Industrial Commercial Bank of China to enter India

Move to open ICBC Mumbai branch follows China’s nod for SBI Shanghai to lend in Renminbi.

Industrial Commercial Bank of China (ICBC) plans to launch operations in India by opening a new branch in Mumbai later this year, even as India and China look to strengthen their trade relations between them, reported PTI.

Reportedly, the Chinese bank is seeking necessary approvals for the Mumbai branch from the Reserve Bank of India. This follows the recent permission obtained by the State Bank of India's (SBI) Shanghai branch to lend in local Renminbi currency.

The Indian companies could gain credit access to about $200m from SBI without depending on the domestic banks. Currently, 12 banks originating from India are conducting their operations in China with different levels of licences.

Speaking at the India-China Development Forum, MV Rabade, CEO China, said that with trade worth billions of dollars going on between the two nations, it is necessary that they open their banks in each others' countries.

View the full story in Commercial Banking Business Review.