Barclays invests $150 m for investment banking business expansion

Mumbai, Mar 21 | Updated: Mar 22 2006, 06:22am hrs
Barclays Plc has infused $150 million in a bid to expand its investment banking business in the country. Speaking at a press conference David Roberts, chief executive, international and commercial banking said: Over the past month, we have invested $150 million in our existing investment banking space doubling our commitment to $300 million. For developing the commercial and corporate banking business in India, we plan to invest $70 million of profit and loss investment over span of two years.

New Avenues
The services which would be part of commercial banking operations would include lending supply chain financing, structured trade finance, risk management and corporate liquidity management
Is in talks with the Reserve Bank of India in order to get license to increase their branch network
The services which would be part of commercial banking operations would include lending supply chain financing, structured trade finance, risk management and corporate liquidity management. With respect to the corporate banking activities, Barclays would initially target small and medium business enterprises as well as large companies and multinationals.

Mr Roberts also said that they are in talks with the RBI in order to get license to increase their branch network. The corporate banking operation would require more number branches, apart from the existing branch in Mumbai. Moreover on the man power front, the corporate banking business would recruit around 150 people over the medium term. Of which 40 people would be recruited in the first year.

Speaking on the India operation Robert Morrice chief executive Asia pacific said: If we consider the client flows, India contributes to around 25% of the Asia pacific. It is second growing market in Asia in terms of revenue growth.