Australian report as saying that the Indian branch would primarily focus on trade finance, working capital and foreign exchange transactions.