More Indian banks open full branches in China

Union Bank of India is the latest to apply for permission to upgrade a representative office.

UBI made the request after its Shanghai branch completed the two year mandatory period required to open a full-fledged branch in China. It is the latest in a string of Indian-government owned banks looking to profit from the growing India-China bilateral trade through trade finance deals.

Among Indian banks that have upgraded their representative offices into branches are the State Bank of India and Canara Bank. Both their branches are located in Shanghai. Bank of India has opened branch in Shenzhen while Bank of Baroda has a branch in Guangzhou.

Indian banks are fighting to expand their networks in China to take advantage of the growing trade that hit US$74.9 billion in 2011. Trade slowed to US$66.5 billion last year, however.