HDFC Bank is looking to open its first branch in Singapore as it seeks to expand its overseas footprint after absorbing the parent Housing Development Finance Corp. with itself last year.

The country’s largest private sector lender has applied to the Monetary Authority of Singapore (MAS) for a banking licence and is awaiting approval, Bloomberg reported quoting sources. It is, however, not clear what kind of banking licence HDFC Bank is seeking in Singapore.

The banking giant is seeking a bigger presence abroad to tap the Indian diaspora for savings and term deposits, as well as to cross-sell more products, including mortgages, Bloomberg reported quoting sources. In India, HDFC has been focusing on deepening its reach in the world’s most populous country through loans to retail customers. 

Singapore has a population of almost 6 million people. As per Indian government data, about 650,000 non-resident and persons of Indian origin live in the city-state.

HDFC Bank is currently not licensed or regulated by the MAS, according to its website. It only provides home loans-related advisory services for the purchase of properties in India, the website states.  

The categories of banking licences in Singapore encompass full banks, qualifying full banks and wholesale banks, which impose varying levels of restrictions on the lenders’ activities, Bloomberg reported. 

State Bank of India and ICICI Bank hold qualifying full banking licences, alongside eight other banks like Bank of China Ltd. and BNP Paribas SA. Such licences are open only to foreign banks and allow them to have additional branches and/or off-premise ATMs as well as to share ATMs among themselves, according to the Association of Banks in Singapore’s website.

The MAS regulates and supervises more than 150 deposit-taking institutions in Singapore, ranging from full banks to finance companies, according to its website.

Besides Singapore, HDFC Bank also has presence in markets like London, Hong Kong and Bahrain. 

The bank has a total customer base of 93 million at the end of the December quarter compared with 91 million in the preceding three-month period, according to an investor presentation.