HSBC eyes PSU bank buys, post-09

HSBC India would be keen to acquire public sector banks once such acquisitions were permitted by regulations, said Naina Lal Kidwai, group general manager and country head of HSBC India.

As of now, such deals were expected to become possible from April 2009, when the second phase of opening up of the banking sector would commence under the supervision of the Reserve Bank of India (RBI), Kidwai added today at a function organised by the National Association for the Blind (NAB) in Kolkata.

"The new regulations should permit the takeover of public sector banks by foreign banks. I do not know what that level playing field would be, but I believe in competition as it is good for customers and it should be a free market," she said. HSBC currently has 47 branches, but according to the country head, ideally a bank should have more than 500 branches.