Deutsche Bank today announced that it has increased its Tier 1 capital or capital adequacy in India by Rs 325 crore ($65 million) to fund the bank's growth.
The current capital infusion will take Deutsche Bank group's total capital in India to over Rs 6,000 crore, making it among the most highly capitalized foreign banks in India. The increase is the fourth in the last three years, with two tranches totaling Rs 2,095 crore in 2007-08 and Rs 500 crore in 2006-07, a company statement said.
Colin Grassie, CEO, Deutsche Bank, Asia-Pacific (ex-Japan), said: "This capital increase is a very clear statement of our commitment and the growth of our business in India. Times of market stress create opportunities for banks such as Deutsche Bank who are well capitalized and strongly positioned to assist clients. We have experienced significant increases in market share in many of our businesses in India."
Gunit Chadha, Chief Executive Officer, Deutsche Bank, India said: "The current capital infusion further underscores India's significance in Deutsche Bank's global strategy. We have tremendous confidence in India and this fresh capital will allow us to offer greater local balance sheet financing for our corporate, institutional and retail clients."
Deustche Bank's highly awarded business in India has grown significantly in revenues with profit after tax in 2007-08 of Rs 386 crore, an increase of 77 per cent as against Rs 218 crore in 2006-07.
