India

RBI Permits Bank of China To Open Branch In India

New Delhi: Bank of China will now have operating offices in India, as the Reserve Bank of India on Wednesday issued a licence approving the application. Several foreign banks, including the Bank of China, had earlier sought RBI’s permission to set up operation in the country.

The decision was taken following a meeting between Chinese President Xi Jinping and Prime Minister Narendra Modi on the sidelines of the SCO summit.

Bank of China has a market capitalisation of $158.6 billion and will be the second Chinese bank to secure a licence to open a branch in India.

On January 1, 2018 the Industrial and Commercial Bank of China Ltd had started operating in India along with 45 other foreign banks.

Bank of China is one of the four major state-owned banks in China and is considered the second biggest in the country by its assets.

Three banks from Iran, two from South Korea, one each from Malaysia and the Netherlands were among those who had applied for permission to open a branch in India.

OB Bureau

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