FOREIGN BANKS

BEN MATHEWS
T4 MBA
 Foreign Bank
• Foreign banks are those banks with the obligation of
following the regulations of both its home and its
host countries Because the foreign branch banks' loan
limits are based on the parent bank's capital, foreign
banks can provide more loans than subsidiary banks.

• In simple words “any bank which has been

established in foreign country,however,they own
branches in India for the purpose of conducting
banking business in India” is known as foreign banks.
Major foreign banks
ROLE OF FOREIGN BANKS

• Enhance competition in banking sector.

• Technology and skill transfer.
• Modern banking services are expanded.
• Enhanced customer satisfaction.
• Enhance provision of foreign currency.
Domestic v/s Foreign bank

• Banks with presence in multiple countries are called

foreign banks whereas banks which operates within the
boundaries of a country area is called domestic banks.
• Domestic banks are required to adhere to the local laws of
the country it is registered whereas foreign banks has to
comply with the laws of the country it head quatered and
also the laws of the country it is operating.
• Domestic banks are not impacted by fluctuations in foreign
currency whereas foreign banks is impacted by such
fluctuations.
CURRENT SCENARIO
 There are 46 banks which are incorporated outside
India and are operating branches in India (as of may
2019)

 There are 40 foreign banks with representative

offices in India

 There are total 1149 ATMs(295 on-site ATMs & 854

off-site ATMs)
THANK YOU