On January 14, 2026, the Reserve Bank of India (RBI) granted 'in-principle' approval to Sumitomo Mitsui Banking Corporation (SMBC), Japan, to establish a Wholly Owned Subsidiary (WOS) in India, as per the Reserve Bank of India (Setting Up of Wholly Owned Subsidiaries by Foreign Banks) Guidelines, 2025. SMBC currently operates in India with four branches in New Delhi, Mumbai, Chennai, and Bengaluru. The 'in-principle' approval allows the bank to set up a WOS by converting its existing branches. The RBI may consider granting a license for the commencement of banking business in WOS mode under Section 22 (1) of the Banking Regulation Act, 1949, provided SMBC meets the conditions set by RBI as part of the 'in-principle' approval.
The press release number is 2025-2026/1924. Contact Brij Raj, Chief General Manager, Department of Communication, Central Office, Shahid Bhagat Singh Marg, Fort, Mumbai - 400 001, Phone: 022 - 2266 0502, Website: www.rbi.org.in, Email: helpdoc@rbi.org.in.
Key Entities Referenced
Reserve Bank of India (RBI): The central bank, granting 'in-principle' approval in the press release.
Sumitomo Mitsui Banking Corporation (SMBC), Japan: Foreign bank receiving 'in-principle' approval to set up a Wholly Owned Subsidiary (WOS) in India.
Reserve Bank of India (Setting Up of Wholly Owned Subsidiaries by Foreign Banks) Guidelines, 2025: The guidelines under which the approval is granted.
Banking Regulation Act, 1949 Section 22 (1): Section of the act under which RBI will consider granting a license.
India: The country where the Wholly Owned Subsidiary (WOS) is to be established.
प्रेस प्रकाशनी PRESS RELEASE
भारतीय ररज़र्व बैंक
RESERVE BANK OF INDIA
वेबसाइट
:
www.rbi.org.in/hindi
संचार वर्भाग, केंद्रीय कायाालय, शहीद भगत ससिंह मागा, फोटा, म िंबई - 400 001
Website : www.rbi.org.in Department of Communication, Central Office, Shahid Bhagat Singh Marg, Fort,
ई-मेल/email : helpdoc@rbi.org.in Mumbai - 400 001 फोन/Phone: 022 - 2266 0502
January 14, 2026
RBI grants ‘In-principle’ Approval to Sumitomo Mitsui Banking Corporation
(SMBC), Japan for setting up a Wholly Owned Subsidiary (WOS) in India
The Reserve Bank of India (RBI) has decided to grant ‘in-principle’ approval to
Sumitomo Mitsui Banking Corporation (SMBC), Japan for setting up a Wholly Owned
Subsidiary (WOS) in India, under the Reserve Bank of India (Setting Up of Wholly
Owned Subsidiaries by Foreign Banks) Guidelines, 2025.
SMBC is currently carrying on banking business in India in branch mode through its
four branches located in New Delhi, Mumbai, Chennai and Bengaluru. The ‘in-principle’
approval has been granted to the bank for setting up a WOS through conversion of its
existing branches in India.
The RBI would consider granting a licence for commencement of banking business
in WOS mode under Section 22 (1) of the Banking Regulation Act, 1949 to SMBC on
being satisfied that the bank has complied with the requisite conditions laid down by
RBI as part of ‘in-principle’ approval.
(Brij Raj)
Press Release: 2025-2026/1924 Chief General Manager