Banque Nationale Plans E-Broking, Insurance Forays

Banque Nationale de Paris (BNP) India is planning to launch e-broking services and enter the insurance business in the country as well as provide retail banking services.

Lyon Jonathan, chief executive officer and country manager of BNP India, said, "the bank has massive expansion plans for India in the near future."

He said the bank has plans to float two separate subsidiaries for e-broking and insurance business.

The bank plans to provide online trading at leading stock exchanges such as Bombay Stock Exchange and National Stock Exchange via Internet. "The bank expects to either have a strategic alliance or a joint venture partner for the e-broking service. Currently we are working out the details," said Jonathan.

 

In case of insurance foray, the bank plans to enter the Indian market through its subsidiary Cardif Insurance _ the third largest French life insurer. And it is eyeing the life insurance sector in India too.

"Top officials of Cardif Insurance has already visited India and it is now in the process of finalising a joint venture partner for life insurance business here," said Jonathan.

Cardif is operating in 22 countries such as Germany, UK, Italy, Belgium, while Notiovie Insurance takes care of the bank's business in France. Cardif manages funds worth $22.2 billion and had earned premium worth $4,000 million for the year ended 1999.

The bank has opened five branches in India in the last couple of years bringing the total to eight, and has received license to open another branch in Mumbai.

Currently, the bank caters to corporates and private banking services. However a whole range of retail products are being finalised to be launched in the near future. These include debit card, tele-banking, 24-hours and seven days banking, and personal loans such consumer loan, auto and car loan.

"Initially the retail services will be launched in the four metros and subsequently it will extended to all the branches," said Jonathan.