StanChart eyes $325mn from India wholesale ops

Standard Chartered Bank is betting big on India on the back of Indian corporates expanding overseas and acquiring assets globally. It expects rapid growth in its wholesale banking business in the coming years and is targeting a revenue of $325 million during the calendar year from the segment.

"The annual revenue (wholesale banking) could be probably in the region of $325 million in 2006, with the expected year-on-year growth of 25-30% for the next 3-5 years," Bala Swaminathan, StanChart country head (wholesale banking) here.

Last year revenues from this segment stood at $ 240 million and StanChart hopes to grow this to $1 billion by 2011.

The bank is also looking at expanding through organic and inorganic means, although there are no immediate plans to do so, A Michael G Rees, CEO (wholesale banking) of StanChart Global, said.

"India is the third largest market among our franchises and we are looking at opportunities to expand. Consolidation is a worldwide phenomenon. I do not see India being anything different. But we are constrained by regulations at the moment", he said.

Current rules do not permit foreign banks to own more than 5% in Indian banks. He added that the bank was waiting for 2010, when the banking sector would be opened up.