Mumbai: State Bank of India (SBI) has received a licence to deal in foreign currency in China, becoming the first Indian bank authorised to offer foreign currency services to Chinese customers.
"We have just received the second licence from the Chinese authorities," reports quoting chief executive officer of SBI-Shanghai Branch, T C A Ranganathan, said.
The second licence will allow SBI to offer foreign currency loans, credit advise, project funding, letter of credit, foreign currency guarantees.
"We will steadily introduce all the instruments in foreign currency trading," Ranganathan said.
SBI, Shanghai, had so far been allowed to offer foreign currency services only to foreigners or foreign enterprises in. China.
"We have reached yet another milestone in operations in the world's fastest growing economy. This is a major milestone for us," the report quoted him further.
"Now we are in a position to offer a range of services to Chinese customers as well," Mr Ranganathan said.
SBI is also banking on the surging bilateral trade and mutual investments between India and China.
He said SBI, Shanghai, would now double its capital to 200 million yuan (approximately $25 million) and add more personnel to increasingly reach Chinese customers, who are keen to do business with India.
SBI has a network of 66 offices and branches in 29 countries spanning all time zones. A group of overseas and NRI branches in India and correspondent links with over 522 global banks supplement SBI's international presence. SBI's offshore joint ventures and subsidiaries enhance its global stature.
The bank has carved a niche for itself in Euroland with branches strategically located in Paris, Frankfurt and Antwerp. Indian banks and corporates are able to avail single-window Euro services from SBI Frankfurt.
These strengths are reinforced by a dedicated and highly skilled team of professionals deployed by the bank in each specific segment.