New Delhi, Jan. 15 -- The Reserve Bank of India (RBI) has given in-principle approval to Japan's Sumitomo Mitsui Banking Corporation (SMBC) to setup a wholly owned subsidiary (WOS) in India under the 2025 guidelines for foreign banks establishing WOSs.

With this approval, SMBC becomes only the third foreign bank to receive a WOS licence in India, after State Bank of Mauritius India and DBS Bank India, reported the Financial Express.

Conversion of Branches into Subsidiary Structure

SMBC presently operates in India through four branches in New Delhi, Mumbai, Chennai and Bengaluru and the approval will enable the bank to convert the banks into a wholly owned subsidiary and expand its local presence in the country.

The RBI will grant the ...