Key Facts:
Barclays is a British multinational universal bank headquartered in London in England.
Barclays operates as two divisions, Barclays UK and Barclays International, supported by a service company, Barclays Execution Services.
Prime Highlights:
Barclays Bank PLC to invest Rs 2,300 crore (£210 million) in its Indian operations to support business growth.
The capital infusion will help expand the bank’s reach to corporate clients, financial sponsors, and ultra-high-net-worth individuals in India.
Key Background:
Barclays Bank PLC has announced a significant investment of Rs 2,300 crore (£210 million) into its Indian operations, aimed at fostering business expansion in one of the world’s fastest-growing economies. This strategic capital infusion will help the bank broaden its client base, particularly among corporate clients, financial sponsors, and ultra-high-net-worth individuals (UHNWIs) in India.
This latest investment follows a Rs 3,000 crore (£300 million) capital infusion made by Barclays in 2021, bringing the total invested capital in India to over Rs 12,400 crore (£1.1 billion). The move underscores Barclays’ long-term commitment to strengthening its operations in India, which continues to be a crucial market for the bank.
According to India Ratings, Barclays India reported a capital adequacy ratio (CAR) of 15.93% as of March 2024, significantly exceeding the minimum regulatory requirement of 11% under Basel III guidelines. As of FY24, the bank’s assets in India were valued at Rs 53,910 crore, with a large portion of its loans being term loans (49.2%), bill discounting (35%), and working capital loans (15.8%).
Pramod Kumar, CEO of Barclays Bank PLC and Head of Investment Banking in India, emphasized that the additional capital will enable the bank to strengthen its position as a trusted financial partner in sectors with substantial growth potential in India. Barclays’ core business services include financing solutions, mergers and acquisitions (M&A) advisory, debt capital markets, and wealth management for UHNWIs and family offices. Barclays’ investment strategy aligns with its goal of expanding its footprint in the Indian market, particularly in areas experiencing rapid growth.
