Lower revenue, rise in costs, higher provisions hit earnings in a subdued growth environment.
Of the 700-odd Indians having foreign bank accounts, not all can be deemed to be operating these illegally.
In view of the current global financial meltdown, the Reserve Bank on Tuesday said it is holding back plans for liberalising the operation of foreign banks in the country.
Licence foreign banks only if they reveal investment details, says Institute of Chartered Accountants of India.
Traders said the rally in the domestic market was closely mirroring moves in the non-deliverable forwards which was leading the spot market gains.
To avoid risk of consolidation leading to concentration of assets.
The tax burden on foreign banks , which avail of funds from their parents for operations in India, may go up substantially following a recent order passed by the Mumbai Income Tax tribunal in the case of UAE-based Mashreq Bank.
However, the country has not put any restrictions on the entry of new foreign banks, since it wants a reciprocal gesture as Indian banks increasingly are plan to expand overseas.
Small-town India is warming up to foreign banks, finally.
The rupee had lost 26 paise to close at 60.16 against the dollar yesterday on fresh dollar demand from banks and importers in view of the US currency gaining overseas and weakness in local equities.
The rupee on Wednesday settled at 62.44 against the dollar, up 31 paise over the previous close.
Policy with regard to the foreign banks is part of his five pillars of reforms, says RBI Governor.
Though foreign banks outperformed domestic banks in quality services, they could not match the latter as public sector banks reigned supreme on the strength of their superior reach.
The company will raise $1.8 billion for the under construction and contracted portfolio of 12 GW, which includes the country's first manufacturing-linked solar power plant of 8 GW.
The government said on Tuesday the Reserve Bank of India would consider the US demand for relaxing the branch opening norms for foreign banks in India as per the roadmap prepared by the country's central bank.
Foreign banks and private credit funds are queuing up to fund acquisitions by Indian companies who are buying out their local rivals. The Adani Group, Torrent Group, and the Hindujas have approached several foreign banks and private equity (PE) firms to fund their acquisitions. Global investors have about $2 trillion of funds to invest, and about $100 to $150 billion is set aside for India, according to an estimate by JP Morgan.
President Musharraf was reportedly devastated to hear about it.
The second phase of reforms was expected to address areas like extending 'national treatment' to foreign banks, which means that foreign banks would be treated on a par with Indian ones under the World Trade Organisation agreement. Other items that are to be considered include permitting listing foreign banks' wholly-owned subsidiaries in India and the acquisition of sound Indian banks by foreign banks.
The government has permitted foreign banks to open a maximum of 18 branches in the country, which are situated mostly in urban and metropolitan centres, the Lok Sabha was informed on Friday.
Bharatiya Janata Party Members of Parliament will submit on Friday declarations to the presiding officers of their respective Houses of Parliament, stating that they do not have any illegal money stashed in any foreign bank or tax haven abroad. BJP leader L K Advani had declared that all party MPs will submit declarations that they do not have any illegal funds in Swiss banks or tax havens. The issue was discussed at the BJP parliamentary party meeting on Thursday.
The foreign lender's profit after tax was Rs 2,960 crore
The industry ministry and the finance ministry are holding consultations on whether to bring the banking sector under the purview of new FDI (foreign direct investment) rules, which will categorise some Indian banks -- like ICICI Bank -- as foreign banks.
'Investing abroad helps mitigate currency risk for foreign-currency denominated goals, such as children's higher education and international travel.'
Together with Barclays-ABN Amro, about a half a dozen foreign banks such as Citigroup, HSBC and Standard Chartered could hire over 50,000 employees in India in the next three years.
In a move to strengthen governance in private sector banks and wholly-owned subsidiaries of foreign banks, the Reserve Bank of India (RBI) on Wednesday directed them to have at least two wholetime directors. Lenders that do not meet the requirement will have to submit the names for the RBI's approval within four months. Banks need prior approval from the banking regulator for the appointment of wholetime directors.
Postings to places at an altitude above 1,000 metres but less than 1,500 metres, between 1,500 and 3,000 metres, and above 3,000 metres entail different rates of allowances -- the higher the location, the bigger the allowance, reveals Tamal Bandyopadhyay.
Standard Chartered's India strategy will focus on wealth management while credit card will remain core to its business though will avoid competition with the country's private banks, said a senior executive of the British lender. "Our focus on wealth management and affluent clients are central to our existence. "We are strong in these areas and we want to grow in these areas.
Foreign players like Citibank, Standard Chartered Bank, HSBC and ABN Amro Bank see opportunities to spread their wings in India after the ceiling on voting rights is lifted by the government.
'Just the amount of work which is there just to become more and more successful in banking. For this to happen you need to have leaders who understand technology.'
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