Which Bahrain banks are looking to enter India?
Many of our banks, especially from the Islamic banking sector, are interested in India. All these banks would bring capital, which is very much needed in India. Unfortunately, slow RBI (Reserve Bank of India) process and complicated requirements do deter them from doing so. We had to wait for two years to get the licence for our third branch, whereas when an Indian bank comes to Bahrain, a licence is usually granted within three months. But RBI has been very cooperative and understanding.
Many of our banks, especially from the Islamic banking sector, are interested in India. All these banks would bring capital, which is very much needed in India. Unfortunately, slow RBI (Reserve Bank of India) process and complicated requirements do deter them from doing so. We had to wait for two years to get the licence for our third branch, whereas when an Indian bank comes to Bahrain, a licence is usually granted within three months. But RBI has been very cooperative and understanding.
Is the delay only because of the slow processes or due to other concerns as well?
I think the slow processes basically result from RBI's inability to issue licences for branches. Metropolitan cities in India are overbanked, and RBI would like to direct some banks to villages and rural areas where there are no banking facilities. Banks coming to India for the first time don't want to go to far-off places; they want to be in metropolitan cities
I think the slow processes basically result from RBI's inability to issue licences for branches. Metropolitan cities in India are overbanked, and RBI would like to direct some banks to villages and rural areas where there are no banking facilities. Banks coming to India for the first time don't want to go to far-off places; they want to be in metropolitan cities
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