(a) whether as per the WTO commitment, the Government has allowed foreign banks to open
branches in the country in the first phase between 2005-2009;
(b) if so, the details thereof; and
(c) the details of criteria fixed for permitting such foreign banks?
MINISTER OF THE STATE IN THE MINISTRY OF FINANCE (SHRI PAWAN KUMAR BANSAL)
(a) & (b) : In the first phase (April 2005 to March 2009) of the `Roadmap for the presence of
foreign banks in India` issued by Reserve Bank of India, it is proposed to go beyond the
existing WTO commitment of 12 branches in a year for new and existing foreign banks.
(C) Parameters considered while permitting foreign banks to open their branches in India,
inter-alia, include India`s commitments at WTO, capital requirement guidelines issued by RBI,
regulatory comfort, diplomatic / economic / trade relations of India with the home country of
foreign bank, treatment extended to Indian banks in the home country of the applicant bank,
track record of compliance and functioning of the bank and of its group in the global markets,
etc.