The country?s second largest bank, ICICI Bank, said it has been granted Qualified Full Banking (QFB) privileges in its Singapore branch by the Monetary Authority of Singapore. The status would enable the bank to have full-scale business in the region and establish up to 25 branches over a period of time. The licence permits us to have 25 places of business.

However, in the near term, the bank will focus on increasing its presence in the corporate, commercial, wealth management and direct banking businesses both in Singapore and in the ASEAN region by capitalising on the strong trade and investment flows with India.

ICICI Bank?s CEO & managing director Chanda Kochhar said, ?This approval will further strengthen our footprint in the corporate, commercial, wealth management and direct banking services in Singapore. We expect to see significant increase in our client-base in the region having strong India connections.?

The Singapore branch was the ICICI Bank?s first overseas outlet which became operational in August 1, 2003, a release issued here stated.

Currently, the Singapore branch offers international loan syndication, trade finance and services to support India?s growing trade with Singapore and the ASEAN and comprehensive financial solutions to corporates with significant India linkages.

Besides ICICI Bank, country?s largest lender State Bank of India (SBI) is already operating as Qualified Full Bank Singapore.

SBI became the first Indian bank to get QFB license in October 2008.

The permission from Singapore regulator follows signing of the Comprehensive Economic Cooperative agreement between India and Singapore. Under CECA, the two countries had agreed to open up the financial sector.

Under the pact, Indian authorities will allow Singapore banks to expand their operations in the country. As per the current international agreement, India allows restricted expansion of foreign banks in the country.