COIMBATORE: The Indian Overseas Bank (IOB) has retrieved the Bharat Overseas Bank in Bangkok in Thailand and would function as IOB from Mar 31, Union Finance Minister, P Chidambaram said today.
Announcing this at a function to distribute priority credit loans, organized by IOB, the Finance Minister said that since the Thailand Government revoked the regulation (which banned the functioning of any Government owned financial institution in that nation), the bank would be returned to IOB again.
Later, clarifying to reporters, IOB Chairman and Managing Director, T S Narayanasami said that the branch in Bangkok was lost after Nationalisation, under a regulation that no financial institutions, with over 50% stake for Government, could function in Thailand.
Bharat Overseas Bank, the first overseas bank from India, was being run akin to a private sector for the last 33 years, with IOB having 30% stake, he said.
Since Thailand had abrogated the clause, IOB is retrieving the branch on March 28 and will start functioning from March 31, Narayanaswamy said.