Bank of India, one of the largest public-sector banks on the subcontinent, is eyeing opportunities to support small and midsize Japanese firms in technical partnerships with Indian firms, according to Muthusamy Balachandran, chairman and managing director of the bank.
BOI expects strong demand from Japanese electronics and auto parts manufacturers looking to expand into India, Balachandran said in an interview Monday with The Japan Times.
"Right now, we are financing (Indian firms) who do business here. Now we are trying to find Japanese small and medium enterprises who are engaged in manufacturing," Balachandran said.
"There are a number of Indian firms with whom Japanese companies would like to collaborate technically and otherwise," he said, adding that the bank can extend loans to such firms and provide other banking services to them.
The bank has yet to hold negotiations with specific firms for such cooperation, Balachandran said.
BOI, which is 69 percent owned by the Indian government, has been expanding its overseas operations to meet the needs of India's rapidly growing economy, which, along with China's, has drawn global attention.
BOI has been in Japan awhile, setting up shop here in 1950.
About 20 percent of the bank's total sales come from its overseas branches, and about 10 percent of its international business comes from Japan, according to Balachandran.
The share of business done by BOI's Japanese branches is expected to remain about the same this year, while the bank's total business is expected to increase 16 percent to 17 percent.
Balachandran declined to forecast the bank's sales and profits at its Japanese branches.
BOI has 2,600 branches in India and 23 branches and offices abroad, including one in Tokyo and one in Osaka.