JPMorgan Set To Open First New India Branch In Nearly A Decade

JPMorgan Chase & Co. is set to open a new branch in India after nearly a decade, underscoring the Wall Street bank’s growing push into one of the world’s fastest-growing economies.

The lender has gotten in-principle approval from the Reserve Bank of India to establish its fourth branch in Pune, a city near Mumbai, the New York-based bank said in a statement on Thursday, confirming an earlier report by Bloomberg. It will offer a broad range of products and services, including trade finance, liquidity management and foreign-currency payments, according to the statement.

India’s domestic growth and increasing integration with the global economy have created “huge opportunities” for both Indian and foreign clients, Sjoerd Leenart, its Asia-Pacific Chief Executive Officer, said in the statement.

Foreign banks have been expanding in India, lured by its rapid economic expansion, strong credit demand and deepening corporate activity. The lenders compete fiercely in lending to companies as well as dealmaking advisory.

JPMorgan last received approval to open branches in India in 2016, when it was given the green light to set up in three locations. Its footprint in India, however, remains smaller than several other foreign banks.

Standard Chartered Plc, for instance, has 100 branches across 42 cities in India, while earlier this year, HSBC Holdings Plc. got approval to add 20 additional branches across Indian cities to support its wealth expansion drive. Both banks have retail businesses in India, unlike JPMorgan.

The US firm has instead expanded commercial banking in the country to service domestic mid-cap firms and opened a new campus in 2021, according to its website. Its branches are currently in Mumbai, New Delhi and Bengaluru. JPMorgan also employs a vast workforce in so-called global service centres that provides high-tech and specialized support for a range of global banking functions.