Banks should increase their global footprint

Mumbai, Dec 3 (PTI) The Reserve Bank today advised banks to cautiously increase their global footprint, both organically and inorganically.

"...Indian banks should increase their global footprint opportunistically even if they do not get to the top of the league table," RBI Governor D Subbarao said at Bancon here.

In the wake of the global financial crisis, there has definitely been a pause to the rapid expansion overseas of banks, he said.

Nevertheless, notwithstanding the risks involved, it will be opportune for some of our larger banks to be looking out for opportunities for consolidation both organically and inorganically, Subbarao added.

They should look out more actively in regions which hold out a promise of attractive acquisitions, he said.

India has 81 scheduled commercial banks, of which 26 are in the public sector, 21 are private and 34, foreign.