India, China to allow banks of other country to open branches

New Delhi, Dec 16 (PTI) More Indian banks will be able to
open branches in China, while lenders from the communist
nation would be permitted to have operations in India.
Already some Indian banks, including State Bank of India
and Bank of Baroda, have branches in China. China does not
have any banking presence in India.
The Reserve Bank of India and China Banking Regulatory
Commission concluded a memorandum of understanding to
increase banking and financial cooperation.
"India and China also agreed to grant permission to the
banks of the other country to open branches and representative
offices," a joint statement issued Thursday after talks
between Indian Prime Minister Manmohan Singh and Chinese
Premier Wen Jiabao said.
"Modalities will be worked out by the concerned
authorities," it said.
China Development Bank and ICICI Bank signed a USD 400
million facility agreement Wednesday while Bank of China inked
a MoU with IDBI.
Exim Bank Chairman and Managing Director TCA Ranganathan
and China Development Bank Cooperation Vice-Governor Gao Jian
signed a MOU to boost bilateral trade between the two
countries.