Foreign bank SBM on Tuesday said it would soon operate as a banking subsidiary of SBM Group in India under the name of SBM Bank (India) Ltd. It has also announced plans to launch six new branches in Delhi, Bengaluru, Kolkata, Pune, Ahmedabad and Jaipur by next year.
Mauritius-based SBM said it is the first foreign bank in India to obtain a wholly-owned subsidiary licence from the RBI. This new structure will provide more leeway to the bank in its branch expansion strategy.
Moses Harding John, CEO, India & East Africa, SBM Holdings Ltd, in a statement, said, “One of the reasons for SBM to start its international footprint in India is because of the strong links that exist between these two countries with around three-quarters of the Mauritian population being of Indian origin.
“This is a focussed effort by SBM to grow its cross-border banking business and widen physical presence in geographies with untapped growth potential for better customer reach. With domestic expansion programme, SBM will continue to grow outside Mauritius.”
Established in 1994 in India, SBM currently operates four branches, namely located in Mumbai, Chennai, Hyderabad and Ramachandrapuram.