Anil Ambani hints at entry into banking

Anil Dhirubhai Ambani Group is looking at entering the banking sector through group firms even as it proposed listing of the insurance venture Reliance Life Insurance in the near future.

"We are studying guidelines issued by the Reserve Bank of India for issue of new banking licences and are looking at various options, including conversion, promotion and acquisition to create a new banking entity," ADAG chairman Anil Ambani said at the annual general meeting of Reliance Capital.

"We have always regarded banking as a high-priority sector with huge potential opportunity, and are evaluating the different options contained in the (RBI's proposed) guidelines," he said.

ADAG, which last week received in-principle approval from commodity market regulator FMC for acquiring a 26-per cent stake in Indian Commodity Exchange (ICEX), is looking to enter all segments of the exchange business, including stocks, Ambani said.

A subsidiary of Reliance Capital is buying the 26 per cent equity in ICEX from Indiabulls, which holds 40 per cent in the country's fourth-largest commodity bourse. MMTC has 26 per cent stake in ICEX.

Ambani, however, did not elaborate on his plans to enter stock exchange business. "We believe there is immense growth potential in this space and plan to have a presence across all segments of the exchange business in India," Ambani, said.