Monte Dei Paschie Di Siena (MPS) opens represent office in Mumbai
Mumbai, Apr 7 (UNI) Banca Monte Dei Siena, (MPS) the world's oldest bank based in Italy, today opened its representative office in Mumbai to undertake trade finance and assist Italian firms to increase their business tie-ups with Indian enterpreneurs, thus promoting economic relationship between the two nations.
Established in 1472, the bank which so far participated in loan syndication programmes for several large Indian companies like Reliance, Tatas and ONGC from its branch offices in Hong Kong and Singapore, has now embarked upon financing Italian firms particularly the small and medium enterpreneurs (SMEs) engaged in textiles, hi-tech engineering, cosmotics and manufacturing from Italy to establish their business and trade relationship in India.
''We have a business model for SMEs to undertake business in a collaborative manner in overseas centres,'' said, in-charge, international business, Banca Monte Dei Siena, Dr Primo Briono The model would incorporate local factors such as regulations, environment and market conditions that will help the Italian enterpreneurs in their decision making process.
About 100 Italian enterprises are currently engaged in business with India and to meet their growing needs,the bank has entered into India through a representative office which could be upgraded in a period of three years depending on our experiences and performances in India,'' Dr Briono said.
MPS has three representative offices in China and after 20 years of operation, it recently upgraded its Shanghai office into a branch office. In case of India, It may take three years to upgrade the branch into a branch considering bilateral growth (26 per cent) between the two nations in the last couple of years.
The Mumbai representative office will be headed by Pradeep Dubey with three member team.
Mr Dubey told UNI that MPS has a total exposure of about USD 230 million through syndicated loan programmes to indian corporates.
With its representative office in Mumbai,Banca Monte Dei Siena becomes the seventh Italian bank to operate from IIndia shores.
The Bank would priliminary engage in exploration of busness opportunities for Italian enterprenuers and traders and if required, the bank would go for strategic alliances with Indian institutions engaged in promoting sectors like SMEs, agro-based industries and manufacturing activities.
As a group, MPS has reported a growth of 43 per cent in its net profit at Euro 790 million following expansion of Italian business mainly in the SMEs sector which witnessed an improvement of 35 per cent in its business with the bank.
UNI GC PP AG1641