Edelweiss to decide on applying for bank licence next week

Diversified financial services group, Edelweiss today said it would take a decision on applying for a bank licence in its board meeting next week.

"I think anybody who has a credit business will apply for banking...We are only evaluating...We have in the forthcoming week our board meeting where we would decide whether to apply or not," Edelweiss group Chairman Rashesh Shah told reporters.

To promote financial inclusion and infuse competition in the banking sector, RBI had released 'Guidelines for Licensing of New Banks in Private Sector' on February 22. RBI has set July 1 as deadline for applying for a banking licence.

Focussing to grow its retail financial services vertical over the next five years, Shah said: "The housing finance market in the country is expected to double in size by FY 2015 to about Rs 3 trillion and we hope to capture about two per cent of this market. We are doing Rs 1,000 crore of assets annually in the housing finance sector and aim to grow."

The group with over Rs 7,000-crore Assets Under Advice (AUA), is looking to expand its insurance business in Gujarat. The company aims to insure 1,00,000 lives in the state by 2015 and has plans to recruit over 3,000 personal finance advisors.