Singapore: India and Singapore are expected to agree to open up their banking sectors to each other’s banks by 1 July this year, a Singapore newspaper reported on Monday, citing an Indian government official.
The Business Times quoted Indian Commerce Secretary GK Pillai as saying that by 1 July, DBS Group Holdings, Singapore’s biggest bank, will be allowed to open up to eight branches in India, while the city-state’s second-biggest bank, United Overseas Bank, will win approval for one branch.
At the same time, the State Bank of India would receive qualifying full bank status in Singapore, it said. ICICI Bank has also applied for a Singapore bank licence.
Pillai said the move had been agreed during talks between India and Singapore over the weekend.
The newspaper said that banks have to meet regulatory requirements in each country before they will receive a banking licence.