SBM Bank launches India's first foreign-owned digital banking subsidiary
State Bank of Mauritius (SBM) has become the first foreign bank to secure a banking licence in India via the wholly-owned subsidiary route. The move marks a significant step in expanding digital and assisted banking services across the country.
SBM Bank will roll out its banking services in partnership with PayNearby, a financial distribution network. The collaboration will provide a full range of digital and assisted banking solutions through PayNearby's network of micro-enterprises and retail touchpoints.
The deployment of SBM Bank's banking module will take place in stages. It will integrate smoothly with PayNearby's existing platforms, ensuring accessibility for customers. Micro-enterprises and retail partners involved in the network will also benefit from higher returns on their investments.
This partnership follows SBM's historic approval as the first foreign credit institution to operate in India under the subsidiary model. The licence allows the bank to establish a stronger presence in the Indian market.
The agreement between SBM Bank and PayNearby will expand financial inclusion by leveraging local retail networks. Micro-enterprises and small retailers will gain access to improved banking services while earning better returns. The phased rollout is expected to strengthen digital banking infrastructure in the region.
